Article 3 Increase of rates or amounts of certain benefits under the Pensions Act
The sums mentioned in paragraphs (2) to (5) below shall be increased from and including the respective dates specified in Article 4 below.
In section 6(1)(a) of the Pensions Act (basic component of Category A retirement pension)—
so far as the sum is relevant for the purpose of calculating under section 14(6) of the 1975 Act the rate of sickness benefit, for the sum of £37.05 there shall be substituted the sum of £37.85;
except so far as mentioned in sub-paragraph (a) above, for the sum of £38.70 there shall be substituted the sum of £39.50.
It is hereby directed that the sums which are the additional components in the rates of long-term benefits calculated by reference to any final relevant year earlier than the tax year 1986/1987 shall be increased by 2.1 per cent. of their amount apart from this order.
It is hereby directed that the sums payable by way of increases of retirement pensions under Schedule I to the Pensions Act (increase of pension where pensioner defers retirement) shall be increased by 2.1 per cent.
It is hereby declared that an amount equal to 2.1 per cent. of the aggregate amount of the sums —
payable by virtue of section 35(6) of the Pensions Act (which provides for Increases in a person s guaranteed minimum pension if payment of his occupational pension is postponed after he attains pensionable age) to a person who is also entitled to a Category A or Category B retirement pension (including sums payable by virtue of section 36(3)); and
payable to such a person as part of his Category A or Category B retirement pension by virtue of an order made under section 126A of the 1975 Actf1 or section 63 of the 1986 Act,
shall be payable by way of an increase of such a person’s Category A or Category B retirement pension.
Annotations
Footnotes
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Section 126A was inserted by section 12 of the Social Security Act 1979 and repealed by the Social Security Act 1986, section 86, Schedule 11.