Explanatory note

These Regulations further amend the Social Security (Categorisation of Earners) Regulations 1978 (“the principal Regulations”).

Regulation 2 amends regulation 1 of the principal Regulations by inserting definitions of “foreign employer” and “host employer”.

Regulation 3 amends Part III of Schedule 1 to the principal Regulations by extending the description of employments to be disregarded in relation to liability for contributions to members of the Brigade of Gurkhas recruited in Nepal.

Regulation 4 amends Schedule 3 to the principal Regulations by extending the description of employments in respect of which persons are treated as secondary Class 1 contributors to workers seconded, on or after 6th April 1994, by foreign employers to employers in Great Britain.

Regulations 1, 2 and 3 do not impose any additional costs on business. The effect of regulation 4 will be to increase the National Insurance contributions payable by some employers.

An assessment of the cost to business of applying regulation 4 has been placed in the Libraries of both Houses of Parliament. Copies can be obtained by post from the Department of Social Security, Room 09/03, Adelphi, 1–11 John Adam Street, London WC2N 6HT.