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National Insurance Act 1974

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This is the original version (as it was originally enacted).

5Amendment of s. 39 of the Social Security Act 1973

(1)Section 39 of the Social Security Act 1973 (which provides for the annual review of benefits for the purpose of up-rating) shall have effect in relation to relevant benefits as if in subsection (3)(a) (by virtue of which the Secretary of State is required in the course of a review to have regard to the extent to which current rates of benefit have retained their value in relation to the general level of prices obtaining in Great Britain since the end of the previous review period or, in the case of the first review, since the beginning of the income tax year in which the section came into force) for the word " prices " there were substituted the word

earnings; but it shall be the duty of the Secretary of State to disregard that amendment in connection with a particular review if he considers that it would be to the advantage of beneficiaries to do so.

(2)In the preceding subsection " relevant benefits " means—

(a)the benefits mentioned in Part I of Schedule 4 to the Social Security Act 1973 except unemployment or sickness benefit where the beneficiary is under pensionable age and except maternity allowance and age addition;

(b)the increases mentioned in Part III of that Schedule except an increase of unemployment or sickness benefit where the beneficiary is under pensionable age and except an increase of maternity allowance ;

(c)the benefits and increases mentioned in Schedule 3 to the Industrial Injuries Act (including the maxima mentioned in paragraph 12 of that Schedule) except injury benefit, an increase of injury benefit in respect of a child or adult dependant, an increase of disablement pension in respect of a child or adult dependant where the beneficiary is not entitled to an unemployability supplement and except an allowance in respect of a deceased's children under section 21(1) of that Act; and

(d)the allowances to which section 3(2) of this Act relates ;

and in this subsection " pensionable age " has the same meaning as in the Social Security Act 1973 and " beneficiary " means the person entitled to the benefit or increase in question.

(3)In subsection (3).of the said section 39, after paragraph (b) there shall be inserted the following paragraph—

(c)the rate of change in the general level of prices and earnings with a view to considering the desirability of introducing legislation requiring more frequent reviews of benefit than is provided for in this section.

(4)After subsection (10) of the said section 39 there shall be inserted the following subsection—

(10A)Following each review of social security benefits under this section, the Secretary of State shall lay before each House of Parliament a report of his conclusions on the matters which he is required to consider by subsection (3)(c) above.

(5)In subsection (14) of the said section 39, for paragraph (a) (which provides that an order under that section increasing benefits in consequence of a review shall be made so as to come into force not earlier than 16th November or later than 30th November following the date of the approval of the order by Parliament) there shall be substituted the following paragraph—

(a)shall, if it is made in consequence of a review carried out in the year 1975-76, provide for the order to come into force before the end of the week beginning with the last Monday in July of that year.

(6)In subsection (2) of the said section 39, for paragraphs (a) and (b) (which relate to benefits under the Insurance Act, Part I of the Social Security Act 1973, the Industrial Injuries Act and the Old Cases Act) there shall be substituted the words

means benefits under Part I of this Act, the Industrial Injuries Act and the Old Cases Act.

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