Marriage (Same Sex Couples) Bill

Malcolm Rifkind Excerpts

Tuesday 21st May 2013 Commons Chamber

[Caroline Lucas]

Yes, I think it does underline the benefit. As we have said, the numbers are not huge, but for the individuals involved, it was very distressing, so I think it appropriate that we take this opportunity to address the situation.

My amendment 49 would address the continuing discriminatory hurdle in the Bill around pensions. The Bill allows employers and pension providers to award gay spouses and civil partners a fraction of the survivor benefits payable to a partner in a mixed-sex marriage. It is an unnecessary and counter-productive anomaly in a Bill that otherwise makes landmark progress in furthering the fundamental human rights of gay people. The amendment would give same sex couples entering into a gay marriage entitlement to the same pension rights as married opposite-sex couples. It removes both existing discriminatory provisions in the Equality Act 2010 and the subsequent extension of that discrimination in this Bill.

[Sir Malcolm Rifkind (Kensington) (Con)]

In tabling amendment 49, the hon. Lady has identified an anomaly that deserves to be rectified in the way she suggests. If the Government and the House want to give complete equality to same-sex relationships, they must address the pension question, otherwise we will have this extraordinary anomaly that if a person in a same-sex relationship today chooses to enter into a heterosexual marriage tomorrow, their new spouse would have full pension entitlement, whereas their former same-sex partner, whom they might have had a relationship with for many years, would get a fraction of that pension entitlement. If the Government and the House want same-sex relationships to have full equal rights, her amendment must be the right course of action.

[Caroline Lucas]

I am grateful to the right hon. and learned Gentleman for that intervention. I know he has had first-hand experience in his constituency of exactly this issue.

Paragraph 18 of schedule 9 to the Equality Act 2010 allows employers and pension providers to ignore the service and contributions of gay employees made before 5 December 2005 when it comes to assessing survivor benefits for their civil partners and occupational pension schemes. Paragraph 15 of schedule 4 to the Bill would extend that discriminatory provision to same-sex spouses.

As we saw in yesterday’s debate on opening civil partnerships to opposite-sex couples, the Government are comfortable arguing that unforeseen costs to pension schemes are a legitimate justification for sanctioning discrimination, yet their warning that the equalisation of treatment in the provision of occupational pension benefits will cost too much simply cannot be substantiated. No pension provider can accurately predict how many individuals in a pension scheme will be gay, never mind how many of them will marry or form a civil partnership with an individual who outlives them by a significant period of time.

Dealing with uncertainties around length of life, the possibility of illness, the decision to marry and many other issues is second nature to pension providers. Gay married people pose no more uncertainty than their straight counterparts. What is more, according to the Government’s figures, two thirds of pension providers already do the right thing, so any additional liability to pension schemes will surely be minimal. The financial implications of perpetuating discrimination could be very grave indeed, though, for those individuals who have paid into their pension schemes in the same way as other employees, yet will be denied the survivor benefits available to married mixed-sex couples.

One recent employment tribunal found that an occupational pension scheme was directly discriminatory because it provided a civil partner with only the benefit from pension rights accrued since 2004—in other words, when civil partnerships became available in the UK. John Walker and his civil partner have been together for 20 years and registered their civil partnership at the first possible opportunity, yet the pension scheme sought to restrict the survivor benefits available to John’s partner to just £500 a year. If John dissolved his civil partnership and married a woman today, she would be entitled to £41,000 per annum in the event of his death.

With the help of Liberty, John challenged that discrimination and recently won his legal battle to secure equal pension benefits for his civil partner. The employment tribunal relied on European Court of Justice rulings, which concluded that treating married and same-sex couples differently over the pensions payable to a survivor when national law recognises the relationships as equivalent in other respects breached the framework directive on equal treatment in employment. My amendment 49 would ensure full compliance with that directive and, crucially, ensure that the equality rulings made by the courts are applicable to all marriage relationships.