Equitable Life

Wendy Chamberlain Excerpts

Thursday 21st January 2021 Commons Chamber

[Wendy Chamberlain (North East Fife) (LD) [V]]

I congratulate the hon. Member for Harrow East (Bob Blackman) on securing this important debate, which was scheduled to take place early last year, but has been much delayed, and I think that delay is at the heart of this whole issue. We now find ourselves in a situation where many of the Equitable Life policyholders have been retired for some time. Sadly, as other Members have alluded to, many have died, particularly the older policyholders in the pre-September 1992 with-profits annuity group, who never received any compensation at all.

The last time that the hon. Member held a debate on this issue was in 2019, and it is a tragedy that each time a debate is held, the number of policyholders who would benefit from the compensation is decreasing. That is simply not right. Time is limited, yet there has likely never been a time when the compensation would make more difference than right now. I know that is the case for my constituents who were Equitable Life policyholders.

The coronavirus pandemic has placed an enormous strain on financial resources for many people, and we have never experienced an economic case like this one. One group who were particularly impacted by the Equitable Life scandal have also been largely left to face the full force of the economic impact of covid without support: small business owners.

I believe there are some common themes between successive Governments’ treatment of Equitable Life policyholders and the provisions and support for the self-employed and small business owners during covid. The first is arbitrariness. My constituents who were policyholders cannot understand why they should be merely given 22.4% compensation; they have been excluded. Secondly, there is the refusal to expand support, justified by reference to the public purse. When the Government have made a commitment to provide support, as they did when they accepted the Parliamentary and Health Service Ombudsman’s findings to compensate victims in full, they must follow through on their word. Thirdly, there is the very large degree of cross-party support. According to the website of the all-party parliamentary group for justice for Equitable Life policyholders, 282 Members of this place are members of that group. That is nearly a majority of the House, and plaudits for that should go to the determined campaigning of the APPG itself and EMAG.

Non-binding motions have previously been agreed by this House in debates just like this one, calling on the Government to make a commitment to provide full compensation, yet we find ourselves in the ludicrous position where, despite all that, there still appears to be no willingness from the Treasury to look again at the issue of compensation. How many more debates do we have to hold? How many more motions do we have to pass? How many more Members will have to join the APPG?

As I said earlier, delay is incredibly damaging, so I urge the Government to look again at the issue. I look forward to hearing from the Minister and to him making a commitment to providing full compensation. The Government should do so now, because we clearly cannot afford to waste any further time. This compensation has never been more needed. Justice delayed is justice denied.