Social Security Act 1988

Attendance allowance

Attendance allowance

1–8

Industrial injuries

Introduction of retirement allowance and other provisions relating to industrial injuries benefit

2

• (1) The following section shall be inserted after section 59A of the Social Security Act 1975—

(59B) (1) Subject to the provisions of this Part of this Act, a person who— (a) has attained pensionable age; and (b) retires, or is deemed under section 27(5) above to have retired, from regular employment on or after the date on which this section comes into force; and (c) was entitled to reduced earnings allowance (by virtue either of one award or of a number of awards) on the day immediately before he retired or is deemed to have retired, shall cease to be entitled to reduced earnings allowance as from the day on which he retires or is deemed to have retired and may be entitled to it again only if he makes an election in accordance with regulations under section 30(3) above. (2) If the day before a person ceases under subsection (1) above to be entitled to reduced earnings allowance he is entitled to the allowance (by virtue either of one award or of a number of awards) at a weekly rate or aggregate weekly rate of not less than £2.00, he shall be entitled to a benefit, to be known as “retirement allowance”. (3) Unless he makes an election in accordance with regulations under section 30(3) above, retirement allowance shall be payable to him (subject to any enactment contained in Chapter VI of this Part of this Act and to any regulations made under any such enactment) for life. (4) If he makes such an election, his entitlement to retirement allowance shall cease on the day on which the election takes effect. (5) Subject to subsection (6) below, the weekly rate of a beneficiary’s retirement allowance shall be— (a) 25 per cent. of the weekly rate of reduced earnings allowance to which he was entitled the day before he ceased to be entitled to that allowance; or (b) 10 per cent. of the maximum rate of a disablement pension, whichever is the less. (6) If the weekly rate of the beneficiary’s retirement allowance— (a) would not be a whole number of pence; and (b) would exceed the whole number of pence next below it by ½p or more, the beneficiary shall be entitled to retirement allowance at a rate equal to the next higher whole number of pence.

• (2) In section 63 of the Social Security Act 1986 (annual up-rating of benefit)—

• (a) the following paragraph shall be inserted after subsection (1)(e)—

(ee) falling to be calculated under section 59B(5) of that Act;

; and

• (b) in subsection (3)(b), for the words “or (d)” there shall be substituted the words “, (d) or (ee)”.

• (3) Section 59A(8) of the Social Security Act 1975 shall be modified in the case of a person who retired from regular employment before 6th April 1987 by the substitution for “140 per cent.” of “100 per cent.”.

• (4) A person who—

• (a) on 10th April 1988; or

• (b) on the day before subsection (1) above comes into force,

satisfies the conditions—

• (i) that he has attained pensionable age;

• (ii) that he has retired from regular employment; and

• (iii) that he is entitled to reduced earnings allowance,

shall be entitled to that allowance for life.

• (5) In the case of any beneficiary who is entitled to reduced earnings allowance by virtue of subsection (4) above, the allowance shall be payable, subject to any enactment contained in Chapter VI of Part II of the Social Security Act 1975 and to any regulations made under any such enactment, at the weekly rate at which it was payable to the beneficiary on the relevant date or would have been payable to him on that date but for any such enactment or regulations.

• (6) For a beneficiary who is entitled to reduced earnings allowance by virtue of subsection (4)(a) above the relevant date is 10th April 1988.

• (7) For a beneficiary who is entitled to it by virtue of subsection (4)(b) above the relevant date is the day before subsection (1) above came into force.

• (8) After subsection (1) above comes into force no person over pensionable age and retired from regular employment shall be entitled to reduced earnings allowance otherwise than under subsection (4) above.

• (9) References in subsections (3), (4) and (8) above to a person who has retired from regular employment include references—

• (a) to a person who under subsection (3) of section 27 of the Social Security Act 1975 is treated for the purposes of that Act as having retired from regular employment; and

• (b) to a person who under subsection (5) of that section is deemed for those purposes to have retired from it.

• (10) Schedule 1 to this Act shall have effect in relation to industrial death benefit.

Family credit

Family credit

3

In section 20 of the Social Security Act 1986—

• (a) the following subsection shall be inserted after subsection (5)—

(5A) In subsection (5) above “the applicable amount” means the applicable amount at such date as may be prescribed,

; and

• (b) in subsection (6) the words “, beginning with the week in which a claim for it is made or is treated as made” shall cease to have effect.

Young persons

Income support and child benefit

4

• (1) In paragraph (a) of subsection (3) of section 20 of the Social Security Act 1986 (by virtue of which a person in Great Britain is entitled to income support if he is of or over the age of 16) for “16” there shall be substituted “18 or, in prescribed circumstances and for a prescribed period, of or over the age of 16 or he is a person to whom subsection (4A) below applies;”.

• (2) The following subsections shall be inserted after subsection (4) of that section—

(4A) If it appears to the Secretary of State— (a) that a person of or over the age of 16 but under the age of 18 is not entitled to income support; and (b) that severe hardship will result to that person unless income support is paid to him, the Secretary of State may direct that this subsection shall apply to him. (4B) Any such direction may specify a period for which subsection (4A) above is to apply to the person to whom the direction relates. (4C) The person to whom such a direction relates shall be treated in accordance with it, but if at any time it appears to the Secretary of State that there has been a change of circumstances as a result of which failure to receive income support need no longer result in severe hardship to him, he may revoke the direction. (4D) The Secretary of State may also revoke the direction if— (a) he is satisfied that it was given in ignorance of some material fact or was based on a mistake as to some material fact; and (b) he considers that but for his ignorance or mistake he would not have determined that failure to receive income support would result in severe hardship. (4E) Where— (a) a direction under subsection (4A) above is revoked; and (b) it is determined by an adjudication officer that, whether fraudulently or otherwise, any person has misrepresented, or failed to disclose, any material fact and in consequence of the misrepresentation or failure a payment of income support has been made during the relevant period to the person to whom the direction related, an adjudication officer may determine that the Secretary of State shall be entitled to recover the amount of the payment. (4F) Section 53(2) and (5) to (9) below apply to income support recoverable under subsection (4E) above as they apply to income support recoverable under section 53(1) below. (4G) The other provisions of section 53 below do not apply to income support recoverable under subsection (4E) above. (4H) In subsection (4E) above “the relevant period” means— (a) if the revocation is under subsection (4C) above, the period beginning with the date of the change of circumstances and ending with the date of the revocation; and (b) if the revocation is under subsection (4D) above, the period during which the direction was in force. (4J) Where a direction under subsection (4A) above is revoked, the Secretary of State may certify whether there has been misrepresentation of a material fact or failure to disclose a material fact. (4K) If he certifies that there has been such misrepresentation or failure to disclose, he may also certify— (a) who made the misrepresentation or failed to make the disclosure; and (b) whether or not a payment of income support has been made in consequence of the misrepresentation or failure. (4L) If he certifies that a payment has been made, he may certify the period during which income support would not have been paid but for the misrepresentation or failure to disclose. (4M) A certificate under this section shall be conclusive for the purposes of this section as to any matter certified. (4N) In subsections (3)(a) and (4B) above “period” includes— (a) a period of a determinate length; (b) a period defined by reference to the happening of a future event; and (c) a period of a determinate length but subject to earlier determination upon the happening of a future event.

• (3) The following paragraph shall be inserted after subsection (1)(a) of section 2 of the Child Benefit Act 1975—

(aa) he is under the age of eighteen and not receiving full-time education and prescribed conditions are satisfied in relation to him; or

.

• (4) In section 4(1) of that Act, after the word “above” there shall be inserted the words “or by virtue of section 2(1)(aa) above and regulations made under that paragraph”.

Annual review of child benefit

5

The Secretary of State shall review the level of child benefit in April of each year, taking account of increases in the Retail Price Index and other relevant external factors.

Short-term benefits

Contribution conditions for short-term benefits

6

• (1) Schedule 3 to the Social Security Act 1975 shall be amended as follows.

• (2) In paragraph 1—

• (a) in sub-paragraph (2)(a), for the words “in respect of any one year have actually paid contributions of a relevant class,” there shall be substituted the words

have actually paid contributions of a relevant class— (i) in the case of unemployment benefit, in respect of one of the last two complete years before the beginning of the relevant benefit year; and (ii) in the case of sickness benefit, in respect of any one year,

; and

• (b) in sub-paragraph (3)—

• (i) in paragraph (a), for the words “relevant past year” there shall be substituted the words “last two complete years before the beginning of the relevant benefit year”; and

• (ii) in paragraph (b), for the words “than that” there shall be substituted the words “in each of those years than the”.

• (3) In paragraph 8(3), the words from “paragraph (b)”, in the first place where those words occur, to “of”, in the fourth place where it occurs, shall cease to have effect.

• (4) Paragraph 9 shall cease to have effect.

Unemployment benefit and occupational pension

7

In section 5 of the Social Security (No. 2) Act 1980 (which provides for the reduction of unemployment benefit for a person who has attained the age of 60 if payments by way of occupational pension exceeding a prescribed sum are made to him for any week)—

• (a) in subsections (1) and (6), for “60” there shall be substituted “55”; and

• (b) in subsection (6), for “sixtieth” there shall be substituted “fifty-fifth”.

Emergency payments

Emergency payments by local authorities and other bodies

8

• (1) The Secretary of State may make arrangements—

• (a) with a local authority to which this section applies; or

• (b) with any other body,

for the making on his behalf by members of the staff of any such authority or body of payments on account of benefits to which section 51 of the Social Security Act 1986 applies in circumstances corresponding to those in which the Secretary of State himself has the power to make such payments under section 51(1)(t) of that Act; and a local authority to which this section applies shall have power to enter into any such arrangements.

• (2) A payment under any such arrangements shall be treated for the purposes of any Act of Parliament or instrument made under an Act of Parliament as if it had been made by the Secretary of State.

• (3) The Secretary of State shall repay a local authority or other body such amount as he determines to be the reasonable administrative expenses incurred by the authority or body in making payments in accordance with arrangements under this section.

• (4) The local authorities to which this section applies are—

• (a) a local authority as defined by section 270(1) of the Local Government Act 1972, other than a parish or community council;

• (b) the Common Council of the City of London; and

• (c) a local authority as defined in section 235(1) of the Local Government (Scotland) Act 1973.

Earnings factors etc.

Earnings factors and transfer values

9

Increase and reduction of benefit by reference to earnings

10

The social fund

Amendments relating to the social fund

11

Schedule 3 to this Act shall have effect to make amendments of enactments relating to the social fund.

Up-rating

Up-rating Orders

12

• (1) It is hereby declared that the orders to which this section applies were validly made and that the Secretary of State is under no duty to revoke them.

• (2) The orders to which this section applies are—

• (a) the Social Security Benefits Up-rating (No. 2) Order 1987;

• (b) the Occupational Pensions (Revaluation) Order 1987.

Welfare foods

Schemes for distribution etc. of welfare foods

13

• (1) Regulations may establish one or more schemes to provide benefits for prescribed descriptions of—

• (a) pregnant women,

• (b) mothers, and

• (c) children,

with a view to helping and encouraging them to have access to, and to incorporate in their diets, food of a prescribed description.

• (2) Before establishing, or varying, a scheme the Secretary of State must consult the Scottish Ministers and the National Assembly for Wales (“the Assembly”).

• (3) A scheme may, in particular, specify requirements that must be satisfied—

• (a) before a person may become entitled to a benefit;

• (b) for a beneficiary to remain entitled to a continuing benefit.

• (4) A scheme may also include provision—

• (a) for a benefit to consist of food of a prescribed description being provided by—

• (i) a person who supplies, or arranges for the supply of, food of that description for beneficiaries under the scheme;

• (ii) a person providing a service (such as day care) for the recipient of the benefit; or

• (iii) a health service body;

• (b) for the use of vouchers, or similar arrangements, in connection with the provision of benefits;

• (c) that a person taking part in the scheme, otherwise than as a beneficiary, must be registered under the scheme;

• (d) for the payment by the Secretary of State of sums to persons registered in accordance with a provision of a kind mentioned in paragraph (c), in respect of things provided or done by them in accordance with the scheme;

• (e) for the making of payments to such persons entitled to receive benefits as may be determined by or under the scheme;

• (f) for the delegation, in accordance with provisions of the scheme, of prescribed functions under the scheme;

• (g) for the scheme, or prescribed provisions of the scheme, to be administered on behalf of the Secretary of State by such health service body, or other description of body, as may be prescribed;

• (h) requiring prescribed categories of persons to take reasonable steps to provide—

• (i) to a person authorised for the purpose in accordance with the scheme,

• (ii) on production, if required, of evidence of his authority,

such information or evidence as may be reasonably needed in connection with administering the scheme.

• (5) Provision of a kind mentioned in subsection (4)(h) may, in particular—

• (a) require information or evidence to be provided in a legible form;

• (b) authorise the taking of copies or making of extracts;

• (c) require an explanation by the information provider of anything which he has provided;

• (d) require an information provider to state, to the best of his knowledge and belief, where information or evidence that he has failed to provide is held.

• (6) The power to prescribe descriptions of food (conferred by subsection (1)) is to be exercised, in relation to the operation of a scheme in Wales, by regulations made by the Assembly.

• (7) The Secretary of State may give such directions—

• (a) to a body administering a scheme (or part of a scheme),

• (b) in relation to matters relating to the operation of the scheme (or that part of the scheme),

as he considers appropriate.

• (8) The Assembly may, with the agreement of the Secretary of State, give such directions—

• (a) to a body administering a scheme (or part of a scheme),

• (b) in relation to matters relating to the operation of the scheme (or that part of the scheme) in Wales,

as it considers appropriate.

• (9) A scheme may direct that prescribed enactments relating to the administration of benefit under the Social Security Administration Act 1992 (c. 5) (including enactments relating to offences and criminal proceedings) are to have effect for the purpose of administering the scheme subject to such modifications (if any) as may be prescribed.

• (10) The Secretary of State may not make a statutory instrument containing the first set of regulations made under subsection (1) unless a draft of the instrument has been laid before, and approved by resolution of, each House of Parliament.

• (11) In this section—

• “benefit”, in relation to a scheme, means a benefit under the scheme;

• “children” has such meaning as may be prescribed;

• “enactment” includes an Act of the Scottish Parliament and a provision made under an enactment;

• “food” includes vitamins, minerals and other dietary supplements;