NEW PENSIONS WARRANT. Memo. by Lord Privy Seal.

5. There is an arguable case for putting all these pensions on the basis of a reduced cost of living. There are, however, two objections. (1) If the cost of living rises, as may well happen, there will be a demand before long for a revision. (2) It will be contended with reason that standards of life have changed in the last twenty years. Also rents or instalment purchase payments, especially in the London area, have risen very considerably. 6. A more important argument is the friction that is likely to be caused by the disparity of treatment as between the victims of the last and the present war.