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The Education (Student Loans) (Repayment) (Amendment) (No. 4) Regulations 2022 in Scotland

S.I. 2022/1335 · Made 13 December 2022 · Extends to United Kingdom

Up to date with all changes known to legislation.gov.uk, revised to 1 June 2023.

Education

Made 13th December 2022

Laid before Parliament 15th December 2022

Laid before Senedd Cymru 15th December 2022

Coming into force in accordance with regulation 2

The Secretary of State for Education makes these Regulations in exercise of the powers conferred by—

(a)

sections 73(f) and 73B(1) and (3) of the Education (Scotland) Act 1980f1,

(b)

sections 22(1), (2)(g), (3), (4)(b) and (5) and 42(6) of the Teaching and Higher Education Act 1998f2, and

(c)

sections 5(2), (3) and (4) and 6(1) and (2) of the Sale of Student Loans Act 2008f3.

The Welsh Ministers make these Regulations in exercise of the powers conferred by—

  1. (a)

    sections 22(1), (2)(g), (3)(a) to (d) and (4)(b) and 42(6) of the Teaching and Higher Education Act 1998, now exercisable by themf4, and

  2. (b)

    sections 5(4) and 6(1) and (2)(a) of the Sale of Student Loans Act 2008.

Annotations to the whole text

Footnotes

f1

1980 c. 44. Section 73(f) was amended by section 29(1) of the Teaching and Higher Education Act 1998 (c. 30) and section 3(2) of the Education (Graduate Endowment and Student Support) (Scotland) Act 2001 (asp 6). Section 73B was inserted by section 29(2) of the Teaching and Higher Education Act 1998 (c. 30).

f2

1998 c. 30. Section 22(1) was amended by section 146(2)(a) of the Learning and Skills Act 2000 (c. 21). Section 22(3) was amended by section 42(1) of the Higher Education Act 2004 (c. 8), section 257(2) of the Apprenticeships, Skills, Children and Learning Act 2009 (c. 22) and section 88(5) of the Higher Education and Research Act 2017 (c. 29). Section 22(5) was amended by paragraph 236(a) of Schedule 6 to the Income Tax (Earnings and Pensions) Act 2003 (c. 1).

f3

2008 c. 10.

f4

The functions of the Secretary of State under section 22(1), (2)(g), (3)(a) to (d) and (4)(b) in relation to Wales were transferred to the National Assembly for Wales by section 44(1) of the Higher Education Act 2004 (c. 8). The functions of the Secretary of State under section 42(6) in relation to Wales were transferred to the National Assembly for Wales by S.I. 1999/672. The aforementioned functions of the National Assembly for Wales were transferred to the Welsh Ministers by paragraph 30 of Schedule 11 to the Government of Wales Act 2006 (c. 32). The National Assembly for Wales was renamed Senedd Cymru or the Welsh Parliament by section 2 of the Senedd and Elections (Wales) Act 2020 (anaw 1).

Contents

  1. Part 2: Amendment of the Education (Student Loans) (Repayment) Regulations 2009
  2. Amendment of Part 1 (general)
  3. 6Insertion of regulations 3A to 3E (interpretation provisions)
  4. 11Insertion of regulations 8A to 8C (preliminary provisions)
  5. Amendment of Part 2 (provisions applicable to all repayments)
  6. 22Insertion of regulation 20B (interest rate not to exceed prevailing market rate)
  7. 26Insertion of regulations 21AA and 21AB (interest thresholds for plan 2 loans)
  8. 28Insertion of regulation 21C (interest on plan 5 loans)
  9. Insertion of Schedule 1A (repayment thresholds)
  10. 65Insertion of Schedule 1A (repayment thresholds)
  11. Signature
  12. Explanatory note

6Insertion of regulations 3A to 3E (interpretation provisions)I1

After regulation 3 (interpretation) insert—

“Meaning of “plan 1 loan”

3A.
(1)

A “plan 1 loan” is a loan—

(a)

taken out by a person in respect of—

(i)

a course the person begins on or before 31st August 2012,

(ii)

a full-time course in relation to which the person has a transfer of status from another full-time course the person began on or before 31st August 2012, or

(iii)

a full-time honours degree course the person begins, disregarding any intervening vacation, immediately after ceasing to attend a full-time eligible course the person began on or before 31st August 2012 and for which the person achieved a qualification, and

(b)

paid under an enactment cited in any of tables 1 to 3.

Table 1

Enactments applying in relation to England and Wales

TitleNumber
The Education (Student Support) Regulations 1998 (revoked)S.I. 1998/2003
The Education (Student Support) Regulations 1999 (revoked)S.I. 1999/496
The Education (Student Support) Regulations 2000 (revoked)S.I. 2000/1121
The Education (Student Support) Regulations 2001 (revoked)S.I. 2001/951
The Education (Student Support) Regulations 2002 (revoked)S.I. 2002/195
The Education (Student Support) (No. 2) Regulations 2002 (revoked)S.I. 2002/3200
The Education (Student Support) Regulations 2005 (revoked)S.I. 2005/52

Table 2

Enactments applying in relation to England

TitleNumber
The Education (Student Support) Regulations 2006 (revoked)S.I. 2006/119
The Education (Student Support) Regulations 2007 (revoked)S.I. 2007/176
The Education (Student Support) Regulations 2008 (revoked)S.I. 2008/529
The Education (Student Support) (No.2) Regulations 2008 (revoked)S.I. 2008/1582
The Education (Student Support) Regulations 2009 (revoked)S.I. 2009/1555
The Education (Student Support) Regulations 2011S.I. 2011/1986

Table 3

Enactments applying in relation to Wales

TitleNumber
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2006 (revoked)S.I. 2006/126 (W. 19)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2007 (revoked)S.I. 2007/1045 (W. 104)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2008 (revoked)S.I. 2008/1273 (W. 130)
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No.2) Regulations 2008 (revoked)S.I. 2008/3170 (W. 283)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2009 (revoked)S.I. 2009/2737 (W. 235)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2011 (revoked)S.I. 2011/148 (W. 32)
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No. 2) Regulations 2011 (revoked)S.I. 2011/886 (W.130)
The Education (Student Support) (Wales) Regulations 2012 (revoked)S.I. 2012/3097 (W. 313)
The Education (Student Support) (Wales) Regulations 2013 (revoked)S.I. 2013/3177 (W. 316)
The Education (Student Support) (Wales) Regulations 2015 (revoked)S.I. 2015/54 (W. 5)
The Education (Student Support) (Wales) Regulations 2017S.I. 2017/47 (W. 21)
(2)

In this regulation, “transfer of status” means a transfer of status under—

(a)

regulation 7 of the 2011 Support Regulationsf1, or

(b)

regulation 8 of any of the following—

(i)

the Education (Student Support) (Wales) Regulations 2012f2;

(ii)

the Education (Student Support) (Wales) Regulations 2013f3;

(iii)

the Education (Student Support) (Wales) Regulations 2015f4;

(iv)

the Education (Student Support) (Wales) Regulations 2017f5.

Meaning of “plan 2 loan”

3B.
(1)

A “plan 2 loan” is a loan mentioned in any of paragraphs (2) to (4).

(2)

A loan—

(a)

taken out by the person in respect of—

(i)

a course the person begins during the period beginning on 1st September 2012 and ending at the close of 31st July 2023,

(ii)

a course in relation to which the person has a variation of status from another course the person began during the period mentioned in paragraph (i), or

(iii)

an honours degree course the person begins, disregarding any intervening vacation, immediately after ceasing to attend or undertake an eligible course the person began during the period mentioned in paragraph (i) and for which the person achieved a qualification, and

(b)

paid under any of the following enactments—

(i)

the 2011 Support Regulations;

(ii)

the Further Education Loans Regulations 2012f6.

(3)

A loan—

(a)

taken out by the person in respect of a course the person begins during the period beginning on 1st September 2022 and ending at the close of 31st July 2025, and

(b)

paid under the Higher Education Short Course Loans Regulations 2022f7 (which apply in relation to England).

(4)

A loan—

(a)

taken out by the person in respect of a course the person begins on or after 1st September 2012, and

(b)

paid to the person under an enactment cited in the table (which apply in relation to Wales).

TitleNumber
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No. 2) Regulations 2011 (revoked)S.I. 2011/886 (W.130)
The Education (Student Support) (Wales) Regulations 2012 (revoked)S.I. 2012/3097 (W. 313)
The Education (Student Support) (Wales) Regulations 2013 (revoked)S.I. 2013/3177 (W. 316)
The Education (Student Support) (Wales) Regulations 2015 (revoked)S.I. 2015/54 (W. 5)
The Education (Student Support) (Wales) Regulations 2017S.I. 2017/47 (W. 21)
The Education (Student Support) (Wales) Regulations 2018S.I. 2018/191 (W. 42)
(5)

Despite paragraphs (1), (2) and (4), a loan taken out by the person for a course mentioned in regulation 3A(1)(a)(ii) or (iii) is a plan 1 loan.

(6)

In this regulation, “variation of status” means any of the following—

(a)

a conversion of status under regulation 139B or 139C of the 2011 Support Regulations;

(b)

a transfer of status under—

(i)

regulation 7 or 139A of the 2011 Support Regulations;

(ii)

regulation 8 of the Further Education Loans Regulations 2012.

Meaning of “plan 3 loan”

3C.

A “plan 3 loan” is a loan paid under an enactment cited in any of tables 1 to 4.

Table 1

Enactments applying in relation to England (postgraduate master’s degree)

TitleNumber
The Education (Postgraduate Master’s Degree Loans) Regulations 2016S.I. 2016/606

Table 2

Enactments applying in relation to Wales (postgraduate master’s degree)

TitleNumber
The Education (Postgraduate Master’s Degree Loans) (Wales) Regulations 2017S.I. 2017/523 (W. 109)
The Education (Student Support) (Postgraduate Master’s Degrees) (Wales) Regulations 2019S.I. 2019/895 (W. 161)

Table 3

Enactments applying in relation to England (postgraduate doctoral degree)

TitleNumber
The Education (Postgraduate Doctoral Degree Loans and the Education (Student Loans) (Repayment) (Amendment) (No. 2) etc.) Regulations 2018S.I. 2018/599

Table 4

Enactments applying in relation to Wales (postgraduate doctoral degree)

TitleNumber
The Education (Postgraduate Doctoral Degree Loans) (Wales) Regulations 2018S.I. 2018/656 (W. 124)

Meaning of “plan 4 loan”

3D.

A “plan 4 loan” is a loan—

(a)

paid under an enactment cited in the table, and

(b)

in respect of which the Scottish Ministers have determined that repayments are to be collected by HMRC under Parts 3 and 4f8.

TitleNumber
The Education (Student Loans) (Scotland) Regulations 1998 (revoked)S.I. 1998/2026 (S. 107)
The Education (Student Loans) (Scotland) Regulations 1999 (revoked)S.I. 1999/1001 (S. 71)
The Education (Student Loans) (Scotland) Regulations 2000 (revoked)S.S.I. 2000/200
The Graduate Endowment (Scotland) Regulations 2001 (revoked)S.S.I. 2001/280
The Education (Student Loans for Tuition Fees) (Scotland) Regulations 2006 (revoked)S.S.I. 2006/333
The Education (Student Loans) (Scotland) Regulations 2007 (revoked)S.S.I. 2007/154
The Graduate Endowment (Scotland) Regulations 2007 (revoked)S.S.I. 2007/155
The Graduate Endowment (Scotland) Regulations 2008S.S.I. 2008/235
The Student Support (Scotland) Regulations 2022S.S.I. 2022/157

Meaning of “plan 5 loan”

3E.
(1)

A “plan 5 loan” is a loan—

(a)

taken out by a person in respect of a course the person begins on or after 1st August 2023, and

(b)

paid under any of the following—

(i)

the 2011 Support Regulations;

(ii)

the Further Education Loans Regulations 2012.

(2)

Despite paragraph (1), a loan taken out by a person for a course mentioned in regulation 3B(2)(a)(ii) or (iii) is a plan 2 loan.”.

11Insertion of regulations 8A to 8C (preliminary provisions)I1

After regulation 8 (service by post or electronic communication) insert—

“How to calculate country-specific multiplier

8A.
(1)

The country-specific multiplier for a country is the multiplier specified in the table in relation to its band.

(2)

The band for a country is the band specified in the table in relation to its price level index value.

Price level index value (x)BandMultiplier
x<0.3 A0.2
0.3≤ x<0.5 B0.4
0.5≤ x<0.7 C0.6
0.7≤ x<0.9 D0.8
0.9≤ x<1.1 E1.0
1.1≤ x<1.3 F1.2
x≥1.3 G1.4
(3)

The price level index value for a country is the quotient of—

(a)

the price level value for the country in the most recent year available, and

(b)

the price level value for the United Kingdom in the same year.

Example

0.736687 is the country’s price level value and 1.058064 is the United Kingdom’s price level value.

0.736687 divided by 1.058064 is 0.696259…‬ (unrounded).

The price level index value for the country is 0.696259…, which is Band C.

The country-specific multiplier for a country in Band C is 0.6.

(4)

If the price level value for a country is not published, the Authority may determine the price level value for that country by reference to a comparable country.

(5)

In this regulation, “price level value” means the value published by the World Bank in its “Price level ratio of PPP conversion factor (GDP) to market exchange rate” world development indicatorf1.

How to calculate repayment threshold variable

8B.

The repayment threshold variable is, in relation to a repayment threshold year, the sum of—

(a)

one, and

(b)

the percentage increase, expressed as a decimal, in the retail price index between the two Marches immediately before the commencement of the previous repayment threshold yearf2.

Example

2.4% is the percentage increase in the retail price index.

  • 2.4% expressed as a decimal is 0.024.

  • The sum of 1 and 0.024 is 1.024.

The repayment threshold variable is 1.024.

Status of examples

8C.
(1)

An example used in these Regulations—

(a)

is only illustrative of the provision to which it relates, and

(b)

does not limit the provision.

(2)

If an example and the provision to which it relates are inconsistent, the provision prevails.”.

22Insertion of regulation 20B (interest rate not to exceed prevailing market rate)I1

After regulation 20A (excess payments: more than one loan) insert—

“Interest rate not to exceed prevailing market rate

20B.
(1)

This regulation applies if the interest rate at which a post-2012 student loan or a postgraduate degree loanf1 bears interest exceeds the prevailing market rate (if any).

(2)

The Authority must substitute the prevailing market rate for the interest rate.

(3)

In this regulation—

  • “interest rate” means the interest rate calculated in accordance with regulation 21A or 21B (as the case may be);

  • “prevailing market rate” means, for the period specified in the left-hand column of the table, the rate specified in the right-hand column of the table in relation to that period.

    Period (inclusive of dates)Prevailing market rate
    1st July 2021 to 31st August 20215.3%
    1st September 2021 to 30th September 20214.2%
    1st October 2021 to 31st December 20214.1%
    1st January 2022 to 28th February 20224.4%
    1st March 2022 to 31st August 2022(no rate specified)
    1st September 2022 to 30th November 20226.3%
    1st December 2022 to 28th February 20236.5%
    Any other period(no rate specified)

”.

26Insertion of regulations 21AA and 21AB (interest thresholds for plan 2 loans)I1

After regulation 21A (interest rate on plan 2 loans) insert—

“Higher interest threshold for plan 2 loans

21AA.
(1)

For a domestic borrower, the higher interest threshold is—

(a)

£49,130 for the repayment threshold years ending on 5th April 2024 and 5th April 2025, and

(b)

for each repayment threshold year ending on or after 5th April 2026, the amount rounded up to the nearest £5 (if necessary) being the product of—

(i)

the amount of the higher interest threshold for the previous repayment threshold year, and

(ii)

the repayment threshold variable.

(2)

For an overseas borrower, the higher interest threshold is the amount rounded up to the nearest £5 (if necessary) being the product of—

(a)

the higher interest threshold for a domestic borrower, and

(b)

the country-specific multiplier for the overseas borrower’s country of residence.

Lower interest threshold for plan 2 loans

21AB.
(1)

For a domestic borrower, the lower interest threshold is the repayment threshold for a plan 2 loan.

(2)

For an overseas borrower, the lower interest threshold is the amount rounded up to the nearest £5 (if necessary) being the product of—

(a)

the lower interest threshold for a domestic borrower, and

(b)

the country-specific multiplier for the overseas borrower’s country of residence.”.

28Insertion of regulation 21C (interest on plan 5 loans)I1

After regulation 21B insert—

“Interest rate on plan 5 loans

21C.
(1)

A plan 5 loan bears interest at the standard interest rate.

(2)

Interest accrues beginning with the day on which any part of the loan is paid.

(3)

Interest is—

(a)

calculated on the outstanding principal of the loan daily, and

(b)

added to the outstanding principal of the loan monthly.

(4)

This regulation is subject to regulation 20B (interest rate not to exceed prevailing market rate).”.

65Insertion of Schedule 1A (repayment thresholds)I1

After Schedule 1 (revocations) insert—

“SCHEDULE 1A

Repayment thresholds

Regulation 3

Plan 1 loan

1.
(1)

The repayment threshold for a plan 1 loan is—

(a)

£22,015 for the repayment threshold year ending on 5th April 2024, and

(b)

for each repayment threshold year ending on or after 5th April 2025, the amount rounded up to the nearest £5 (if necessary) being the product of—

(i)

the amount of the repayment threshold for the previous repayment threshold year, and

(ii)

the repayment threshold variable.

(2)

This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 2 loan

2.
(1)

The repayment threshold for a plan 2 loan is—

(a)

£27,295 for the repayment threshold year ending on 5th April 2024 or 5th April 2025, and

(b)

for each repayment threshold year ending on or after 5th April 2026, the amount rounded up to the nearest £5 (if necessary) being the product of—

(i)

the amount of the repayment threshold for the previous repayment threshold year, and

(ii)

the repayment threshold variable.

(2)

This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 3 loan

3.

The repayment threshold for a plan 3 loan is £21,000.

Plan 4 loan

4.
(1)

The repayment threshold for a plan 4 loan is determined in accordance with the definition of “repayment threshold” in regulation 2 of the 2000 (Scotland) Regulations.

(2)

This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 5 loan

5.
(1)

The repayment threshold for a plan 5 loan is—

(a)

£25,000 for the repayment threshold year ending on 5th April 2027f1, and

(b)

for each repayment threshold year ending on or after 5th April 2028, the amount rounded up to the nearest £5 (if necessary) being the product of—

(i)

the amount of the repayment threshold for the previous repayment threshold year, and

(ii)

the repayment threshold variable.

(2)

This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).”.

Signature

Signed by authority of the Secretary of State for Education

Barran

Parliamentary Under Secretary of State

Department for Education

Jeremy Miles

Minister for Education and Welsh Language, one of the Welsh Ministers

Explanatory note

(This note is not part of these Regulations)

These Regulations amend the Education (Student Loan) (Repayment) Regulations 2009 (S.I. 2009/470) (“the 2009 Regulations”) and revoke spent enactments.

The amendment of the 2009 Regulations:

  • reorganises student loans within the scope of the 2009 Regulations into five plans, including a new plan 5 loan for certain courses beginning on or after 1st August 2023;

  • for borrowers who have a plan 2 loan (formerly a “post-2012 student loan”):

    • maintains the income-based repayment threshold (above which a borrower who has reached the statutory repayment due date in regulation 15 is required to make repayments) at £27,295 until the end of 5th April 2025, and

    • changes the annual uprating of the repayment threshold thereafter from a calculation based on differences in average earnings to one based on the retail price index;

  • introduces fixed instalment rates, which:

    • are used to calculate repayments by overseas borrowers who have not provided required information about their income,

    • replace the fixed instalments set out in regulation 76 (which is omitted), and

    • for repayments of a plan 2 loan, a plan 3 loan (formerly a “postgraduate degree loan”) or a plan 5 loan, are recalculated annually based on the median salary for graduates;

  • consolidates the provisions reducing interest rates on plan 2 and 3 loans applied by S.I. 2021/677, 1005, 1378, 2022/889 and 1151 (which are revoked);

  • omits spent provisions;

  • makes incidental, supplemental or technical amendments.

The student loans within the scope of the 2009 Regulations are:

  • loans under section 22 of the Teaching and Higher Education Act 1998 (c. 30),

  • loans under section 73(f) of the Education (Scotland) Act 1980 (c. 44) in respect of which the Scottish Ministers have determined that repayments are to be collected by His Majesty’s Revenue and Customs, and

  • loans subject to transfer arrangements under the Sale of Student Loans Act 2008 (c. 10).

Part 1 of the 2009 Regulations (general) is amended as follows:

  • regulation 3 (interpretation) is amended to revise the definitions of expressions used in the 2009 Regulations;

  • new regulations 3A to 3E set out the five student loan plans within the scope of the 2009 Regulations;

  • regulation 4 (application: general) is amended to set out what is required to be repaid in relation to a student loan;

  • regulation 5 (Wales) is amended in consequence of new regulations 3A to 3C;

  • regulation 6 (Scotland) is omitted in consequence of new regulation 3D;

  • regulation 7 (application to transferred loans in England and Wales) is amended in consequence of new regulations 3A to 3C;

  • new regulation 8A sets out how to calculate the country-specific multiplier, which is used to determine the amounts of repayments payable by overseas borrowers;

  • new regulation 8B sets out how to calculate the repayment threshold variable, which is used to determine:

    • the rate at which a plan 2 loan bears interest;

    • whether repayments are required in relation to a plan 1, 2 or 5 loan;

  • new regulation 8C provides that the examples in the 2009 Regulations (found in new regulations 8A, 8B and 74A) are only illustrative.

Part 2 of the 2009 Regulations (provisions applicable to all repayments) is amended as follows:

  • regulation 9 (interpretation) is amended to revise the definitions of expressions used in the Part 2;

  • regulation 14 (interest and penalties) is amended to provide that it applies only in relation to plan 1, 2, 3 and 5 loans (plan 4 loans are subject to the Repayment of Student Loans (Scotland) Regulations 2000 (S.S.I. 2000/110));

  • regulation 15 (timing of repayments: general) is amended in consequence of:

    • new regulations 3A to 3C;

    • the amendment of regulation 16;

  • regulation 16 (timing of repayment: teachers and eligible teachers) is amended in consequence of the conclusion of the repayment and reduction provision for eligible teachers under the Education (Teacher Student Loans) (Repayment etc.) Regulations 2003 (S.I. 2003/1917);

  • regulations 18 to 20A are amended in consequence of new regulations 3A to 3E;

  • new regulation 20B (which comes into force on 16th January 2023):

    • limits prospectively the rate at which certain student loans bear interest;

    • consolidates the provisions reducing interest rates on plan 2 and 3 loans applied by S.I. 2021/677, 1005, 1378, 2022/889 and 1151;

    • is amended on 6th April 2023 in consequence of new regulations 3B, 3C and 3E;

  • regulation 21 (interest rate on the loans) is amended in consequence of new regulation 3A;

  • regulation 21A (interest rate on post-2012 student loans) is amended:

    • on 16th January 2023 in consequence of new regulation 20B;

    • on 6th April 2023 in consequence of new regulation 3B;

  • new regulations 21AA and 21AB, which replace regulation 21A(12) to (14), set out the income thresholds in relation to which a plan 2 loan bears interest;

  • regulation 21B (interest rate on postgraduate degree loans) is amended:

    • on 16th January 2023 in consequence of new regulation 20B;

    • on 6th April 2023 in consequence of new regulation 3C;

  • new regulation 21C provides for a plan 5 loan to bear interest at the standard interest rate;

  • regulations 24, 25 and 27 are amended in consequence of new regulations 3A to 3E.

Part 3 of the 2009 Regulations (repayments by assessment to income tax) is amended as follows:

  • regulations 28 and 29 are amended in consequence of new regulations 3A to 3E, 8A, 8B and 8C and new Schedule 1A;

  • regulations 36 and 40 are amended to omit spent provisions.

Part 4 of the 2009 Regulations (deduction of repayments by employers) is amended as follows:

  • regulations 41, 42, 44, 50, 55, 56, 57, 60, 61, 67 and 68 are amended in consequence of new regulations 3A to 3E and the following amendments to Part 4;

  • regulation 41A (real time information employers) is omitted in consequence of regulation 14 of the Income Tax (Pay As You Earn) (Amendment) Regulations 2013 (S.I. 2013/521) (which exempts certain employers from the requirement to be Real Time Information employers on and after 6th October 2013);

  • regulation 43 (new employee to declare repayments liability) is amended, and regulation 43A (commencement of employment with a Real Time Information employer) is omitted, in consequence of the replacement of Form P46 with the starter checklist (see https://www.gov.uk/new-employee/employee-information);

  • regulation 59 (return by employers) is amended in consequence of new regulations 3A to 3E and paragraph 8(2) of Schedule 12 to the Finance Act 2004 (c. 12);

  • regulation 59B (real time returns of information about payments of earnings) is amended to omit spent provisions relating to the 2014-15 and 2015-16 tax years;

  • regulations 59E and 59G are amended to omit spent provisions.

Part 5 of the 2009 Regulations (repayment by overseas borrowers) is amended as follows:

  • regulations 71, 73 and 77 are amended in consequence of new regulations 3A to 3E;

  • regulation 74 (repayment by fixed instalments) is amended in consequence of new regulation 74A;

  • new regulation 74A sets out how to calculate the fixed instalment rate payable by overseas borrowers who have plan 2, 3 or 5 loans;

  • regulation 75 is amended in consequence of new regulation 75A;

  • new regulation 75A sets out how to calculate the applicable threshold, which is used to determine whether an overseas borrower is required to make repayments in relation to a plan 1, 2, 3 or 5 loan;

  • regulation 76 is omitted in consequence of new regulations 74A and 75A.

Part 6 of the 2009 Regulations (insolvency) is amended:

  • in consequence of new regulations 3A to 3E;

  • to omit spent provisions.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sector is foreseen.

The Welsh Ministers’ Code of Practice on the carrying out of Regulatory Impact Assessments was considered in relation to the exercise of the Welsh Ministers’ functions under these Regulations. As a result, a regulatory impact assessment has been prepared as to the likely costs and benefits of complying with these Regulations. A copy can be obtained from the Higher Education Division, Welsh Government, Cathays Park, Cardiff CF10 3NQ.

An Explanatory Memorandum is published alongside this instrument at www.legislation.gov.uk.