Social Security Act 1986

Part I — Pensions

Personal pension schemes

Minimum contributions to personal pension schemes

1

Appropriate schemes

2

Amount of minimum contributions

3

Effect of payment of minimum contributions on rate of certain benefits

4

Personal pension protected rights premium

5

Occupational pension schemes

Money purchase contracted-out schemes

6

Schemes becoming contracted-out between 1986 and 1993

7

Abolition of requirement relating to requisite benefits

8

Guaranteed minimum pensions

9

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (8) In section 59 of that Act (increase of official pensions) the following subsection shall be inserted after subsection (5)—

(5A) Nothing in section 37A(13), (14) or (15) above authorises any deduction from an increase in the rate of an official pension under this section.

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• (9) In section 59A of that Act (modification of effect of section 59(5)) the following subsection shall be inserted after subsection (2)—

(2A) Where in any tax year— (a) an increase is calculated in accordance with a direction under this section; and (b) the amount by reference to which the increase is calculated, or any part of it, is increased in that tax year under section 37A above, the increase calculated in accordance with the direction shall be reduced by the amount of the increase under section 37A above.

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Short-service benefit: qualifying service

10

Auditors

11

Provisions applying to personal and occupational pension schemes

Voluntary contributions

12

Regulations as to form and content of advertisements

13

Information

14

Terms of contracts of service or schemes restricting choice to be void

15

Actuarial tables

16

General power to modify statutory provisions

17

State earnings-related pension scheme

Additional pensions

18

Additional pensions-supplementary

19

• (1) The additional pension falling to be calculated under section 6 of the Social Security Pensions Act 1975 by virtue of any of the following provisions—

• (a) section 7 (rate of widow's Category B retirement pension) ;

• (b) section 8 (Category B retirement pension for widower);

• (c) section 13 (rate of widowed mother's allowance and widow's pension); and

• (d) section 16(4) (invalidity pension for widowers),

shall be one-half of the amount so calculated if the deceased spouse died after 5th April 2000.

• (2) In paragraph 4 of Schedule 1 to that Act—

• (a) the words " Subject to sub-paragraph (2A) below, where " shall be substituted for the word " Where ", in sub-paragraphs (1) and (2); and

• (b) the following sub-paragraph shall be inserted after sub-paragraph (2)—

(2A) If a married person dies after 5th April 2000, the rate of the retirement pension for that person's widow or widower shall be increased by an amount equivalent to the sum of— (a) the increase in the basic pension to which the deceased spouse was entitled ; and (b) one-half of the increase in the additional pension.

.

• (3) In sub-paragraph (1) of paragraph 4A of that Schedule after the word "increased" there shall be inserted the words " , subject to sub-paragraph (1A) below, ".

• (4) The following sub-paragraph shall be inserted after that sub-paragraph—

(1A) Where the husband dies after 5th April 2000, sub-paragraph (1) above shall have effect in relation to his widow as if for the words from " the following amounts " onwards there were substituted the words " the following amounts— (i) one-half of the appropriate amount after it has been reduced by the amount of any increases under section 37A of this Act; and (ii) one-half of any increase to which he had been entitled under this paragraph.

.

• (5) In sub-paragraph (2), after the word "increased" there shall be inserted the words " , subject to sub-paragraph (2A) below, ".

• (6) The following sub-paragraph shall be inserted after that sub-paragraph—

(2A) Where the wife dies after 5th April 1989, sub-paragraph (2) above shall have effect as if for the words from " an amount", in the first place where those words occur, to the end there were substituted— (a) if she dies before 6th April 2000, the words an amount equal to the sum of— (i) that increase, so far as attributable to employment before 6th April 1988 ; (ii) one-half of that increase, so far as attributable to employment after 5th April 1988 ; (iii) the appropriate amount reduced by the amount of any increases under section 37A of this Act; and (iv) any increase to which she had been entitled under this paragraph. (b) if she dies after 5th April 2000, the words an amount equal to the sum of— (i) one-half of that increase so far as attributable to employment before 6th April 1988; (ii) one-half of the appropriate amount after it has been reduced by the amount of any increases under section 37A of this Act; and (iii) one-half of any increase to which she had been entitled under this paragraph.

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Part II — Income-Related Benefits

General

Income-related benefits

20

Amount etc.

21

• (1) Where a person is entitled to income support—

• (a) if he has no income, the amount shall be the applicable amount; and

• (b) if he has income, the amount shall be tile difference between his income and the applicable amount.

• (2) Where a person is entitled to family credit by virtue of section 20(5)(a)(i) above, the amount shall be the amount which is the appropriate maximum family credit in his case.

• (3) Where a person is entitled to family credit by virtue of section 20(5)(a)(ii) above, the amount shall be what remains after the deduction from the appropriate maximum family credit of a prescribed percentage of the excess of his income over the applicable amount

• (4) Where a person is entitled to housing benefit by virtue of section 20(7)(c)(i) above, the amount shall be the amount which is the appropriate maximum housing benefit in his case.

• (5) Where a person is entitled to housing benefit by virtue of section 20(7)(c)(ii) above, the amount shall be what remains after the deduction from the appropriate maximum housing benefit of prescribed percentages of the excess of his income over the applicable amount.

• (6) Regulations shall prescribe the manner in which—

• (a) the appropriate maximum family credit;

• (b) the appropriate maximum housing benefit,

are to be determined in any case.

• (7) Where the amount of any income-related benefit would be less than a prescribed amount, it shall not be payable except in prescribed circumstances.

Calculation

22

• (1) The applicable amount shall be such amount or the aggregate of such amounts as may be prescribed.

• (2) The power to prescribe applicable amounts conferred by subsection (1) above includes power to prescribe nil as an applicable amount.

• (3) In relation to income support and housing benefit the applicable amount for a severely disabled person shall include an amount in respect of his being a severely disabled person.

• (4) Regulations may specify circumstances in which persons are to be treated as being or as not being severely disabled.

• (5) Where a person claiming an income-related benefit is a member of a family, the income and capital of any member of that family shall, except in prescribed circumstances, be treated as the income and capital of that person.

• (6) No person shall be entitled to an income-related benefit if his capital or a prescribed part of it exceeds the prescribed amount.

• (7) Regulations may provide that capital not exceeding the amount prescribed under subsection (6) above but exceeding a prescribed lower amount shall be treated, to a prescribed extent, as if it were income of a prescribed amount.

• (8) Income and capital shall be calculated or estimated in such manner as may be prescribed.

• (9) Circumstances may be prescribed in which—

• (a) a person is treated as possessing capital or income which he does not possess ;

• (b) capital or income which a person does possess is to be disregarded;

• (c) income is to be treated as capital;

• (d) capital is to be treated as income.

Income support

Trade disputes

23

Recovery of expenditure on benefit from person liable for maintenance

24

• (1) Subject to the following provisions of this section, if income support is claimed by or in respect of a person whom another person is liable to maintain or paid to or in respect of such a person, the Secretary of State may make a complaint against the liable person to a magistrates' court for an order under this section.

• (2) Except in a case falling within subsection (3) below, this section does not apply where the person who is liable to be maintained is an illegitimate child of the liable person.

• (3) A case falls within this subsection if—

• (a) the liable person is someone other than the child's father ; or

• (b) the liable person is liable because he is a person such as is mentioned in section 26(3)(c) below.

• (4) On the hearing of a complaint under this section the court shall have regard to all the circumstances and, in particular, to the income of the liable person, and may order him to pay such sum, weekly or otherwise, as it may consider appropriate, except that in a case falling within section 26(3)(c) below that sum shall not include any amount which is not attributable to income support (whether paid before or after the making of the order).

• (5) In determining whether to order any payments to be made in respect of income support for any period before the complaint was made, or the amount of any such payments, the court shall disregard any amount by which the liable person's income exceeds the income which was his during that period.

• (6) Any payments ordered to be made under this section shall be made—

• (a) to the Secretary of State in so far as they are attributable to any income support (whether paid before or after the making of the order);

• (b) to the person claiming income support or (if different) the dependant; or

• (c) to such other person as appears to the court expedient in the interests of the dependant.

• (7) An order under this section shall be enforceable as an affiliation order.

• (8) In the application of this section to Scotland, subsections (2), (3) and (7) shall be omitted and for the references to a complaint and to a magistrates' court there shall be substituted respectively references to an application and to the sheriff.

• (9) On an application under subsection (1) above a court in Scotland may make a finding as to the parentage of a child for the purpose of establishing whether a person is, for the purposes of this section and section 26 below, liable to maintain him.

Affiliation orders

25

• (1) If—

• (a) income support is claimed by or in respect of an illegitimate child or paid in respect of such a child; and

• (b) no affiliation order is in force ; and

• (c) the case does not fall within section 24(3) above,

the Secretary of State may, within three years from the time of the claim or payment, make application to a justice of the peace appointed for the commission area (within the meaning of the Justices of the Peace Act 1979) in which the mother of the child resides for a summons to be served under section 1 of the Affiliation Proceedings Act 1957.

• (2) In any proceedings on an application under subsection (1) above the court shall hear such evidence as the Secretary of State may produce, and shall in all respects, subject to the provisions of subsection (3) below, proceed as on an application made by the mother under section 1 of the Affiliation Proceedings Act 1957.

• (3) An affiliation order—

• (a) made on an application by the Secretary of State under subsection (1) above; or

• (b) made on an application made by the Secretary of State in proceedings brought by the mother of the child under section 1 of the Affiliation Proceedings Act 1957,

may be made so as to provide that the payments or a part of the payments to be made under the order shall, instead of being made to a person entitled under section 5 of that Act, be made to the Secretary of State or to such other person as the court may direct.

• (4) Any affiliation order, whether made before or after the commencement of this section, may, on the application of the Secretary of State, be varied so as to provide for the making of payments, or part of them, as mentioned in subsection (3) above; and an application by the Secretary of State under this subsection may be made—

• (a) notwithstanding that the mother has died and no person has been appointed to have the custody of the child; and

• (b) where the child is not in the care of the mother and she is not contributing to his maintenance, without making her a party to the proceedings.

• (5) An affiliation order which provides for the making of payments, or part of them, as mentioned in subsection (3) above, may, on the application of the mother of the child, be varied so as to provide that the payments shall be made to a person entitled under section 5 of the Affiliation Proceedings Act 1957.

Failure to maintain-general

26

• (1) If—

• (a) any person persistently refuses or neglects to maintain himself or any person whom he is liable to maintain; and

• (b) in consequence of his refusal or neglect income support is paid to or in respect of him or such a person,

he shall be guilty of an offence and liable on summary conviction to imprisonment for a term not exceeding three months or to a fine of an amount not exceeding level 4 on the standard scale or to both.

• (2) For the purposes of subsection (1) above a person shall not be taken to refuse or neglect to maintain himself or any other person by reason only of anything done or omitted in furtherance of a trade dispute.

• (3) For the purposes of this section and sections 24 and 25 above—

• (a) a man shall be liable to maintain his wife and his children;

• (b) a woman shall be liable to maintain her husband and her children; and

• (c) a person shall be liable to maintain another person throughout any period in respect of which the first-mentioned person has, on or after 23rd May 1980 (the date of the passing of the Social Security Act 1980) and either alone or jointly with a further person, given an undertaking in writing in pursuance of immigration rules within the meaning of the Immigration Act 1971 to be responsible for the maintenance and accommodation of the other person.

• (4) In subsection (3) above—

• (a) the reference to a man's children includes a reference to children of whom he has been adjudged to be the father; and

• (b) the reference to a woman's children includes a reference to her illegitimate children.

• (5) Subsection (4) above does not apply to Scotland, and in the application of subsection (3) above to Scotland any reference to children shall be construed as a reference to children whether or not their parents have ever been married to one another.

• (6) A document bearing a certificate which—

• (a) is signed by a person authorised in that behalf by the Secretary of State; and

• (b) states that the document apart from the certificate is, or is a copy of, such an undertaking as is mentioned in subsection (3)(c) above,

shall be conclusive of the undertaking in question for the purpose of this section and section 24 above; and a certificate purporting to be so signed shall be deemed to be so signed until the contrary is proved.

Prevention of duplication of payments

27

• (1) Where—

• (a) a payment by way of prescribed income is made after the date which is the prescribed date in relation to the payment; and

• (b) it is determined that an amount which has been paid by way of income support would not have been paid if the payment had been made on the prescribed date,

the Secretary of State shall be entitled to recover that amount from the person to whom it was paid.

• (2) Where—

• (a) a prescribed payment which apart from this subsection falls to be made from public funds in the United Kingdom or under the law of any other member State is not made on or before the date which is the prescribed date in relation to the payment; and

• (b) it is determined that an amount ("the relevant amount") has been paid by way of income support that would not have been paid if the payment mentioned in paragraph (a) above had been made on the prescribed date,

then—

• (i) in the case of a payment from public funds in the United Kingdom, the authority responsible for making it may abate it by the relevant amount; and

• (ii) in the case of any other payment, the Secretary of State shall be entitled to receive the relevant amount out of the payment.

• (3) Where—

• (a) a person (in this subsection referred to as A) is entitled to any prescribed benefit for any period in respect of another person (in this subsection referred to as B); and

• (b) either—

• (i) B has received income support for that period ; or

• (ii) B was, during that period, a member of the same family as some person other than A who received income support for that period; and

• (c) the amount of the income support has been determined on the basis that A has not made payments for the maintenance of B at a rate equal to or exceeding the amount of the prescribed benefit,