Explanatory note

This Order provides that the designated tax year for the purposes of section 5 (up-rating of basic pension etc. and standard minimum guarantee by reference to earnings) of the Pensions Act 2007 (c. 22) is the tax year 2010-11.

Accordingly, the tax year 2010-11 is the first tax year in which the Secretary of State will carry out a review of the following amounts, in order to determine whether they have retained their value in relation to the general level of earnings obtaining in Great Britain:

• the amount of the basic state pension;

• in the case of Category B, C or D retirement pensions, the amounts specified in paragraph 5 of Part 1 and in paragraphs 6 and 7 of Part 3 of Schedule 4 to the Social Security Contributions and Benefits Act 1992 (c. 4);

• in the case of industrial death benefit, the amounts specified in paragraph 10 of Part 5 of that Schedule (apart from the amount of the initial rate) and the amount specified in paragraph 11 of that Part of that Schedule.

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