Lord Wigley (PC)

My Lords, I support Amendment 203ZB, in the name of the noble Lord, Lord Davies of Brixton. I shall also address the government amendments in this group. I have signed the noble Lord’s Amendment 203, which we will come to later, recognising that he has professional expertise far greater than mine in dealing with these matters and believing that he comes to these issues, as I am certain he does, from a position of recognising that one group of workers in particular—those of Allied Steel and Wire in Cardiff—were extremely badly treated over 20 years ago, about which I spoke earlier in our deliberations. I listened with interest and concern to the explanation given by the Minister for introducing these amendments, and I am far from certain as to whether, when enacted, the discretion to which she referred will give former employees of Allied Steel and Wire any of the redress which they seek for the pension loss they suffered with regard to their pre-1997 employment. Are we today recognising the fairness of their claim but not providing any vehicle by which it can, in fact, be met? That is my fear. In Committee in the other place, my Plaid Cymru colleague, Ann Davies MP, introduced two amendments to provide indexation for compensation under FAS and the PPF to cover both pre-1997 and post-1997 service, and to reimburse members for the annual increase they should have received. The Government rejected those amendments, saying they would not work. Ann Davies MP came back on Report proposing a new clause to provide indexation. The Government rejected that clause so, in considering these and possibly later amendments, I ask the Minister whether their combined effect will do anything at all to give the pre-1997 pensions full indexation and not limit them to the 2.5% cap which Ministers supported in the other place? Will they do anything to reimburse those members for the annual increases which they never received?