# The Social Security Revaluation of Earnings Factors Order 2016

S.I. 2016/205 · made 22 February 2016

This Order is made following a review under section 148 (revaluation of earnings factors) of the Social Security Administration Act 1992 (c. 5).

Made under: Social Security Administration Act 1992 (Section 148, Section 189)

PDFs: Printed copy https://openlegislation.uk/social-security-revaluation-of-earnings-factors-order-2016/pdf/uksi_20160205_en.pdf; UK Explanatory Memorandum https://openlegislation.uk/social-security-revaluation-of-earnings-factors-order-2016/pdf/uksiem_20160205_en.pdf

## Introductory text

Social Security
Made 22nd February 2016
Laid before Parliament 29th February 2016
Coming into force 6th April 2016
In accordance with section 148(2) of the Social Security Administration Act 1992, the Secretary of State has reviewed the general level of earnings obtaining in Great Britain.
The Secretary of State has concluded, having regard to earlier orders made under section 148 of that Act, that earnings factors for the relevant tax years have not, during the period taken into account for that review, maintained their value in relation to the general level of earnings.
The Secretary of State makes the following Order in exercise of the powers conferred by sections 148(3) and (4) and 189(1), (4) and (5) of the Social Security Administration Act 1992.

## 1 Citation and commencement

This Order may be cited as the Social Security Revaluation of Earnings Factors Order 2016 and shall come into force on 6th April 2016.

## 2 Revaluation of earnings factors

The earnings factors for tax years specified in the Schedule to this Order in so far as they are relevant—
(a) to the calculation—
(i) of the additional pension in the rate of any long-term benefit, or
(ii) of any guaranteed minimum pension; or
(b) to any other calculation required under Part 3 of the Pension Schemes Act 1993 (including that Part as modified by or under any other enactment),
are directed to be increased for those tax years by the percentage of their amount shown opposite those tax years in that Schedule.

## 3 Rounding of fractional amounts

Where any earnings factor relevant to the calculation specified in article 2(a)(i) of this Order, as increased in accordance with this Order, would not but for this article be expressed as a whole number of pounds, it shall be so expressed by rounding down any fraction of a pound less than one half and rounding up any other fraction of a pound.

## Signature

Signed by authority of the Secretary of State for Work and Pensions
Altmann
Minister of State,
Department for Work and Pensions
22nd February 2016

## Percentage increase of earnings factor for specified tax years

Tax year
Percentage increase
1978-1979
771.5
1979-1980
669.2
1980-1981
542.6
1981-1982
438.2
1982-1983
388.8
1983-1984
353.9
1984-1985
320.2
1985-1986
294.2
1986-1987
262.0
1987-1988
237.1
1988-1989
210.1
1989-1990
179.9
1990-1991
160.8
1991-1992
136.9
1992-1993
122.4
1993-1994
111.8
1994-1995
105.5
1995-1996
96.8
1996-1997
91.4
1997-1998
82.3
1998-1999
74.3
1999-2000
67.3
2000-2001
57.4
2001-2002
51.3
2002-2003
45.1
2003-2004
40.0
2004-2005
34.9
2005-2006
29.6
2006-2007
25.3
2007-2008
20.4
2008-2009
15.5
2009-2010
12.1
2010-2011
10.7
2011-2012
8.3
2012-2013
6.3
2013-2014
4.5
2014-2015
3.5
2015-2016
2.0

## Explanatory note

(This note is not part of the Order)
This Order is made following a review under section 148 (revaluation of earnings factors) of the Social Security Administration Act 1992 (c. 5).
This Order directs that the earnings factors relevant to the calculation of the additional pension in the rate of any long-term benefit or of any guaranteed minimum pension, or to any other calculation required under Part 3 of the Pension Schemes Act 1993 (c. 48), are to be increased for the tax years specified in the Schedule to the Order by the percentage of their amount specified in that Schedule.
The percentages specified in this Order for the tax years from and including 2000 – 2001 are also relevant for the purposes of revaluing state scheme pension debits and credits in accordance with section 13 and 14 of, and paragraphs 2(6) of Schedule 8 and 2(6) of Schedule 10 to, the Pensions Act 2014 (c. 19).
The percentage for the tax year 2015 – 2016 is 2.0%. The percentages for earlier tax years have been increased so that the earnings factors for those years are revalued at 2015 – 2016 earning levels.
This Order also provides for rounding fractional amounts for earnings factors relevant to the calculation of the additional pension in the rate of any long-term benefit. By virtue of section 23(2) of the Social Security Contributions and Benefits Act 1992 (c. 4), rounding is not required for the purpose of the calculation of any guaranteed minimum pension.
A full impact assessment has not been produced for this instrument as it has no new impact on business or civil society organisations.

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Source: https://www.legislation.gov.uk/uksi/2016/205 (the official version)
Page: https://openlegislation.uk/social-security-revaluation-of-earnings-factors-order-2016
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.