6/11/07

QUESTION TO THE PRIME MINISTER

During the debate on the Queen’s Speech in the House of Commons on Tuesday (6th November 2007), Sir John Butterfill, Member of Parliament for Bournemouth West, questioned the Prime Minister about the Government’s proposal to legislate for all employers to contribute to a pension for their employees.

John asked the Prime Minister to clarify whether this proposal would include small businesses, such as small cornershops, in having to set up pension schemes for their employees.  In his reply, the Prime Minister said that there would be special arrangements for small businesses.  However, when John later raised this matter with the Minister for Pensions at a meeting in the House of Commons, he was given to understand that even small businesses will be obliged to contribute to their employees’ pensions. 

John raised this question as he feels that the Government’s proposal could place an enormous burden on small businesses and he is concerned that there may not, in fact, be any exemptions.