Explanatory note

These regulations amend the Statutory Sick Pay (Additional Compensation of Employers and Consequential Amendments) Regulations 1985 by inserting a new regulation 3 into those regulations (regulation 2).

The new regulation 3 provides that, for the tax year beginning on 6th April 1987, the rate of an employer’s additional compensation in respect of any payment of statutory sick pay made by him is to be 7 per cent., that rate having been determined by reference to the aggregate of secondary Class 1 contributions paid in respect of statutory sick pay and statutory maternity pay.

As these regulations are made under section 9 of the Social Security and Housing Benefits Act 1982 they are exempted by paragraph 15A of Schedule 3 to the Social Security Act 1980 (c. 30) (see also paragraph 107 of Schedule 10 to the Social Security Act 1986) from the requirement under section 10(1) of the Social Security Act 1980 to refer proposals to the Social Security Advisory Committee and are made without reference to that Committee.