David Chadwick

I am grateful for the opportunity to speak in this debate, Mr Dowd. I refer hon. Members to my entry in the Register of Members’ Financial Interests. I thank the hon. Member for Farnham and Bordon (Gregory Stafford) for securing this important debate. Nearly half a million UK pensioners living overseas are being penalised, not because they did not pay into the system but because of where they now live. They are our citizens—our veterans, carers, former teachers and nurses. They worked all their lives, paid into the national insurance system and are now denied the annual uprating of their state pension. Their pensions have been frozen, sometimes for decades, based purely on whether the UK happens to have a reciprocal agreement with their country of residence. As we have heard, it cannot be fair that a pensioner in the US sees their pension rise each year, while a pensioner in Australia does not. The Liberal Democrats have long campaigned for an end to that injustice. We have already heard about Lord German’s sterling work, and I would like to highlight the policy research by Liberal Democrats Overseas, which has proposed a fair and affordable five-year plan to restore full uprating, starting with those who have lost out the most. Campaigners acknowledge the cost of their demands, and are even willing to accept partial uprating as a first step. However, as we have heard, previous Governments have refused to act and, worse, have turned down repeated offers from countries such as Australia and Canada to negotiate new agreements. This Government can take a fairer approach. It is interesting that the Welsh Affairs Committee is looking into how we can engage the Welsh diaspora in promoting brand Wales overseas. A new settlement for British pensioners living overseas strikes me as a good way to engage with the British diaspora, particularly as we strike new agreements with countries all over the world. We Liberal Democrats call on the Government to stop hiding behind outdated excuses and to start treating all UK pensioners with fairness and dignity.