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Cost Of Administration

Volume 50: debated on Wednesday 26 March 1913

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asked the Secretary to the Treasury what percentage the cost of administration bears to the total cost of old age pensions and health insurance, respectively, on the Estimates, including other Votes, for the years 1913–14?

The percentage in the case of old age pensions is slightly under four. In the case of health insurance (taking voted expenditure only) it is about twenty-seven. The comparison is however entirely misleading, as in the case of health insurance while the whole cost of the central administration is borne on the Votes, the greater part of the cost of the benefits falls upon contributions.

asked the Secretary to the Treasury how much of the total Estimate of £6,991,844 for health insurance is for administration, or as a subsidy on contribution towards the cost of administration?

As I explained in answer to the last question, the correct figure is £6,739,509.

This includes:—
For central administration£855,659
For Grants-in-Aid of the estimated administrative expenses of societies and committees£974,750
£1,830,409