The particular approach which I made to the public servants in general left open the possibility of declaration by them that they were disposed to pay part of the cost, but unfortunately there was not expressed a willingness to pay even part of the cost. I hope I am as generous as the next—sometimes I am faulted for my over generosity—but the State is not some strange institution. What means the State has available to it results from the willingness or otherwise of taxpayers to provide the money necessary to provide what we know as ex-gratia widows' pensions equal to those in receipt of contributory widows' pensions which will amount to £3,250,000 as and from the 1st of July next. Several inequities would arise even if taxpayers were to volunteer to accept an addition to their tax bill to meet that.
It would mean that the people who are at present paying towards their contributory pensions would have a sense of grievance that other people were receiving pensions equal to what they were receiving although no contribution had been made by them or by the next of kin towards such pensions. Therefore, we would generate a demand that contributions towards pension schemes be abolished altogether, which would mean a further severe imposition on the general body of taxpayers to provide such pensions.
We cannot escape from the practical rules which must exist in this area and where issues of principle arise, as they do arise here, as to whether contributory pensioners should receive more than non-contributory pensions. If we applied those principles we would have to accept a situation in which those who have not contributed towards their pensions must receive a smaller pension than those who have contributed or who are still contributing and are building up an entitlement by way of an insurance to a pension in future.
Quite significant increases have been given in these pensions in recent years, and as I have pointed out on numerous occasions the cost-of-living index includes many items which I am sure are not in the general pattern of consumption of many pensioners, including expensive spirits and other items which are subject to tax. It can be said that quite substantial increases have been given when you consider that there have been increases in pensions in the public sector far beyond the cost-of-living index. I am not at all unsympathetic, but one has to balance all the conflicting issues which arise in this area. If there was a willingness on the part of certain civil servants to make a contribution it would of course ease the burden which the general body of taxpayers would have to meet. But so far, although we argued on lines similar to those adopted by Senator Yeats, and I would hope with equal effect, we have not yet been successful in persuading the people concerned that they should make a contribution towards the cost of an improvement in the scheme.