Equitable Life (Payments) Bill

Lord Goldsmith of Richmond Park Excerpts

Tuesday 14th September 2010 Commons Chamber

[Zac Goldsmith (Richmond Park) (Con)]

There is not a lot to be said that has not been said already, so I will keep it brief.

I support legislation that will give the Treasury the authority it needs to make the appropriate payments to policyholders, and I welcome the speed with which the Government have sought to right what I think we all now agree is a profound wrong. However, the Government will be judged on the basis of their final settlement. My plea is simply for that settlement to be set at a level that honours both the letter and the spirit of the commitment that the coalition has made to policyholders. I do not think anyone expects full compensation at this point, but whatever reductions are made should be broadly in line with those affecting other areas of spending. If the Chadwick proposals are followed, that will emphatically not be the case.

In the run-up to the general election, I was asked by hundreds of constituents for reassurance about the Conservative party’s position. I was able to deliver that reassurance via a pledge which I know many of my colleagues have also signed. On the back of that pledge, a number of people—I do not know how many—voted Conservative for the very first time. So, as my hon. Friend the Minister considers the level of compensation, I simply ask him to remember the promises that we made before the election. I believe that that would not only restore people’s faith in saving for their retirement, but restore their faith in political promises.