Regulation 7 Deductions under attachment of earnings order

there are inserted at the beginning of paragraph (1) the words “Subject to paragraphs (1A) and (1B),”;

in sub-paragraph (a) of paragraph (1), for the words after “weekly” there are substituted the words “a sum equal to the appropriate percentage of the net earnings otherwise payable on that pay-day; and for this purpose the appropriate percentage is the percentage (or percentages) specified in column 2 of Table A in Schedule 4 in relation to the band in column 1 of that Table within which the net earnings fall;”;

in sub-paragraph (b) of paragraph (1), for the words after “monthly” there are substituted the words “a sum equal to the appropriate percentage of the net earnings otherwise payable on that pay-day; and for this purpose the appropriate percentage is the percentage (or percentages) specified in column 2 of Table B in Schedule 4 in relation to the band in column 1 of that Table within which the net earnings fall;”;

in sub-paragraph (c) of paragraph (1)—

there are added after paragraph (1) the following paragraphs—

“(1A)

Where paragraph (1) applies and the amount to be paid to the debtor on any pay-day includes an advance in respect of future pay, the sum to be deducted on that pay-day shall be the aggregate of the amount which would otherwise fall to be deducted under paragraph (1) and—

(a)

where the amount advanced would otherwise have been paid on a single pay-day, the sum which would have been deducted on that day in accordance with paragraph (1) if the amount advanced had been the amount of net earnings on that day; or

(b)

where the amount advanced would otherwise have been paid on more than one pay-day, the sums which would have been deducted on each of the relevant pay-days in accordance with paragraph (1) if—

(i)

an equal proportion of the amount advanced had been paid on each of those days; and

(ii)

the net earnings of the debtor on each of those days had been an amount equal to that proportion.

(1B)

Where the amount payable to the debtor on any pay-day is reduced by reason of an earlier advance of pay or by reason of the repayment by the debtor of a loan made to him by his employer for any purpose, the net earnings of the debtor on that day shall, for the purposes of paragraph (1), be the amount defined in regulation 27(1) less the amount of the deduction.”;

there is inserted at the beginning of paragraph (2) the words “Subject to paragraphs (2A) and (2B),”;

in paragraph (2)—

there are added after paragraph (2) the following paragraphs—

“(2A)

Where the debtor’s earnings are payable as mentioned in paragraph (2), and the amount to be paid to the debtor on any pay-day includes an advance in respect of future pay, the amount of the debtor’s notional net earnings under sub-paragraph (a) of that paragraph shall be calculated in accordance with the formula—

$$\genfrac{}{}{0.1ex}{}{\mathrm{A}+\mathrm{B}}{\mathrm{C}+\mathrm{D}}$$

where—

• A is the amount of net earnings payable to him on that pay-day (exclusive of the amount advanced);

• B is the amount advanced;

• C is the number of days in the period for which the amount of net earnings is payable; and

• D is the number of days in the period for which, but for the agreement to pay in advance, the amount advanced would have been payable.

(2B)

Paragraph (1B) applies in relation to paragraph (2) as it applies in relation to paragraph (1).”;

in paragraph (3)—

in sub-paragraph (b) of paragraph (4) for the words “taking the sum” there are substituted the words “ascertaining the percentage or percentages”; and

for sub-paragraph (c) there is substituted the following sub-paragraph—

“(c)

calculating the sum which equals the appropriate percentage (or percentages) of the daily net earnings and multiplying that sum by the same number as that of the divisor for the purposes of the calculation mentioned in sub-paragraph (a).”.