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The Social Security Pensions (Low Earnings Threshold) Order 2008

S.I. 2008/726 · Made 12 March 2008

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.

Social Security

Made 12th March 2008

Laid before Parliament 14th March 2008

Coming into force 6th April 2008

The Secretary of State for Work and Pensions has reviewed the general level of earnings obtaining in Great Britain as required by section 148A of the Social Security Administration Act 1992f1 and it appears to him that the general level of earnings has increased during the review period.

Accordingly, the Secretary of State, in exercise of the powers conferred on him by section 148A, makes the following Order.

Annotations to the whole text

Footnotes

f1

1992 c.5. See subsections (1) and (2) of section 148A which was inserted by section 33(1) of the Child Support, Pensions and Social Security Act 2000 (c.19).

Contents

  1. 1Citation and commencement
  2. 2Low earnings threshold
  3. Signature
  4. Explanatory note

1Citation and commencement

This Order may be cited as the Social Security Pensions (Low Earnings Threshold) Order 2008 and shall come into force on 6th April 2008.

2Low earnings threshold

It is hereby directed that, for the purposes of the Social Security Contributions and Benefits Act 1992f1, the low earnings thresholdf2 for the tax years following the tax year 2007 – 2008 shall be £13,500.

Signature

Signed by authority of the Secretary of State for Work and Pensions.

Mike O’Brien

Minister of State,

Department for Work and Pensions

12th March 2008

Explanatory note

(This note is not part of the Order)

This Order is made following a review by the Secretary of State under section 148A(1) of the Social Security Administration Act 1992 (c.5) of the general level of earnings in Great Britain with a view to determining whether, and if so by how much, the amount of the low earnings threshold for the purposes of the Social Security Contributions and Benefits Act 1992 (c.4) should be increased for future tax years. As a result of that review, it appears to the Secretary of State that the general level of such earnings during the period from 1st October 2006 to 30th September 2007 has increased by 4.2 per cent.

This Order directs that the low earnings threshold for the tax years following 2007 – 2008 shall be £13,500. The threshold for the tax year 2007 – 2008 was £13,000 by virtue of S.I. 2007/776. The low earnings threshold is the amount by reference to which the three surplus earnings bands are determined for the purpose of calculating the additional pension (the state second pension) in a state retirement pension.

A full impact assessment has not been produced for this instrument as it has no new impact on the private or voluntary sectors.