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New Clause 1

Volume 885: debated on Wednesday 29 January 1975

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Recovery Of Family Allowances

'In section 8(1) of the Family Allowances Act 1965 (application of section 81 of the National Insurance Act 1965 to recovery of allowances wrongly paid etc.) for llic words "section 81(1) to (4)" there shall be substituted the words "section 81(1) and (2) to (4)" and for the words from "but" to the end there shall be substituted the words "and any sums repaid to the Secretary of State by virtue of this subsection shall be paid by him into the Consolidated Fund"'.—( Mr. Alec Jones)

Brought up, and read the First time.

5.0 p.m.

I beg to move, That the clause be read a Second time.

With this amendment we are to discuss Government Amendments Nos. 19, 20, 21 and 24.

The House will be pleased to know that we can at least start off on an even keel, with no great controversy.

The clause is an entirely technical amendment, required to remove any doubt as to the destination of sums of family allowance recovered as wrongly paid. The money is properly payable into the Consolidated Fund, whereas Section 81(1)(a) of the National Insurance Act 1965 appears to suggest that it might be payable into the National Insurance Fund.

The error arose when Section 81 was amended by paragraph 15 of Part I of Schedule 21 to the Social Security Act 1973. It was overlooked at the time that as family allowances were not among the benefits specified as falling to be paid into the Consolidated Fund on recovery they would automatically fall within the group of benefits to be paid into the National Insurance Fund. The clause ensures that the position is restored unequivocally to that intended by the Family Allowances Act 1965.

The four amendments are similarly technical. The first three ensure that the provision in the new clause applies equally to Northern Ireland. Amendment No. 24 amends the Long Title to include a reference to the clause.

Question put and agreed to.

Clause read a Second time, and added to the Bill.