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Terminal Gratuities

Volume 161: debated on Thursday 22 March 1923

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23.

asked the Minister of Pensions whether instructions have been issued by which payment of a final weekly allowance with terminal gratuity, to a man who dies before the full amount has been paid, is stopped; why the undisbursed balance is not credited to the deceased person's estate for the benefit of the widow and orphans; and by what authority this change in administration was made?

In this matter the Ministry have followed the longstanding practice of the Service Departments in dealing with current payment of non-effective pay. That practice is governed by Article 1207 of the Pay Warrant which is incorporated in the Royal Warrant of December, 1919.

The change has been in force for two years. I do not know what discussion took place at the time; but there has been no recent change.

Are not the weekly allowance with the final gratuities made under these Final Awards in the nature of a lump-sum settlement, the payment being spread over a term of one to three years; and is it equitable that the representatives of a deceased man should on his death lose the balance of the final award, including in particular the final gratuity?

Does he not receive a weekly allowance for a certain number of weeks and then a terminal gratuity of £10? Does the Minister think that when an allowance has been paid instead of a lump sum spread over 52 or 70 weeks, with a terminal gratuity, that it is equitable when the man dies that the widow he leaves behind should lose the balance unpaid?

I will consider the hon. Member's point, but I can make no promise that I will make a change. If the widow can be accepted as a widow under the terms of the warrant, she will be provided for.