Questions
Asked by
To ask Her Majesty's Government whether they will consider increasing the pension for Gurkhas who served prior to 1997 to a level equal to other British army soldiers with the same length of service from 1 April 2010. [HL4748]
It has been the policy of successive Governments not to implement changes to pensions and similar benefits retrospectively. This policy has been applied across the public sector in the United Kingdom, not just to Gurkha veterans. To do so now would not only be counter to this policy but would also lead to potential claims from other groups in public sector schemes.
The Gurkha pension scheme pays pensions earlier than the Armed Forces pension scheme. This is because Gurkhas are unlikely to work again in Nepal unlike their British counterparts, in the UK. For example, a Gurkha rifleman or corporal with 15 years (approximately 85 per cent of those receiving GPS payments) can claim an immediate pension (from age 33) whereas equivalent service under the AFPS would not attract pension payments until age 60. Like any pension scheme, the earlier the benefits are paid the lower the annual payment.
It has been estimated that the cost of increasing the annual pension payments for Gurkhas who served prior to 1 July 1997 to the amount received by their UK equivalents would be £1.5 billion over 20 years.
Asked by
To ask Her Majesty's Government what the estimated cost would be of increasing the future pensions of Gurkhas who served prior to 1997 to a level equal to other British Army soldiers of the same rank. [HL4752]
It has been estimated that the cost of increasing the pensions for Gurkhas who served prior to 1 July 1997 to the amount received by their UK equivalents would be £1.5 billion over 20 years.
The Gurkha pension scheme pays pensions earlier than the Armed Forces pension scheme. This is because Gurkhas are unlikely to work again in Nepal unlike their British counterparts, in the UK. For example, a Gurkha rifleman or corporal with 15 years (approximately 85 per cent of those receiving GPS payments) can claim an immediate pension (from age 33) whereas equivalent service under the AFPS would not attract pension payments until age 60. Like any pension scheme, the earlier the benefits are paid the lower the annual payment.