Legalize / United Kingdom / Public General Act

Social Security Act 1975

Type Public General Act

Publication 1975-03-20

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

(b) in the case of sums paid by way of benefit in respect of a child of the family of a man and his wife living together or on account of a family allowance for such a family, the man is to be treated as having received any sum which, if properly paid, would have been receivable by him, and the wife any sum which, if properly paid, would have been receivable by her.

(5) Regulations may provide for treating benefit paid to one person in respect of another as being a child of the family, or the wife or husband, or an adult dependant, of the payee as having been properly paid for any period for which it is not in fact payable in cases where in consequence of a subsequent decision either—

(a) the other person is himself entitled to benefit for that period", or

(b) a third person is entitled to benefit for that period in respect of the other person in priority to the payee,

and for reducing or withholding accordingly any arrears payable for that period by virtue of the subsequent decision.

(6) In subsections (1) and (2) above any reference to a decision awarding benefit or a family allowance includes a decision making any benefit or family allowance payable at a higher rate.

Benefit to be inalienable

87

(1) Subject to the provisions of this Act, every assignment of, or charge on, benefit and every agreement to assign or charge benefit shall be void; and, on the bankruptcy of a beneficiary, the benefit shall not pass to any trustee or other person acting on behalf of his creditors.

(2) In the application of this section to Scotland—

(a) the reference to assignment of benefit shall be read as a reference to its assignation, " assign " being construed accordingly;

(b) the reference to a beneficiary's bankruptcy shall be read as a reference to the sequestration of his estate or the appointment on his estate of a judicial factor under section 14 of the Bankruptcy (Scotland) Act 1913 or section 15 of the Solicitors (Scotland) Act 1958.

(3) In calculating for the purposes of section 5 of the Debtors Act 1869 or section 4 of the Civil Imprisonment (Scotland) Act 1882 the means of any beneficiary, no account shall be taken of any increase of injury benefit or disablement benefit in respect of a child, or of industrial death benefit.

Provisions relating to industrial injuries benefit only

Notification of accidents, etc.

88

Regulations may provide—

(a) for requiring the prescribed notice of an accident in respect of which industrial injuries benefit may be payable to be given within the prescribed time by the employed earner or, where within that time he dies as a result of the accident, by such other person as may be prescribed, to the earner's employer or other prescribed person;

(b) for requiring employers—

(i) to make reports, to such person and in such form and within such time as may be prescribed, of accidents in respect of which industrial injuries benefit may be payable,

(ii) to furnish to the prescribed person any information required for the determination of claims, or of questions arising in connection with claims or awards,

(iii) to take such other steps as may be prescribed to facilitate the giving notice of accidents, the making of claims and the determination of claims and of questions so arising.

Medical examination and treatment

89

(1) Regulations may provide for requiring claimants for injury benefit or disablement benefit—

(a) to submit themselves from time to time to medical examination for the purpose of determining the effect of the relevant accident, or the treatment appropriate to the relevant injury or loss of faculty;

(b) to submit themselves from time to time to appropriate medical treatment for the injury or loss of faculty.

(2) Regulations under subsection (1) above requiring persons to submit themselves to medical examination or treatment may—

(a) require those persons to attend at such places and at such times as may be required ; and

(b) with the consent of the Minister for the Civil Service, provide for the payment by the Secretary of State to those persons of travelling and other allowances (including compensation for loss of remunerative time).

Obligations of claimants

90

(1) Without prejudice to section 89(1) above, it shall be the duty of any person claiming or entitled to injury benefit in respect of any injury not to behave in any manner calculated to retard his recovery.

(2) Subject to subsection (4) below, regulations may provide for disqualifying a claimant for the receipt of injury benefit for failure without good cause to comply with the requirements of subsection (1) above in respect of the relevant injury, and may further provide for disqualifying a claimant for the receipt of benefit—

(a) for failure without good cause to comply with any requirement of regulations relevant under this subsection (including, in the case of a claim for industrial death benefit, a failure on the part of some other person to give the prescribed notice of the relevant accident);

(b) for wilful obstruction of, or other misconduct in connection with, any examination or treatment to which he is required under relevant regulations to submit himself, or in proceedings under this Act for the determination of his right to benefit or to its receipt,

or for suspending proceedings on the claim or payment of benefit, as the case may be, in the case of any such failure, obstruction or misconduct.

(3) The regulations relevant under subsection (2) above are those made by virtue of the following provisions of this Chapter, namely—

section 79(1), (5);

section 81(4) (a) ;

section 88(a) ; and

section 89(1) and (2).

(4) Regulations under subsection (2) above providing for disqualification for the receipt of benefit for any of the following matters, that is to say—

(a) for failure to comply with the requirements of subsection (1) above, or those of regulations under section 89(1) or (2);

(b) for obstruction of, or misconduct in connection with, medical examination or treatment,

shall not be made so as to disentitle a claimant to benefit for a period exceeding 6 weeks on any disqualification.

Adjustments for successive accidents

91

(1) Where a person suffers two or more successive accidents arising out of and in the course of his employed earner's employment—

(a) he shall not for the same period be entitled (apart from any increase of benefit mentioned in subsection (2) below) to receive industrial injuries benefit, either by way of injury benefit and a disablement pension or pensions, or by way of two or more disablement pensions, at an aggregate weekly rate exceeding the appropriate amount specified in Schedule 4, Part V, paragraph 16; and

(b) regulations may provide for adjusting—

(i) injury benefit or disablement benefit, or the conditions for the receipt of either, in any case where he has received or may be entitled to a disablement gratuity.

(ii) any increase of benefit mentioned in subsection (2) below, or the conditions for its receipt.

(2) The increases of benefit referred to above are those under—

section 58 (unemployability supplement),

section 61 (constant attendance),

section 63 (exceptionally severe disablement),

section 64 (dependent children), or

section 66 (adult dependants);

and for the purposes of subsection (1)(a) they include also, in the case of a beneficiary under the age of 18, any increase in the rate of a disablement pension under section 60 (special hardship).

Supplementary

Benefit forgone for unabated sick pay

92

(1) This section applies to any arrangement—

(a) which relates to pay during absence from work which can be abated on account of benefit unless the benefit is not claimed or paid ; and

(b) which is for the time being approved by the Secretary of State.

(2) In this section "benefit" means any of the following, namely—

sickness benefit,

invalidity benefit,

maternity allowance,

injury benefit, and

earnings-related supplement under section 14(7) or 22(4).

(3) A person who, in pursuance of any such arrangement, has not claimed benefit but would have been entitled to the benefit if he had claimed it shall, unless or except so far as regulations provide otherwise, be deemed to be entitled to the benefit for all the purposes of this Act (except so as to confer a right to payment of the benefit).

(4) If the Secretary of State so directs, any approval given by him under the former principal Act, or the former Industrial Injuries Act, or under any instrument having effect under either of those Acts, is to be treated as if it were approval given under subsection (1) above.

PART III — Determination of Claims and Questions

Adjudication by Secretary of State

Principal questions for Secretary of State

93

(1) Subject to this Part of this Act, any of the following questions arising under this Act shall be determined by the Secretary of State—

(a) a question whether a person is an earner and, if he is, as to the category of earners in which he is to be included;

(b) subject to subsection (2) below, a question whether the contribution conditions for any benefit are satisfied, or otherwise relating to a person's contributions or his earnings factor;

(c) a question which of two or more persons satisfying the conditions for an increase of benefit (whether benefit of the same or a different description) is entitled to the increase where by virtue of some provision of Part II not more than one of those persons is so entitled;

(d) a question whether a person is or was employed in employed earner's employment for the purposes of Part II, Chapters IV and V.

(2) Subsection (1)(b) above includes any question arising—

(a) under section 9(7) of this Act as to whether by regulations under that subsection a person is excepted from liability for Class 4 contributions, or his liability is deferred; or

(b) under regulations made by virtue of section 9(9) or 10;

but not any other question relating to Class 4 contributions, nor any question within section 98(1)(c) (disqualification for unemployment benefit, etc.).

(3) The Secretary of State may, if he thinks fit, before determining any question within subsection (1) above, appoint a person to hold an inquiry into the question, or any matters arising in connection therewith, and to report on the question, or on those matters, to the Secretary of State.

Appeal on question of law

94

(1) A question of law arising in connection with the determination by the Secretary of State of any question within section 93(1) above may, if the Secretary of State thinks fit, be referred for decision to the High Court or, in Scotland, the Court of Session.

(2) If the Secretary of State determines in accordance with subsection (1) above to refer any question of law to the court, he shall give notice in writing of his intention to do so—

(a) in a case where the question arises on an application made to the Secretary of State, to the applicant; and

(b) in any case to such persons as appear to him to be concerned with the question.

(3) Any person aggrieved by the decision of the Secretary of State on any question of law within subsection (1) above which is not referred in accordance with that subsection may appeal from that decision to the court.

(4) The Secretary of State shall be entitled to appear and be heard on any such reference or appeal.

(5) Rules of court shall include provision for regulating references and appeals under this section and for limiting the time within which such appeals may be brought.

(6) So much of section 63(1) of the Supreme Court of Judicature (Consolidation) Act 1925 as requires an appeal from any person to the High Court to be heard and determined by a divisional court shall not apply to appeals under this section.

(7) Notwithstanding anything in any Act, the decision of the court on a reference or appeal under this section shall be final.

(8) On any such reference or appeal the court may order the Secretary of State to pay the costs (in Scotland, the expenses) of any other person, whether or not the decision is in that other person's favour and whether or not the Secretary of State appears on the reference or appeal.

Review of decisions under ss.93, 95

96

(1) Subject to subsection (2) below, the Secretary of State may, on new facts being brought to his notice, or if he is satisfied that the decision was given in ignorance of, or was based on a mistake as to, some material fact, review any decision given by him on any question within section 93(1) or 95(1)(b) or (c) above.

(2) Such a decision shall not be reviewed while an appeal under section 94 is pending against the decision of the Secretary of State on a question of law arising in connection therewith, or before the time for so appealing has expired; and section 94 applies with any necessary modifications to any case in which a question has been raised with a view to the review under this section of any such decision.

Adjudication by insurance officers, local tribunals and Commissioners

Adjudicating officials and bodies

97

(1) Insurance officers shall be appointed by the Secretary of State, subject to the consent of the Minister for the Civil Service as to number, to act for such areas or otherwise as the Secretary of State directs, and may include officers of the Department of Employment appointed with the concurrence of the Secretary of State in charge of that Department.

(2) A local tribunal shall consist of—

(a) one member drawn from a panel composed of persons representing employers and persons representing earners other than employed earners ;

(b) one member drawn from a panel of persons representing employed earners; and

(3) Her Majesty may from time to time appoint, from among persons who are barristers or advocates of not less than 10 years' standing, a Chief National Insurance Commissioner and such number of other National Insurance Commissioners as Her Majesty may think fit.

(4) Schedule 10 to this Act has effect with respect to local tribunals, Commissioners and others officiating or attending for the purposes of this Part of this Act.

Claims and questions to be submitted to insurance officer

98

(1) There shall be submitted forthwith to an insurance officer for determination in accordance with sections 99 to 104 below—

(a) any claim for benefit;

(b) subject to subsection (2) below, any question arising in connection with a claim for, or award of, benefit; and

(c) any question whether a person would by reason of the provisions of, or of any regulations under, section 20(1) or (2) of this Act have been disqualified for receiving unemployment benefit, sickness benefit or invalidity benefit if he had otherwise had a right thereto.

(2) Subsection (1) above does not apply—

(a) to a question for determination by the Secretary of State under section 93 or 95 of this Act, or by the Attendance Allowance Board under section 105(3); or

(b) to the disablement questions (section 108) in relation to industrial injuries benefit.

(3) Different aspects of the same claim or question may be submitted to different insurance officers under the foregoing provisions of this section; and for that purpose those provisions and the other provisions of this Part of this Act with respect to the determination of claims and questions shall apply with any necessary modifications.

Decision of insurance officer

99

(1) An insurance officer to whom a claim or question is submitted under section 98 shall take it into consideration and, so far as practicable, dispose of it in accordance with this section, and with procedure regulations under section 115, within 14 days of its submission to him.

(2) Subject to section 103 below (reference of special questions), the insurance officer may in the case of any claim or question so submitted to him—

(a) decide it in favour of the claimant; or

(b) decide it adversely to the claimant; or

(3) Where an insurance officer refers a case to a local tribunal, notice in writing of the reference shall be given to the claimant.

Appeal to local tribunal

100

(1) Subject to subsection (3) below, where the insurance officer has decided a claim or question adversely to the claimant, the claimant may appeal to a local tribunal.

(2) The claimant shall be notified in writing of the insurance officer's decision and the reasons for it, and of his right of appeal under this section.

(3) Where in connection with the decision of the insurance officer there has arisen—

(a) a question for determination by the Secretary of State under section 93 or 95 above, or by the Attendance Allowance Board under section 105(3); or

(b) either of the disablement questions (section 108) in relation to industrial injuries benefit,

and the question has been determined and the insurance officer certifies that the decision on that question is the sole ground of his decision, no appeal lies under this section without leave of the chairman of the local tribunal.

(4) An appeal under this section shall be brought by giving notice of appeal at a local office within 21 days after the date of the decision or within such further time as the chairman of the local tribunal may for good cause allow.

(5) A notice of appeal under this section shall be in writing and shall contain a statement of the grounds upon which the appeal is made.

(6) In this and the next following section, " local office " means any office appointed by the Secretary of State as a local office for the purposes of this Act.

(7) Where the insurance officer has decided any claim or question under Chapter IV or V of Part II of this Act in favour of the claimant and any other person's right to benefit under those Chapters is or may be, under Schedule 9 to this Act (limits on benefit payable in respect of death), affected by that decision, that other person shall have the like right of appeal to a local tribunal as the claimant would have had if the claim or question had been decided adversely to him.

Appeal from local tribunal to Commissioner

101

(1) Subject to the provisions of this section, an appeal lies to a Commissioner from any decision of a local tribunal.

(2) The persons at whose instance an appeal lies under this section are—

(a) an insurance officer ;

(b) the claimant;

(d) in a case relating to industrial injuries benefit, a person whose right to benefit is or may be, under Schedule 9 to this Act, affected by the decision appealed against.

(3) The following are the cases in which an appeal lies at the instance of a trade union—

(a) where the claimant is a member of the union at the time of the appeal and was so immediately before the question at issue arose ;

(b) where that question in any way relates to a deceased person who was a member of the union at the time of his death;

(c) where the case relates to industrial injuries benefit and the claimant or, in relation to industrial death benefit, the deceased was a member of the union at the time of the relevant accident.

(4) Subsections (2) and (3) above, as they apply to a trade union, apply also to any other association which exists to promote the interests and welfare of its members.

(5) An appeal to a Commissioner must be brought within 3 months from the date of the decision of the local tribunal, or such further period as a Commissioner may in any case for special reasons allow; and such an appeal shall be brought by giving notice in writing in a form approved by the Secretary of State stating the grounds of the appeal—

(a) in the case of an appeal by an insurance officer, to the claimant; and

(b) in the case of an appeal by the claimant, or a trade union or other association mentioned above, at a local office.

(6) If it appears to a Commissioner that an appeal under this section involves a question of fact of special difficulty, the Commissioner may direct that in dealing with the appeal or any part of it he shall have the assistance of an assessor or assessors specially qualified and selected from a panel appointed for that purpose.

(7) A Commissioner may, if he thinks fit, refer any question arising for his decision to a medical practitioner for examination and report.

Questions first arising on appeal

102

(1) Where a question under this Act first arises in the course of an appeal to a local tribunal or a Commissioner, the tribunal or Commissioner may, if they think fit, proceed to determine the question notwithstanding that it has not been considered by an insurance officer.

(2) This section does not apply to a question for determination by the Secretary of State under section 93 or 95 of this Act, or by the Attendance Allowance Board under section 105(3) or to the disablement questions (section 108) in relation to industrial injuries benefit.

Reference of special questions

103

(1) The following subsections apply if on consideration of any claim or question an insurance officer is of opinion that there arises—

(a) a question for determination by the Secretary of State under section 93 or 95 of this Act, or by the Attendance Allowance Board under section 105(3); or

(b) either of the disablement questions (section 108) in relation to industrial injuries benefit.

(2) Subject to subsection (3) below, the insurance officer shall—

(a) refer the question so arising for determination by the Secretary of State or by the Attendance Allowance Board, or in accordance with section 108 below, as the case may require; and

(b) deal with any other questions as if the question so referred had not arisen.

(3) The insurance officer may—

(a) postpone the reference of, or dealing with, any question until other questions have been determined ;

(b) in cases where the determination of any question disposes of a claim or any part of it make an award or decide that an award cannot be made, as to the claim or that part of it without referring or dealing with, or before the determination of, any other question.

(4) Subsections (2) and (3) above apply to a local tribunal and a Commissioner as they apply to an insurance officer, except that a tribunal or Commissioner shall, instead of referring a question in accordance with subsection (2)(a), direct it to be so referred by an insurance officer.

Review of decisions

104

(1) Any decision under this Act of an insurance officer, a local tribunal or a Commissioner may be reviewed at any time by an insurance officer or, on a reference from an insurance officer, by a local tribunal, if—

(a) the officer or tribunal is satisfied and, in the case of a decision of a Commissioner, satisfied by fresh evidence, that the decision was given in ignorance of, or was based on a mistake as to, some material fact; or

(b) there has been any relevant change of circumstances since the decision was given; or

(i) a question for determination by the Secretary of State under section 93 or 95, or by the Attendance Allowance Board under section 105(3), or

(ii) either of the disablement questions (section 108) in relation to industrial injuries benefit,

and the decision of that question is revised under section 95(2) or 96 (Secretary of State) or section 106 (Attendance Allowance Board) or section 110 (medical board).

(2) A question may be raised with a view to a review under this section by means of an application in writing to an insurance officer, stating the grounds of the application.

(3) On receipt of any such application, the insurance officer shall proceed to deal with or refer any question arising thereon in accordance with sections 99 to 101.

(4) A decision given on a review under this section, and a refusal to review a decision thereunder, shall be subject to appeal in like manner as an original decision, and sections 99 to 101 shall, with the necessary modifications, apply in relation to a decision given on such a review as they apply to the original decision of a question.

Adjudication in relation to attendance allowance

Attendance Allowance Board

105

(1) The Attendance Allowance Board constituted under section 5 of the National Insurance Act 1970 shall continue in being by that name.

(2) Schedule 11 to this Act has effect with respect to the Board and their affairs; and—

(a) Part I of the Schedule relates to the Board's membership and the method by which their functions are to be performed; and

(b) Part II relates to the Board's personnel, administration and expenses;

but regulations may make further provision as to the constitution and procedure of the Board.

(3) Subject to section 106 below, any question whether a person satisfies or has satisfied, or is likely to satisfy, for any period the conditions set out in paragraph (a) or (b) of section 35(1) of this Act shall be determined by the Board.

Review of, and appeal from, Board's decision

106

(1) The Attendance Allowance Board may—

(a) at any time review a determination of theirs under section 105(3) above, or under this paragraph or paragraph (b) below, if they are satisfied that there has been a relevant change of circumstances since the determination was made, or that the determination was made in ignorance of a material fact or was based on a mistake as to a material fact;

(b) within the prescribed period review such a determination on any ground;

(c) issue a certificate under section 35(2), or revoke or alter a certificate so issued, if they consider it appropriate to do so in consequence of a review in pursuance of this subsection.

(2) Provision shall be made by regulations for enabling appeals to be brought to a Commissioner, with his leave or that of another Commissioner, against a determination by the Board of any question of law arising on a review under subsection (1) above or arising in connection with a refusal by the Board to review a determination made by them under section 105(3) or this section.

In this subsection references to the Board include a delegate appointed in pursuance of paragraph 5 of Schedule 11 to this Act.

(3) Regulations under subsection (2) above may provide for the application, to an appeal brought in pursuance of the regulations, of section 116 of this Act (Tribunal of 3 Commissioners to sit, when so directed by the Chief National Insurance Commissioner or his deputy).

(4) Provision may be made by regulations with respect to applications for reviews of determinations under section 105(3) and this section and with respect to the disposal of such applications ; but nothing in this subsection prevents such a review from being undertaken in a case where no application is made.

Adjudication in relation to industrial injuries, etc.

Declaration that accident is an industrial accident

107

(1) Where, in connection with any claim for industrial injuries benefit, it is determined that the relevant accident was or was not an industrial accident, an express declaration of that fact shall be made and recorded ; and (subject to subsection (3) below) a claimant shall be entitled to have the question whether the relevant accident was an industrial accident determined notwithstanding that his claim is disallowed on other grounds.

(2) Subject to subsection (3) below, and to section 117 (finality of decisions), any person suffering personal injury by accident shall be entitled, if he claims the accident was an industrial accident, to have that question determined, and a declaration made and recorded accordingly, notwithstanding that no claim for benefit has been made in connection with which the question arises; and this Part of this Act applies for that purpose as if the question had arisen in connection with a claim for benefit.

(3) The insurance officer, local tribunal or Commissioner (as the case may be) may refuse to determine the question whether an accident was an industrial accident if satisfied that it is unlikely that it will be necessary to determine the question for the purposes of any claim for benefit; but any such refusal of an insurance officer or local tribunal shall be subject to appeal to the local tribunal or Commissioner, as the case may be.

(4) Subject to the provisions of this Part of this Act as to appeal and review, any declaration under this section that an accident was or was not an industrial accident shall be conclusive for the purposes of any claim for industrial injuries benefit in respect of that accident, whether or not the claimant is the person at whose instance the declaration was made.

(5) For the purposes of this section (but subject to section 117(3) below), an accident whereby a person suffers personal injury shall be deemed, in relation to him, to be an industrial accident if—

(a) it arises out of and in the course of his employment;

(b) that employment is employed earner's employment for the purpose of Part II, Chapter IV;

(c) payment of benefit is not under section 50(5) precluded because the accident happened while he was outside Great Britain.

(6) A decision under this section shall be final except that section 104 above—

(a) applies to a decision under this section that an accident was an industrial accident as it applies to a decision under sections 99 to 101 if, but only if, the insurance officer or local tribunal (as the case may be) is satisfied by fresh evidence that the decision under this section was given in consequence of any wilful non-disclosure or misrepresentation of a material fact; but

(b) does not apply to a decision under this section that an accident was not an industrial accident.

Disablement questions

108

(1) In relation to industrial injuries benefit, the " disablement questions " are the questions—

(a) whether the relevant accident has resulted in a loss of faculty;

(b) at what degree the extent of disablement resulting from a loss of faculty is to be assessed, and what period is to be taken into account by the assessment.

(2) The disablement questions shall be referred to and determined by a medical board or a medical appeal tribunal.

(3) Schedule 12 to this Act has effect with respect to medical boards and medical appeal tribunals, and their proceedings.

(4) Where the case of a claimant for disablement benefit has been referred by the insurance officer to a medical board for determination of the disablement questions and, on that or any other subsequent reference, the extent of the disablement is provisionally assessed, the case shall again be so referred not later than the end of the period taken into account by the provisional assessment.

Medical appeals and references

109

(1) This section has effect where the case of a claimant for disablement benefit has been referred by the insurance officer to a medical board for determination of the disablement questions.

(2) If the claimant is dissatisfied with the decision of the medical board, he may appeal in the prescribed manner and within the prescribed time, and the case shall be referred to a medical appeal tribunal:

Provided that an appeal shall not he against a provisional assessment of the extent of disablement before the expiration of 2 years from the date of the first reference of the case to a medical board, nor where the period taken into account by the assessment falls wholly within those 2 years.

(3) If the Secretary of State notifies the insurance officer within the prescribed time that he is of opinion that any decision of the medical board ought to be considered by a medical appeal tribunal, the insurance officer shall refer the case to a medical appeal tribunal for their consideration, and the tribunal may confirm, reverse or vary the decision in whole or in part as on an appeal.

Review of medical decisions

110

(1) Any decision under this Part of this Act of a medical board or a medical appeal tribunal may be reviewed at any time by a medical board if satisfied by fresh evidence that the decision was given in consequence of the non-disclosure or misrepresentation by the claimant or any other person of a material fact (whether the non-disclosure or misrepresentation was or was not fraudulent).

(2) Any assessment of the extent of the disablement resulting from the relevant loss of faculty may also be reviewed by a medical board if the board are satisfied that since the making of the assessment there has been an unforeseen aggravation of the results of the relevant injury.

(3) Where in connection with a claim for disablement benefit made after 25th August 1953 it is decided that the relevant accident has not resulted in a loss of faculty, the decision—

(a) may be reviewed under subsection (2) above as if it were an assessment of the extent of disablement resulting from a relevant loss of faculty; but

(b) subject to any further decision on appeal or review, shall be treated as deciding the question whether the relevant accident has so resulted both for the time about which the decision was given and for any subsequent time.

(4) For the purposes of subsection (3) above, a final assessment of the extent of the disablement resulting from a loss of faculty made for a period limited by reference to a definite date shall be treated as deciding that at that date the relevant accident has not resulted in a loss of faculty.

(5) An assessment made, confirmed or varied by a medical appeal tribunal shall not be reviewed under subsection (2) above without the leave of a medical appeal tribunal, and (notwithstanding the provisions of Chapter IV of Part II of this Act) on a review under that subsection the period to be taken into account by any revised assessment shall only include a period before the date of the application for the review if and in so far as regulations so provide.

(6) Subject to the foregoing provisions of this section, a medical board may deal with a case on a review in any manner in which they could deal with it on an original reference to them, and in particular may make a provisional assessment notwithstanding that the assessment under review was final.

(7) Section 109 of this Act applies to an application for a review under this section and to a decision of a medical board in connection with such an application as it applies to an original claim for disablement benefit and to a decision of a medical board in connection with such a claim.

Reference to single doctor

111

(1) Notwithstanding sections 108 to 110 above, regulations may provide that the disablement questions may, with the consent of the claimant, be referred to a single medical practitioner appointed by the Secretary of State instead of to a medical board:

Provided that the period to be taken into account by any assessment made by virtue of this section shall not exceed 6 months.

(2) A decision on a reference under this section shall have effect as if it were a decision of a medical board, and accordingly shall be subject to appeal and review, and may be referred for consideration to a medical appeal tribunal.

(3) Regulations may make provision as to the procedure to be adopted where, on a reference under this section, the medical practitioner is of opinion that a final assessment can be made but that the period to be taken into account exceeds 6 months.

Appeal etc. on question of law to Commissioner

112

(1) Subject to this section, an appeal lies to a Commissioner from any decision of a medical appeal tribunal (if given after 27th September 1959) on the ground that the decision is erroneous in point of law, at the instance of—,

(a) the claimant; or

(b) a trade union of which the claimant was a member at the time of the relevant accident; or

(2) Subsection (1) above, as it applies to a trade union, applies also to any other association which exists to promote the interests and welfare of its members.

(3) No appeal lies under subsection (1) above without the leave of the medical appeal tribunal or of a Commissioner, and regulations may make provision as to the manner in which, and the time within which, appeals are to be brought and applications made for leave to appeal.

(4) Where a question of law arises in a case before a medical appeal tribunal, the tribunal may refer that question to a Commissioner for his decision.

(5) On any such appeal or reference, the question of law arising for the decision of the Commissioner and the facts on which it arises shall be submitted for his consideration in the prescribed manner; and the medical appeal tribunal on being informed in the prescribed manner of his decision on the question of law shall give, confirm or revise their decision on the case accordingly.

Adjudication as to industrial diseases

113

(1) Regulations shall provide for applying, in relation—

(a) to claims for benefit under Chapter V of Part II of this Act; and

(b) to questions arising in connection with such claims or with awards of such benefit,

the provisions of this Part of this Act subject to any prescribed additions or modifications.

(2) Regulations for those purposes may in particular provide—

(a) for the establishment of special medical boards and the appointment of medical officers for the purposes of the regulations (including, in the case of any such board, the purposes for which medical boards and medical appeal tribunals are established under the foregoing provisions of this Part of this Act);

(b) for the payment by the prescribed persons of fees of the prescribed amount in connection with any medical examination by any such board or officer and their return in any prescribed cases, and (so far as not required to be returned) their payment into the National Insurance Fund and recovery as sums due to that Fund;

(c) for such matters as appear to the Secretary of State to be incidental to or consequential upon provisions included in the regulations by virtue of subsection (1) above and paragraphs (a) and (b) of this subsection.

(3) The Secretary of State may pay such remuneration to any member of a medical board established by virtue of this section and to any medical officer appointed by virtue thereof, and such travelling and other allowances (including compensation for loss of remunerative time) to any such member or officer, and such other expenses in connection with any such board or with the work of any such officer as the Secretary of State, with the consent of the Minister for the Civil Service, may determine:

Provided that compensation for loss of time shall not be paid to any person in respect of any time during which he is in receipt of remuneration under this subsection.

Adjudication generally

Regulations as to determination of questions

114

(1) Subject to the provisions of this Part of this Act provision may be made by regulations for the determination—

(a) by the Secretary of State ; or

(b) by a person or tribunal appointed or constituted in accordance with the regulations,

of any question arising under or in connection with this Act or the former legislation, including a claim for benefit. " The former legislation" means the National Insurance Acts 1965 to 1974 and the National Insurance (Industrial Injuries) Acts 1965 to 1974.

(2) Regulations under subsection (1) above may modify, add to or exclude any provisions of this Part of this Act, so far as relating to any questions to which the regulations relate.

(3) As respects any question as to the right to benefit (other than a question for determination by the Secretary of State under section 93 or 95 of this Act) regulations under subsection (1) above shall not provide for the determination of that question by the Secretary of State but, subject to subsection (4) below, shall provide—

(a) for the submission of the question in the first instance to an officer appointed by the Secretary of State ;

(b) for authorising the officer either himself to determine the question or to refer it to a local tribunal, and for enabling an appeal to be brought from the officer's decision to such a tribunal;

(4) Regulations under subsection (3) above may provide for the submission of different aspects of the same question to different officers; and for that purpose paragraphs (a) and (b) of that subsection shall have effect subject to the necessary modifications.

(5) Regulations under subsection (1) above may provide—

(a) for the reference to the High Court or, in Scotland, the Court of Session for decision of any question of law arising in connection with the determination of a question by the Secretary of State; and

(b) for appeals to the High Court or Court of Session from the decision of the Secretary of State on any such question of law;

and subsections (5) to (8) of section 94 of this Act shall apply to a reference or appeal under this subsection as they apply to a reference or appeal under subsections (1) to (3) of that section.

Procedure

115

(1) Regulations may, for any purpose of this Part of this Act, make any such provision as is specified in Schedule 13 (procedure, evidence, hearings, forms of documents and other matters relating to adjudication).

(2) Regulations made by virtue of subsection (1) above are referred to in this Act as " procedure regulations"; and in Schedule 13 " competent tribunal" means a Commissioner, a local tribunal, a medical appeal tribunal, a medical board or a single medical practitioner acting in place of a medical board.

(3) Procedure regulations may deal differently with claims and questions relating to benefit under Part II, Chapters I to III and those relating to industrial injuries benefit.

(4) At any inquiry held by virtue of procedure regulations the witnesses shall, if the person holding the inquiry thinks fit, be examined on oath; and the person holding the inquiry shall have power to administer oaths for that purpose.

(5) Procedure regulations prescribing the procedure to be followed in cases before a Commissioner shall provide that any hearing shall be in public except in so far as the Commissioner for special reasons otherwise directs.

(6) It is hereby declared that the power to prescribe procedure includes power to make provision as to the representation of one person, at any hearing of a case, by another person whether having professional qualifications or not.

(7) Except so far as it may be applied in relation to England and Wales by procedure regulations, the Arbitration Act 1950 shall not apply to any proceedings under this Part of this Act.

Tribunal of 3 Commissioners

116

(1) If it appears to the Chief National Insurance Commissioner (or, in the case of his inability to act, to such other of the Commissioners as he may have nominated to act for the purpose) that an appeal falling to be heard by one of the Commissioners involves a question of law of special difficulty, he may direct that the appeal be dealt with, not by that Commissioner alone, but by a Tribunal consisting of any 3 of the Commissioners.

(2) If the decision of the Tribunal is not unanimous, the decision of the majority shall be the decision of the Tribunal.

Finality of decisions

117

(1) Subject to the provisions of this Part of this Act, the decision of any claim or question in accordance with those provisions shall be final; and subject to the provisions of any regulations under section 114, the decision of any claim or question in accordance with those regulations shall be final.

(2) Subsection (1) above shall not make any finding of fact or other determination embodied in or necessary to a decision, or on which it is based, conclusive for the purpose of any further decision.

(3) A decision (given under section 107(2) of this Act or otherwise) that an accident was an industrial accident is to be taken as determining only that paragraphs (a), (b) and (c) of section 107(5) are satisfied in relation to the accident, and neither any such decision nor the reference to a medical board or medical appeal tribunal under section 108 of the disablement questions in connection with any claim to or award of disablement benefit is to be taken as importing a decision as to the origin of any injury or disability suffered by the claimant, whether or not there is an event identifiable as an accident apart from any injury that may have been received ; but—

(a) a decision that on a particular occasion when there was no such event a person had an industrial accident by reason of an injury shall be treated as a decision that, if the injury was suffered by accident on that occasion, the accident was an industrial accident; and

(b) a decision that an accident was an industrial accident may be given, and a declaration to that effect be made and recorded in accordance with section 107, without its having been found that personal injury resulted from the accident (saving always the discretion under section 107(3) to refuse to determine the question if it is unlikely to be necessary for the purposes of a claim for benefit).

(4) Notwithstanding anything in subsection (2) or (3) above (but subject to the provisions of this Part of this Act as to appeal and review), where for purposes of disablement benefit in respect of an accident it has been found by a medical board or medical appeal tribunal, on the determination or last determination of the disablement questions, that an injury resulted in whole or in part from the accident, then for purposes of industrial death benefit in respect of that accident (including benefit on a death occurring before the passing of this Act) the finding shall be conclusive that the injury did so result.

The reference in this subsection to a medical board includes a medical practitioner determining disablement questions on a reference under section 111.

(5) Subsections (2) to (4) above shall apply as regards the effect to be given in any proceedings to any decision, or to a reference under section 108 of this Act, whether the decision was given or reference made or the proceedings were commenced before or after the passing of the National Insurance Act 1972 (section 5 of which is replaced by this section), except that it shall not affect the determination of any appeal under section 112 from a decision of a medical appeal tribunal given before the passing of that Act, nor affect any proceedings consequent on such an appeal from a decision so given; and accordingly—

(a) any decision given before the passing of that Act that a claimant was not entitled to industrial death benefit may be reviewed in accordance with this Part of this Act to give effect to subsection (4) above; and

(b) the references in subsections (2) and (3) above to provisions of this Act, and the reference in this section to section 108, shall (so far as necessary) include the corresponding provisions of previous Acts.

Questions as to child or family

118

(1) Subject to subsection (2) below, this section applies to any question—

(a) whether a person is or was a child, or is or was under school-leaving age;

(b) whether a person has or had a family including a child or children, or is or was a child of some other person's family;

(c) whether a person could have been treated under paragraph 3 of the Schedule to the Family Allowances Act as, or but for certain facts would have been, or could have been so treated as, a child of any other person's family;

(d) whether, for the purposes of the payment to a beneficiary of any benefit in respect of a child, the child in question is living with the beneficiary.

(2) This section does not apply—

(a) to any question within section 95(1)(d) of this Act; or

(b) to the question whether a person is to be treated for any purpose as having a family including a child or children, or as being a child of some other person's family.

(3) Where a question to which this section applies arises with respect to benefit, the question shall be determined in accordance with the foregoing provisions of this Part of this Act, subject to any prescribed modifications and adaptations.

(4) Any decision of a question to which this section applies by virtue of subsection (1)(a) to (c) above, if given under this Part of this Act, shall have effect also for the purposes of the Family Allowances Act, whether given for the purposes of this Act or of that Act.

Effect of adjudication on payment and recovery

119

(1) Where benefit is or has been paid in pursuance of a decision which is reversed or varied on appeal, or is revised on a review, then, subject to subsection (2) below, the decision given on the appeal or review shall require repayment to the Secretary of State of any benefit which was paid in pursuance of the original decision to the extent to which it—

(a) would not have been payable if the decision on the appeal or review had been given in the first instance; and

(b) is not directed to be treated as paid on account of the benefit awarded by the decision on appeal or review, or as having been properly paid.

(2) A decision given on appeal or review shall not require repayment of benefit paid in pursuance of the original decision in any case where it is shown to the satisfaction of the person or tribunal determining the appeal or review that in the obtaining and receipt of the benefit the beneficiary, and any person acting for him, has throughout used due care and diligence to avoid overpayment.

(3) Regulations may make provision as respects matters arising—

(a) pending the determination under this Act (whether in the first instance or on an appeal or reference, and whether originally or on review) of any claim for benefit or of any question affecting any person's right to benefit or its receipt, or any person's liability for contributions under Part I of this Act; or

(b) out of the revision on appeal or review of any decision under this Act on any such claim or question.

(4) Without prejudice to the generality of subsection (3) above, regulations thereunder may include provision—

(a) as to the date from which any decision on a review is to have effect or to be deemed to have had effect;

(b) for treating any benefit paid to any person under an award, or by virtue of any provision of the regulations, which it is subsequently decided was not payable, as properly paid or as paid on account of any other benefit which it is decided was payable to him, or for the repayment of any such benefit and the recovery thereof by deduction from other benefit, or from any payment under the Old Cases Act (other than a payment in respect of the death of any person), or otherwise;

(c) modifying subsections (1) and (2) above in relation to sums paid by way of benefit in respect of a child of the family of a man and his wife living together where those sums would have been receivable, if properly paid, by either the man or the wife;

(d) making any such provision for the recovery of sums paid by way of benefit and required to be repaid by virtue of subsection (1) as is authorised to be made in a case where repayment is required by the regulations.

PART IV — General Provisions as to Operation and Administration of this Act

Review and re-rating of contributions

Annual review of contributions

120

(1) As soon as may be after 6th April 1975, the Secretary of State shall review the general level of earnings in Great Britain, taking into account changes in that level which have taken place in and since the tax year 1973-74, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section to have effect in relation to the second year of operation of sections 2 to 10 of this Act.

(2) In that year, and thereafter in each subsequent tax year, the Secretary of State shall carry out a further review of the general level of earnings, taking into account changes in that level which have taken place since his last review under this section, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section, to have effect in relation to the next following tax year.

(3) For the purposes of any review under this section, the Secretary of State—

(a) shall estimate the general level of earnings in such manner as he thinks fit; and

(b) shall take into account any other matters appearing to him to be relevant to his determination whether or not an order should be made under this section, including the current operation of this Act.

(4) If the Secretary of State determines, as a result of a review under this section, that having regard to changes in the general level of earnings which have taken place, and to any other matters taken into account on the review, an order under this section should be made for the amendment of Part I of this Act, he shall prepare and lay before each House of Parliament a draft of such an order framed so as to give effect to his conclusions on the review.

(5) An order under this section may amend Part I by altering any one or more of the following figures—

(a) the figures specified in section 4(1) as the lower and upper earnings limits for Class 1 contributions;

(b) the figure specified in section 7(1) as the weekly rate of Class 2 contributions;

(c) the figure specified in section 7(5) as the amount of earnings below which regulations under that subsection may except an earner from liability for Class 2 contributions;

(d) the figure specified in section 8(1) as the amount of a Class 3 contribution;

(e) the figures specified in section 9(2) as the lower and upper limits of profits or gains which are to be taken into account for the purposes of Class 4 contributions.

(6) An order under this section, if it contains an amendment altering either of the figures specified in section 9(2), shall make the same alteration of the corresponding figure specified in section 10(1).

(7) If the Secretary of State determines as a result of a review under this section that, having regard to his conclusions in respect of the general level of earnings and otherwise, no such amendments of Part I are called for as can be made for the purposes of subsection (5) above, and determines accordingly not to lay a draft of an order before Parliament, he shall instead prepare and lay before each House of Parliament a report explaining his reasons for that determination.

Orders under s.120 (supplementary)

121

(1) Where the Secretary of State lays before Parliament a draft of an order under section 120 above, he shall lay with it a copy of a report by the Government Actuary on the effect which, in the Actuary's opinion, the making of such an order may be expected to have on the National Insurance Fund ; and, where he determines not to lay a draft order, he shall with the report laid before Parliament under section 120(7) lay a copy of a report by the Government Actuary on the consequences for the Fund which may, in the Actuary's opinion, follow from that determination.

(2) Where the Secretary of State lays before Parliament a draft of an order under section 120, then if the draft is approved by a resolution of each House, the Secretary of State shall make an order in the form of the draft.

(3) An order under section 120 shall be made so as to be in force from the beginning of the tax year following that in which it received Parliamentary approval, and to have effect for that year and any subsequent tax year (subject to the effect of any subsequent order under that section or section 122 below); and for this purpose the order is to be taken as receiving Parliamentary approval on the date on which the draft of it is approved by the second House to approve it.

Additional power to alter contributions

122

(1) Without prejudice to section 120 of this Act, the Secretary of State may at any time, if he thinks it expedient to do so with a view to adjusting the level at which the National Insurance Fund stands for the time being and having regard to the sums which may be expected to be paid from the Fund in any future period, make an order amending Part I of this Act by altering any one or more of the following figures—

(a) the percentage rates for primary and secondary Class 1 contributions specified in section 4(6);

(b) the figure specified in section 7(1) as the weekly rate of Class 2 contributions;

(d) the percentage rate for Class 4 contributions specified in section 9(2).

(2) An order under subsection (1) above shall, if it contains an amendment altering the percentage rate for Class 4 contributions specified in section 9(2), make the same alteration of the percentage rate specified in section 10(1).

(3) An order under subsection (1) above may—

(a) if it contains an amendment altering the figure specified in section 7(1) as the weekly rate of Class 2 contributions and the Secretary of State thinks it expedient in consequence of that amendment, amend section 7(5) by altering the figure there specified as the amount of earnings below which regulations under that subsection may except an earner from liability for Class 2 contributions;

(b) if the Secretary of State thinks it expedient in consequence—

(i) of any amendments of Part I made by the order, or

(ii) of any regulations under sections 127 to 132 which he has made or proposes to make with a view to adjusting the percentage rate of Class 1 contributions in the case of particular categories or descriptions of earners,

amend section 134(4) of this Act by altering any one or more of the percentages there specified in relation to the appropriate national health service allocation and the appropriate allocation to the Redundancy Fund.

(4) Without prejudice to the foregoing provisions, but subject to subsection (6) below, the Secretary of State may at any time, if he thinks it expedient to do so with a view to adjusting the level at which the Redundancy Fund stands for the time being and having regard to the sums which may be expected to be paid from that Fund in any future period, make an order amending section 4(6) of this Act by altering the percentage rate for secondary Class 1 contributions specified in that subsection.

(5) Where the Secretary of State determines to make an order under subsection (4) above, the order shall also provide for the amendment of section 134(4) of this Act by increasing or reducing the percentage there specified in relation to the appropriate allocation to the Redundancy Fund by the same amount as that by which the order increases or reduces the percentage rate for secondary Class 1 contributions.

(6) No order shall be made under this section so as to increase the percentage rate for primary or secondary Class 1 contributions, or for Class 4 contributions, to a percentage more than 0-25 per cent. higher than that which is specified in section 4(6) or, as the case may be, section 9(2) of this Act as for the time being amended by any other Act.

Orders under s.122 (supplementary)

123

(1) No order shall be made under section 122 above unless a draft of the order has been laid before, and approved by, a resolution of each House of Parliament.

(2) Where the Secretary of State lays before Parliament a draft of an order under that section, he shall lay with it a copy of a report by the Government Actuary on the effect which, in the Actuary's opinion, the making of such an order may be expected to have on the National Insurance Fund:

Provided that no such report need be laid if the order is made by virtue only of section 122(4) or (5).

(3) An order under section 122 shall be made so as to be in force from the beginning of the tax year following that in which it received Parliamentary approval, and to have effect for that year and any subsequent tax year (subject to the effect of any subsequent order under that section or under section 120 above); and for this purpose the order is to be taken as receiving Parliamentary approval on the date on which the draft of it is approved by the second House to approve it.

Up-rating of benefits

Power to increase rates of benefit

124

(1) The Secretary of State may by order increase any of the sums specified in—

(a) Schedule 4 to this Act;

(b) Schedule 6 to this Act, paragraphs 3(1)(a)(i) and (ii) (calculation of earnings-related supplement and addition) ; and

(d) sections 30(1) and (2), 45(3) and (4), 66(4) and (5) of this Act (earnings rules).

(2) No order shall be made under this section unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament.

(3) The Secretary of State shall lay with any draft order under this section a copy of a report by the Government Actuary giving the latter's opinion on the likely effect on the National Insurance Fund of the making of the order.

Duty to increase certain benefits

125

(1) The Secretary of State shall in the tax year 1975-1976 and each subsequent tax year review the sums specified in—

(a) Schedule 4 to this Act, Parts I, III, IV and V (except the sum specified in Part III for age addition); and

(b) sections 2(6)(c) and 7(2)(b) of the Old Cases Act,

for the purpose of determining whether those sums have retained their value in relation to the general level of earnings or prices obtaining in Great Britain.

(2) For the purposes of any such review the Secretary of State shall estimate the general level of earnings and prices in such manner as he thinks fit and shall have regard either to earnings or prices according to which he considers more advantageous to beneficiaries, except that he shall have regard only to prices as respects the sums specified in—

(a) Part I of Schedule 4 to this Act, paragraphs 1 and 4, and Part IV of that Schedule, paragraphs 1(a) and 3 (unemployment and sickness benefit and maternity allowance); and

(b) Part V of that Schedule, paragraphs 1, 9, 11 and 15(6) (injury benefit and lower rate allowance in respect of deceased's children).

(3) If on any such review the Secretary of State concludes that any of the sums in question have not retained their value as mentioned above, he shall prepare and lay before each House of Parliament the draft of an up-rating order increasing those sums at least to such extent as he thinks necessary to restore their value.

(4) If a draft order laid before Parliament in pursuance of this section is approved by resolution of each House, the Secretary of State shall make the order in the form of the draft.

Supplementary provisions as to up-rating

126

(1) If on a review under section 125 above the Secretary of State determines that he is not required to prepare and lay the draft of an up-rating order, he shall instead lay before each House of Parliament a report explaining his reasons for arriving at that determination.

(2) The Secretary of State shall with any report under subsection (1) above lay a copy of a report by the Government Actuary giving the latter's opinion on the likely effect on the National Insurance Fund of the Secretary of State's determination that no order is required.

(3) Section 125(3) above shall not require the Secretary of State to provide for an increase in any case in which it appears to him that the amount of the increase would be inconsiderable.

(4) The Secretary of State may, in providing for an increase in pursuance of section 125(3), adjust the amount of the increase so as to secure that the sums specified for any particular benefits continue to differ from each other by the same amount, or so as to round any sum up or down to such extent as he thinks appropriate having regard to the nature and the rate or amount of the benefit in question.

(5) A draft order prepared under section 125(3) shall be framed so as to bring the increase of any sum to which it relates into force not later than the expiration of the period of 12 months beginning with the date on which the provision fixing the current amount of that sum came into force; but if since that date there have been laid before Parliament under subsection (1) of this section one or more reports, or one or more draft orders not increasing that sum, that period shall be extended by a further 12 months for each such report or draft order.

(6) Schedule 14 to this Act has effect with respect to benefit under this Act or the Old Cases Act, where rates of benefit are altered—

(a) by an Act subsequent to this Act, or by an up-rating order; or

(b) in consequence of any such Act or order altering any maximum rate of benefit.

Special classes of earners

Crown employment

127

(1) Subject to the provisions of this section, this Act applies to persons employed by or under the Crown in like manner as if they were employed by a private person.

(2) This section does not apply to persons serving as members of Her Majesty's forces ; and employment as a member of those forces and any other prescribed employment under the Crown are not, and are not to be treated as, employed earner's employment for any of the purposes of Chapter IV or V of Part II of this Act.

Her Majesty's forces

128

(1) Subject to section 127(2) above and to this section, a person who is serving as a member of Her Majesty's forces shall, while he is so serving, be treated for the purposes of this Act as an employed earner in respect of his membership of those forces.

(2) The Secretary of State may make regulations modifying Parts I, II and III of this Act, in such manner as he thinks proper, in their application to persons who are or have been members of Her Majesty's forces; and regulations under this section may in particular provide—

(a) in the case of persons who are employed earners in respect of their membership of those forces, for reducing the rate of the contributions payable in respect of their employment and for determining—

(i) the amounts payable on account of those contributions by the Secretary of State and the time and manner of payment, and

(ii) the deductions (if any) to be made on account of those contributions from the pay of those persons;

(b) for preventing a person who is discharged from Her Majesty's forces at his own request from being thereby disqualified for receiving unemployment benefit on the ground that he has voluntarily left his employment without just cause.

(3) For the purposes of this Act, Her Majesty's forces shall be taken to consist of such establishments and organisations as may be prescribed, being establishments and organisations in which persons serve under the control of the Defence Council.

(4) The Secretary of State's power under subsection (2) above to make regulations with respect to Her Majesty's forces and his corresponding power to make regulations under section 123 of the Social Security (Northern Ireland) Act 1975 together have the same extent as the former power under section 40(3) of the 1973 Act when made by the Social Security Amendment Act 1974. to extend to the whole of the United Kingdom.

Mariners, airmen, etc.

129

(1) The Secretary of State may make regulations modifying provisions of Parts I, II and III of this Act, in such manner as he thinks proper, in their application to persons who are or have been, or are to be, employed on board any ship, vessel, hovercraft or aircraft.

(2) Regulations under subsection (1) above may in particular provide—

(a) for any such provision to apply to such persons, notwithstanding that it would not otherwise apply ;

(b) for excepting such persons from the application of any such provision where they neither are domiciled nor have a place of residence in any part of Great Britain ;

(c) for requiring the payment of secondary Class 1 contributions in respect of such persons, whether or not they are (within the meaning of Part I) employed earners ;

(d) for the taking of evidence, for the purposes of any claim to benefit, in a country or territory outside Great Britain, by a British consular official or such other person as may be prescribed ;

(e) for enabling persons who are or have been so employed to authorise the payment of the whole or any part of any benefit to which they are or may become entitled to such of their dependants as may be prescribed.

(3) Any secondary Class 1 contribution payable by an employer—

(a) in respect of payments to a person employed on board a ship, vessel or hovercraft, where that person is by virtue of this section excepted from liability to pay a primary Class 1 contribution in respect of the payments ; or

(b) by virtue of this section in respect of a person so employed who is not an employed earner within the meaning of Part I,

shall be excluded from the contributions which under section 1(5) of this Act are to be taken into account for the purpose of arriving at the amount of any Treasury supplement and shall be administered and applied in such manner and for such purposes as may be prescribed.

Married women and widows

130

(1) The Secretary of State may make regulations modifying any of the following provisions of this Act, namely—

Part I, and

Chapters I, II and III of Part II (except section 33 in Chapter I),

in such manner as he thinks proper, in their application to women who are or have been married.

(2) Regulations under this section shall provide (subject to any prescribed conditions and exceptions) for enabling a married woman or widow to elect that in any tax year—

(a) her liability in respect of primary Class 1 contributions shall be a liability to contribute at the reduced, instead of the standard, rate ; or

(b) she shall be under no liability for Class 2 contributions,

and to revoke any such election.

(3) Regulations made for the purposes of subsection (2) above shall provide so that—

(a) a woman's election for those purposes is not to be made or revoked otherwise than in respect of a complete tax year (whether the year in which the election is made, or any subsequent year); and

(b) an election made or revoked for either one of the purposes mentioned in subsection (2) is to be deemed to be made or revoked for the other purpose also ; and

Persons outside Great Britain

131

The Secretary of State may make regulations modifying Parts I, II and III of this Act, in such manner as he thinks proper, in their application to persons who are or have been outside Great Britain at any prescribed time or in any prescribed circumstances.

Employment at sea (continental shelf operations)

132

(1) The Secretary of State may by regulations provide for modifying Parts I, II and III of this Act, in such manner as he thinks proper, in their application to persons in any prescribed employment (whether under a contract of service or not) in connection with continental shelf operations.

(2) " Continental shelf operations" means the exploitation of resources mentioned in section 1(1) of the Continental Shelf Act 1964 or the exploration of the sea bad and subsoil in any area designated under section 1(7) of that Act.

(3) In particular (but without prejudice to the generality of subsection (1) above), the regulations may provide for any prescribed provision of Parts I and II of this Act to apply to such a person notwithstanding that he does not fall within the description of an employed or self-employed earner, or does not fulfil the conditions prescribed under section 1(6) of this Act as to residence or presence in Great Britain.

Finance

National Insurance Fund

133

(1) The National Insurance Fund shall continue to be maintained under the control and management of the Secretary of State.

(2) Accounts of the National Insurance Fund shall be prepared in such form, and in such manner and at such times, as the Treasury may direct, and the Comptroller and Auditor-General shall examine and certify every such account and shall lay copies thereof, together with his report thereon, before Parliament.

(3) Any money in the National Insurance Fund may from time to time be paid over to the National Debt Commissioners and be invested by them, in accordance with such directions as may be given by the Treasury, in any such manner as may be specified by an order of the Treasury for the time being in force under section 22(1) of the National Savings Bank Act 1971.

(4) The National Debt Commissioners shall present to Parliament annually an account of the securities in which money in the National Insurance Fund is for the time being invested.

(5) There shall be made out of the National Insurance Fund into the Consolidated Fund, or out of money provided by Parliament into the National Insurance Fund, such payments by way of adjustment as the Secretary of State determines (in accordance with any directions of the Treasury) to be appropriate in consequence of the operation of any enactment or regulations relating to the repayment or offsetting of benefit or other payments.

(6) Where in other circumstances payments fall to be made by way of adjustment—

(a) out of the National Insurance Fund either to the Secretary of State or another government department, or into the Reserve Pension Fund or the Consolidated Fund; or

(b) into the National Insurance Fund out of the Reserve Pension Fund or out of money provided by Parliament,

then, in such cases or classes of case as may be specified by the Secretary of State by order made with the consent of the Treasury, the amount of the payments to be made shall be taken to be such, and payments on account thereof shall be made at such times and in such manner, as may be determined by the Secretary of State in accordance with any directions given by the Treasury.

Destination of contributions and Treasury supplements

134

(1) Contributions received by the Secretary of State under Part I of this Act shall be paid by him into the National Insurance Fund after deducting—

(a) from contributions of any class, the appropriate national health service allocation in the case of contributions of that class ; and

(b) from secondary Class 1 contributions, the appropriate allocation to the Redundancy Fund.

(2) The contributions referred to in subsection (1) above include those paid over to the Secretary of State by the Inland Revenue under section 9(4) of this Act and Schedule 1, paragraph 5(3); but subsection (1) is subject to section 9(6) as respects contributions from Northern Ireland.

(3) The Treasury supplements shall be paid, in accordance with any directions given by the Treasury, into the National Insurance Fund.

(4) In subsection (1) above, " the appropriate national health service allocation " means—

(a) in the case of primary Class 1 contributions, 0-4 per cent. of the amount determined to be that of the earnings in respect of which those contributions were paid;

(b) in the case of secondary Class 1 contributions, 0-6 per cent, of the amount determined to be that of the earnings in respect of which those contributions were paid;

(d) in the case of Class 3 contributions, 8 per cent. of the amount determined to be the total of those contributions ; and

(e) in the case of Class 4 contributions, 0-6 per cent. of the amount determined to be that of the earnings in respect of which those contributions were paid ;

and " the appropriate allocation to the Redundancy Fund ", in the case of secondary Class 1 contributions, means 0-2 per cent. of the amount determined to be that of the earnings in respect of which those contributions were paid; and in this subsection " determined " means determined by the Secretary of State in accordance with any directions given by the Treasury.

(5) So much of any contributions as is to be deducted under subsection (1) above before payment of the remainder into the National Insurance Fund shall be dealt with as follows—

(a) from the national health service allocation in respect of contributions of any class there shall be deducted such amount as the Secretary of State may estimate to be the portion of the total expenses incurred by him or any other government department in collecting contributions of that class which is fairly attributable to that allocation, and the remainder shall, in the hands of the Secretary of State, be taken as paid towards the cost—

(i) of the national health service in England ;

(ii) of that service in Wales, and

(iii) of that service in Scotland,

in such shares as the Treasury may determine ;

(b) from the appropriate allocation to the Redundancy Fund there shall be deducted such amount as the Secretary of State may estimate to be the portion of the total expenses incurred by him or any other government department in collecting secondary Class 1 contributions which is fairly attributable to that allocation, and the remainder shall be paid by the Secretary of State into that Fund ; and

(c) any amounts deducted in accordance with paragraphs (a) and (b) above shall be paid by the Secretary of State into the Consolidated Fund ;

and any estimate by the Secretary of State for the purposes of those paragraphs shall be made in accordance with any directions given by the Treasury.

(6) The Secretary of State may make regulations modifying this section, in such manner as he thinks proper, in relation to the contributions of persons referred to in—

section 128(2) (H.M. forces);

section 129(1) (mariners, airmen, etc.), and

section 132(1) (continental shelf workers).

General financial arrangements

135

(1) Subject to subsection (2) below, all benefit under Part II of this Act shall be paid out of the National Insurance Fund.

(2) Subsection (1) does not apply to any of the following benefits, namely—

(a) an attendance allowance;

(b) a non-contributory invalidity pension ;

(d) a Category C or Category D retirement pension;

(e) age addition payable—

(i) under section 40(1), in respect of a retirement pension of either of those categories, or

(ii) under section 40(2);

(f) benefit payable under section 39(4) (benefits for old people payable under regulations and corresponding to Category C pension, etc.).

(3) There shall be paid out of money provided by Parliament—

(a) any administrative expenses of the Secretary of State or other government department in carrying this Act and the Old Cases Act into effect; and

(b) any of the benefits which by virtue of subsection (2) above are not payable out of the National Insurance Fund,

except in so far as they may be required by any enactment to be paid or borne in some other way.

(4) The administrative expenses referred to in subsection (3)(a) above include those in connection with any inquiry undertaken on behalf of the Secretary of State with a view to obtaining statistics relating to the operation of this Act or the Old Cases Act.

(5) There shall be paid out of the National Insurance Fund into the Consolidated Fund, at such times and in such manner as the Treasury may direct, such sums as the Secretary of State may estimate (in accordance with any directions given by the Treasury) to be the amount of the administrative expenses incurred as mentioned in subsection (3)(a) above, excluding—

(a) expenses attributable to the carrying into effect of provisions of this Act relating to the benefits which by virtue of subsection (2) above are not payable out of the National Insurance Fund ; and

(b) any other category of expenses which the Treasury may direct, or any enactment may require, to be excluded from the Secretary of State's estimate under this subsection.

(6) Any sums repaid to the Secretary of State in pursuance of section 119(1) (effect of adjudication) shall—

(a) be paid by him into the Consolidated Fund in so far as they represent benefit which under this section is payable out of money provided by Parliament and not out of the National Insurance Fund; and

(b) otherwise, be paid by him into that Fund.

Payments for purposes of s.92

136

(1) The Secretary of State may, with the consent of the Treasury—

(a) issue out of the National Insurance Fund sums equal to the respective amounts (as estimated in accordance with this section) which, but for any arrangement to which section 92 of this Act applies, would have been paid out of that Fund by way of benefit; and

(b) deal with those sums in accordance with the following provisions of this section.

(2) Any such sum which is attributable to an arrangement relating to the members, officers and servants of the Post Office shall be paid to the Post Office; and, subject to this, any such sum shall be paid to such person or fund (including the Consolidated Fund) as the Treasury may direct.

(3) The amounts mentioned in subsection (1)(a) above shall be estimated—

(a) where the payment is to be made into the Consolidated Fund, by the Secretary of State; and

(b) in any other case in such manner as may be agreed between the person receiving the payment (or responsible for the fund to which the payment is made) and the Secretary of State acting with the consent of the Treasury.

(4) Subsection (1) above shall not apply where the pay during absence from work covered by the relevant arrangement forms part of the expenses within section 135(5) above.

Financial review and report

137

(1) As from the end of the period of 5 years from 6th April 1975, or such shorter period as the Secretary of State may direct, the Government Actuary shall review the operation of this Act and the Old Cases Act during that period.

(2) Thereafter as from the end of each period of 5 tax years, or such shorter period as the Secretary of State may direct in respect of any review, the Government Actuary shall review the operation (during the period since the end of the last period to be the subject of a review) of this Act and the Old Cases Act.

(3) It shall be the object of a review by the Government Actuary under this section to determine the extent to which the level at which the National Insurance Fund stands from year to year may be expected in the longer term to bear a proper relation to demands in respect of payments of benefit; and for this purpose the Actuary shall take into account current rates of contributions, the yield to be expected from contributions in the longer term, and such other matters as he considers to be relevant as affecting the present and future level of the Fund.

(4) After completing his review, the Government Actuary shall report to the Secretary of State his opinion on the question referred to in subsection (3) above; and the Secretary of State shall lay a copy of the report before Parliament.

Advisory bodies

National Insurance Advisory Committee

138

(1) The National Insurance Advisory Committee constituted under section 88 of the former principal Act shall continue in being by that name—

(a) to give advice and assistance to the Secretary of State in connection with the discharge of his functions under this Act; and

(b) to perform such other duties as may be assigned to them by or under this Act.

(2) Part I of Schedule 15 to this Act has effect with respect to the Committee's constitution and otherwise with respect to the Committee and its affairs.

(3) The Secretary of State—

(a) may from time to time refer to the Committee for consideration and advice such questions relating to the operation of this Act as he thinks fit (including questions as to the advisability of amending it); and

(b) shall furnish to the Committee such information as they may reasonably require for the proper discharge of their functions under this Act.

(4) References in subsections (1) and (3) above to this Act do not include its application in relation to industrial injuries benefit or its administration.

Committee to be consulted as to regulations

139

(1) Where the Secretary of State proposes to make regulations, he shall (unless it appears to him that by reason of the urgency of the matter it is inexpedient to do so) refer the proposals, in the form of draft regulations or otherwise, to the National Insurance Advisory Committee.

(2) Subsection (1) above does not apply to regulations specified in Part II of Schedule 15 to this Act.

(3) The Committee shall consider any proposals referred to them under this section and make to the Secretary of State a report containing such recommendations with regard to the subject-matter of the proposals as they think appropriate.

(4) If after receiving the report of the Committee the Secretary of State lays before Parliament any regulations or draft regulations which comprise the whole or any part of the subject-matter of the proposals referred to the Committee, he shall lay with the regulations or draft a copy of the Committee's report and a statement showing—

(a) the extent (if any) to which the Secretary of State has, in framing the regulations, given effect to the Committee's recommendations; and

(b) in so far as effect has not been given to them, his reasons why not.

(5) In relation to regulations required or authorised to be made by the Secretary of State in conjunction with the Treasury, any reference in this section to the Secretary of State is to be construed as a reference to the authorities making or proposing to make the regulations.

(6) In the case of any regulations laid before Parliament at a time when Parliament is not sitting, the requirements of sub-section (4) above shall be deemed to be satisfied as respects either House of Parliament if a copy of the report and statement there referred to are laid before that House not later than the second day on which the House sits after the laying of the regulations.

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