Explanatory note

These Regulations amend the Social Security (Claims and Payments) Regulations 1987 (regulations 2 to 13) and the Social Security (Payments on account, Overpayments and Recovery) Regulations 1988 (regulation 14) to make further provision as to the payment of social security benefits.

Regulation 2 provides for arrangements to be made with a claimant to pay benefit by direct credit transfer into his bank account without an application by him, or into the account of another specified person or into a specified joint account.

Regulation 3 provides that disability living allowance continues to be payable at four weekly intervals and other long term benefits are payable at four weekly intervals, or weekly in advance.

Regulations 4 and 5 clarify the time when child benefit and incapacity benefit is paid.

Regulations 6 to 8 provide that payment of benefit by direct credit transfer into the account of a beneficiary under age 18 or a statutory appointee shall be a good discharge to the Secretary of State.

Regulation 9 provides that specified social fund payments may be made by direct credit transfer and if an instrument of payment is payable to a third party it may be sent to the beneficiary.

Regulation 10 clarifies a reference to direct credit transfer.

Regulation 11 amends provisions specifying days for payment of retirement pensions, widow’s benefit and bereavement benefit.

Regulations 12 and 13 provide that whether income support is paid by direct credit transfer or otherwise deductions may be made and paid directly to third parties and qualifying lenders.

Regulation 14 prevents payments of specified benefits made by direct credit transfer or otherwise being reduced below 10p a week when benefit overpayments are recovered by deductions from such benefits.

Regulation 15 confirms that the Regulations do not affect the application of the Social Security (Claims and Payments) Regulations 1987 to tax credits.

These Regulations do not impose a cost on business.