Social Security Act 1975

• (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

• (c) the Secretary of State.

• (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;

• (c) for enabling an appeal to be brought from such a tribunal to, or to a tribunal presided over by, a Commissioner.

• (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;

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

• (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

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

• (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

• (c) while an election has effect, the woman who made it is not entitled to pay any Class 3 contributions.

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;

• (c) in the case of Class 2 contributions, 8 per cent. of the amount determined to be the total of those contributions ;

• (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 ;

• (c) an invalid care allowance ;

• (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.

Advisory functions in relation to attendance allowance

140

The Attendance Allowance Board shall have (in addition to their other functions)—

• (a) the functions of advising the Secretary of State on such matters as he may refer to them relating to—

• (i) the operation of provisions of this Act in relation to attendance allowance (including questions as to the advisability of amending those provisions),

• (ii) the exercise, in relation to attendance allowance, of his powers under those provisions ; and

• (b) such other functions, if any, as the Secretary of State may determine.

Industrial Injuries Advisory Council

141

• (1) The Industrial Injuries Advisory Council constituted under section 62 of the former Industrial Injuries Act shall continue in being by that name; and Part I of Schedule 16 to this Act has effect with respect to the Council's constitution and otherwise with respect to the Council and its affairs.

• (2) Where the Secretary of State proposes to make regulations to which this subsection applies, 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 Council for consideration and advice; and this subsection applies to all regulations relating only to industrial injuries benefit or its administration, except regulations specified in Schedule 16, Part II.

• (3) The Secretary of State may from time to time refer to the Council for consideration and advice such questions as he thinks fit relating to industrial injuries benefit or its administration.

Social security systems outside Great Britain

Co-ordination with Northern Ireland

142

• (1) The Secretary of State may with the consent of the Treasury make arrangements with the Northern Ireland Department (" the joint arrangements ") for co-ordinating the operation of this Act and the Social Security (Northern Ireland) Act 1975 with a view to securing that, to the extent allowed for in the arrangements, those Acts provide a single system of social security for the United Kingdom.

• (2) The Joint Authority constituted under the former principal Act, and consisting of the Secretary of State and the Head of the Northern Ireland Department, shall continue in being by that name for the purposes of this Act and the Social Security (Northern Ireland) Act 1975; and Schedule 17 to this Act has effect with respect to the Joint Authority.

• (3) The responsibility of the Joint Authority shall include that of giving effect to the joint arrangements, with power—

• (a) to make any necessary financial adjustments between the National Insurance Fund and the Northern Ireland National Insurance Fund; and

• (b) to discharge such other functions as may be provided under the joint arrangements.

• (4) The Secretary of State may make regulations for giving effect to the joint arrangements; and any such regulations may for the purposes of the arrangements provide—

• (a) for adapting legislation (including subordinate legislation) for the time being in force in Great Britain so as to secure its reciprocal operation with Northern Ireland;

• (b) without prejudice to paragraph (a) above, for securing that acts, omissions and events having any effect for the purposes of the enactments in force in Great Britain have a corresponding effect in relation to Northern Ireland.

• (5) The following provisions of this Act, namely—

• section 139 (consultation with National Insurance Advisory Committee); and

• section 167 (Parliamentary control of statutory instruments),

as they apply to regulations made by the Secretary of State under section 128(2) or (3), apply also to regulations made by him under section 123(2) or (3) of the Social Security (Northern Ireland) Act 1975 (H.M. forces).

• (6) Subsections (2) and (5) of this section, and Schedule 17 to this Act, extend to Northern Ireland.

Reciprocity with other countries

143

• (1) For the purpose of giving effect to any agreement with the government of a country outside the United Kingdom providing for reciprocity in matters relating to—

• (a) payments in respect of interruption of employment by unemployment, sickness or otherwise ;

• (b) payments in respect of the need of handicapped persons for attendance, the confinement of women, widowhood, orphanhood, retirement, old age, or death ; or

• (c) the payment of compensation or benefit to employed persons in respect of industrial or similar injuries,

Her Majesty may by Order in Council make provision for modifying or adapting this Act in its application to cases affected by the agreement.

• (2) The modifications of this Act which may be made by virtue of subsection (1) above include provision—

• (a) for securing that acts, omissions and events having any effect for the purposes of the law of the country in respect of which the agreement is made have a corresponding effect for the purposes of this Act (but not so as to confer a right to double benefit);

• (b) for determining, in cases where rights accrue both under this Act and under the law of that country, which of those rights is to be available to the person concerned ;

• (c) for making any necessary financial adjustments.

Enforcement

Appointment and powers of inspectors

144

• (1) For the purposes of this Act, the Secretary of State may appoint such inspectors, and pay to them such salaries or remuneration, as he may determine with the consent of the Minister for the Civil Service.

• (2) An inspector appointed under this section shall, for the purposes of the execution of this Act, have the following powers—

• (a) to enter at all reasonable times any premises liable to inspection under this Act;

• (b) to make such examination and inquiry as may be necessary—

• (i) for ascertaining whether the provisions of this Act are being, or have been, complied with in any such premises, or

• (ii) for investigating the circumstances in which any injury or disease which has given or may give rise to a claim for industrial injuries benefit was or may have been received or contracted;

• (c) to examine, either alone or in the presence of any other person, as he thinks fit, in relation to any matters under this Act on which he may reasonably require information, every person whom he finds in any such premises or whom he has reasonable cause to believe to be or to have been a person liable to pay contributions under this Act, and to require every such person to be so examined;

• (d) to exercise such other powers as may be necessary for carrying this Act into effect.

• (3) The premises liable to inspection under this Act are any where an inspector has reasonable ground for supposing that—

• (a) any persons are employed ; or

• (b) there is being carried on any agency or other business for the introduction or supply to persons requiring them of persons available to do work or to perform services;

but do not include any private dwelling-house not used by, or by permission of, the occupier for the purposes of a trade or business.

• (4) Every inspector shall be furnished with a certificate of his appointment, and on applying for admission to any premises for the purposes of this Act shall, if so required, produce the certificate.

• (5) Where any premises are liable to be inspected by an inspector or officer appointed or employed by, or are under the control of, some other government department, the Secretary of State may make arrangements with that department for any of the powers or duties of inspectors under this Act to be carried out by an inspector or officer employed by that department; and, where such an arrangement is made, such inspectors or officers shall have all the powers of an inspector under this Act.

• (6) In this section and section 145 below " premises " includes any place ; and in subsection (2)(b) and (c) above the references to this Act include the former principal Act and the former Industrial Injuries Act.

Duty to submit to inspection

145

• (1) In accordance with this section, persons shall furnish to an inspector all such information, and produce for his inspection all such documents, as he may reasonably require for the purpose of ascertaining—

• (a) whether any contributions under this Act are or have been payable, or have been duly paid, by or in respect of any person; or

• (b) whether benefit is or was payable to or in respect of any person.

• (2) The following persons are under the duty imposed by subsection (1) above—

• (a) the occupier of any premises liable to inspection under this Act;

• (b) any person who is or has been employing another ;

• (c) any person carrying on an agency or other business for the introduction or supply to persons requiting them of persons available to do work or perform services;

• (d) the servants or agents of any such person as is specified in paragraph (a), (b) or (c) above ; and

• (e) any person who is or has been liable to pay such contributions;

but no one shall be required under this section to answer any questions or to give any evidence tending to incriminate himself or, in the case of a person who is married, his or her spouse.

• (3) If a person—

• (a) Wilfully delays or obstructs an inspector in the exercise of any power under this Act; or

• (b) refuses or neglects to answer any question or to furnish any information or to produce any document when required so to do under this Act;

he shall be liable on summary conviction to a fine not more than £50.

• (4) Where a person is convicted of an offence under subsection (3)(b) above and the refusal or neglect is continued by him after his conviction, he shall be guilty of a further offence and liable on summary conviction to a fine not more than £10 for each day on which it is so continued.

Offences and penalties

146

• (1) If a person fails to pay, at or within the time prescribed for the purpose, any contribution which he is liable under Part I of this Act to pay, he shall be liable on summary conviction to a fine not more than £50.

• (2) Subsection (1) above does not apply to Class 4 contributions recoverable by the Inland Revenue.

• (3) If a person—

• (a) buys, sells or offers for sale, takes or gives in exchange, or pawns or takes in pawn a contribution card or a used contribution stamp; or

• (b) affixes a used contribution stamp to a contribution card; or

• (c) for the purpose of obtaining any benefit or other payment under this Act, whether for himself or some other person, or for any other purpose connected with this Act—

• (i) knowingly makes any false statement or false representation, or

• (ii) produces or furnishes, or causes or knowingly allows to be produced or furnished, any document or information which he knows to be false in a material particular,

he shall be liable on summary conviction to a fine not more than £400, or to imprisonment for a term not more than 3 months, or to both.

• (4) In this Act " contribution card " means any card issued under regulations for the purpose of payment of contributions by affixing stamps to it; and in any proceedings under subsection (3) above with respect to used stamps a stamp shall be deemed to have been used if it has been affixed to a contribution card or cancelled or defaced in any way whatsoever and whether or not it has actually been used for the payment of a contribution.

• (5) Subject to other express provisions of this Act, regulations may provide for the recovery on summary conviction of penalties for offences under this Act of contravening or failure to comply with regulations; but penalties so provided shall not exceed—

• (a) for any one offence, £50 ; or

• (b) for an offence of continuing any such contravention or failure after conviction, £10 for each day on which it is so continued;

but this subsection does not apply to a contravention of, or failure to comply with, regulations requiring a person to submit himself to medical treatment.

General provisions as to prosecutions

147

• (1) Proceedings in England and Wales for an offence under this Act shall not be instituted except by or with the consent of the Secretary of State or by an inspector or other officer authorised for that purpose by special or general directions of the Secretary of State.

• (2) An inspector or other officer so authorised may, although not of counsel or a solicitor, prosecute or conduct before a magistrates' court any proceedings for such an offence.

• (3) Notwithstanding any enactment prescribing the period within which summary proceedings may be commenced, proceedings for an offence under this Act may in England and Wales be commenced at any time within the period of 3 months from the date on which evidence, sufficient in the opinion of the Secretary of State to justify a prosecution for the offence, comes to his knowledge, or within the period of 12 months after the commission of the offence, whichever period last expires.

• (4) In Scotland, proceedings for an offence under this Act may be commenced at any time within the period of 3 months from the date on which evidence sufficient in the opinion of the Secretary of State to justify a report to the Lord Advocate with a view to consideration of the question of prosecution comes to the knowledge of the Secretary of State, or within the period of 12 months after the commission of the offence, whichever period last expires.

Section 23(2) of the Summary Jurisdiction (Scotland) Act 1954 (time limits) shall apply for the purposes of this subsection as it applies for the purposes of that section.

• (5) For the purposes of subsections (3) and (4) above, a certificate purporting to be signed by or on behalf of the Secretary of State as to the date on which the evidence in question came to his knowledge is conclusive evidence of the date on which it did so.

• (6) In proceedings for an offence under this Act, the wife or husband of the accused is competent to give evidence, whether for or against the accused:

Provided that the wife or husband is not compellable either to give evidence or, in giving evidence, to disclose any communication made to her or him by the accused during the marriage.

• (7) Where an offence under this Act which has been committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, a director, manager, secretary or other similar officer of the body corporate, or any person who was purporting to act in any such capacity, he, as well as the body corporate, shall be guilty of that offence and be liable to be proceeded against accordingly.

Where the affairs of a body corporate are managed by its members, this subsection applies in relation to the acts and defaults of a member in connection with his functions of management as if he were a director of the body corporate.

Questions arising in proceedings

148

• (1) Where in any proceedings—

• (a) for an offence under this Act; or

• (b) involving any question as to the payment of contributions under Part I (other than a Class 4 contribution recoverable by the Inland Revenue); or

• (c) for the recovery of any sums due to the Secretary of State or the National Insurance Fund,

any such question arises as is mentioned in section 93(1) of this Act, the decision of the Secretary of State shall be conclusive for the purposes of the proceedings.

• (2) If a decision of any such question is necessary for the determination of proceedings, and the decision of the Secretary of State has not been obtained or a question has been raised with a view to a review of the decision obtained, the question shall be referred to the Secretary of State for determination or review in accordance (subject to any necessary modifications) with Part III of this Act.

• (3) Subsection (1) above does not apply if an appeal under section 94 is pending, or the time for appealing has not expired, or a question has been raised with a view to a review of the Secretary of State's decision; and the court dealing with the case shall adjourn the proceedings until such time as a final decision on the question has been obtained.

Unpaid contributions

Evidence of non-payment

149

• (1) Subsection (2) below applies with respect to any period during which, under regulations made by virtue of paragraph 5(1) of Schedule 1 to this Act (deduction with P.A.Y.E.), contributions fall to be paid in like manner as income tax.

• (2) A certificate of a collector of taxes that any amount by way of contributions which a person is liable to pay to that collector for any period has not been paid—

• (a) to him ; or

• (b) to the best of his knowledge and belief, to any other person to whom it might lawfully be paid,

shall until the contrary is proved be sufficient evidence in any proceedings before any court that the sum mentioned in the certificate is unpaid and due.

• (3) A document purporting to be such a certificate shall be deemed to be such a certificate until the contrary is proved.