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The Social Security (Inherited SERPS) Regulations 2001

Draft. This instrument was laid in draft and may differ from the one made. Look for the made version under its title.

Draft 2001, ISBN 0110287452

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Draft Regulations laid before Parliament under section 52(8) of the Welfare Reform and Pensions Act 1999 for approval by resolution of each House of Parliament

SOCIAL SECURITY

Made 2001

Coming into force 6th October 2002

Whereas a draft of this Instrument was laid before Parliament in accordance with the provisions of section 52(8) of the Welfare Reform and Pensions Act 1999f1 and approved by resolution of each House of Parliament:

  • Now, therefore, the Secretary of State for Social Security, in exercise of the powers conferred on him by sections 52(1), (2) and (9) and 83(1) and (6) of that Actf2, and of all other powers enabling him in that behalf, hereby make the following Regulations:

Annotations to the whole text

Footnotes

f1

1999 c. 30.

f2

Section 52(9) is cited for the meaning given to “prescribed”.

Contents

  1. 1Citation, commencement and interpretation
  2. 2Modification of Part II of the Contributions and Benefits Act
  3. Signature
  4. Schedule INCREASES IN ADDITIONAL PENSION OF PERSONS OF A SPECIFIED DESCRIPTION
  5. Explanatory note

1Citation, commencement and interpretation

(1)

These Regulations may be cited as the Social Security (Inherited SERPS) Regulations 2001 and shall come into force on 6th October 2002.

(2)

In these Regulations—

  • “the Contributions and Benefits Act” means the Social Security Contributions and Benefits Act 1992f1;

  • “additional pension” means an additional pension derived from contributions or earnings factors in any tax year beginning after 5th April 1978 and ending before the beginning of the tax year beginning 6th April 2002; and

  • “pensionable age” has the meaning given by the rules in Part I of Schedule 4 to the Pensions Act 1995f2.

2Modification of Part II of the Contributions and Benefits Act

(1)

Where, on or after 6th October 2002, a person becomes widowed and entitled to a widowed parent’s allowance or a Category B retirement pension under Part II of the Contributions and Benefits Act by virtue of being a widow or widower then, provided that the deceased spouse of that person attained pensionable age before 6th October 2002, any provision of that Part which is listed in paragraph (3) of this regulation shall have effect so that the rate of the additional pension in that pension or allowance, or of any constitutent element of an increase in that additional pension, which would, but for this paragraph, be payable to that person under or by virtue of that provision shall be increased by 100 per cent.

(2)

Where, on or after 6th October 2002, a person becomes a person of a description specified in Column 1 of the Schedule to these Regulations and entitled to a widowed parent’s allowance or a Category B retirement pension under Part II of the Contributions and Benefits Act by virtue of being a widow or widower, any provision of that Part which is listed in paragraph (3) of this regulation shall have effect so that the rate of the additional pension in that pension or allowance, or of any constitutent element of an increase in that additional pension, which would, but for this paragraph, be payable to a person of that description under or by virtue of that provision shall be increased by the percentage specified in Column 2 of that Schedule.

(3)

The provisions of Part II of the Contributions and Benefits Act referred to in paragraphs (1) and (2) of this regulation are as follows:

(a)

section 39C (rate of widowed parent’s allowance and bereavement allowance)f1 except in so far as that section relates to the rate of a bereavement allowance;

(b)

section 48A (Category B retirement pension for married person)f2;

(c)

section 48B (Category B retirement pension for widows and widowers)f3;

(d)

section 48BB (Category B retirement pension: entitlement by reference to benefits under section 39A or 39B)f4;

(e)

section 51 (Category B retirement pensions for widowers')f5; and

(f)

paragraphs 4 to 7 of Schedule 5 (increase of pension where pensioner’s deceased spouse has deferred entitlement)f6.

Signature

Signed by authority of the Secretary of State for Social Security.

Minister of State,

Department of Social Security

2001

INCREASES IN ADDITIONAL PENSION OF PERSONS OF A SPECIFIED DESCRIPTION

Column 1Column 2
Description of personPercentage increase
A person who is the widow or widower of a person who attained pensionable age on or after 6th October 2002 but before 6th October 2004 or who would have, but for their death, attained pensionable age during that period.80%
A person who is the widow or widower of a person who attained pensionable age on or after 6th October 2004 but before 6th October 2006 or who would have, but for their death, attained pensionable age during that period.60%
A person who is the widow or widower of a person who attained pensionable age on or after 6th October 2006 but before 6th October 2008 or who would have, but for their death, attained pensionable age during that period.40%
A person who is the widow or widower of a person who attained pensionable age on or after 6th October 2008 but before 6th October 2010 or who would have, but for their death, attained pensionable age during that period.20%

Explanatory note

(This note is note part of the Regulations)

These Regulations are made under section 52(2) of the Welfare Reform and Pensions Act 1999 and are subject to the affirmative resolution procedure.

The regulations provide for an increase in the rate of the additional pension under the State Earnings Related Pension Scheme (SERPS) to which persons of a specified description would otherwise be entitled under or by virtue of certain provisions of Part II of the Social Security Contributions and Benefits Act 1992 (“the 1992 Act”) in the event that they are widowed on or after 6th October 2002 which is the date on which the maximum amount of the additional pension which may be inherited by a surviving spouse under SERPS is reduced from 100% to 50% by virtue of provision made in section 39(1) of the Child Support, Pensions and Social Security Act 2000.

Regulation 1 provides for citation, commencement and interpretation.

Regulation 2 and the Schedule modify certain provisions of Part II of the 1992 Act by increasing the rate of the additional pension, or of any constituent element of an increase in that pension, which would otherwise be payable to persons of a specified description under or by virtue of those provisions in the event that they are widowed on or after 6th October 2002.

These Regulations do not impose any costs on business.