Supplementary Benefits Act 1976

Power to serve further deduction notice in certain circumstances

5 (1) Where a deduction notice has ceased to have effect by reason of the claimant ceasing to be in the employment of the person on whom the notice was served or by reason of the expiration of the period of fourteen weeks mentioned in paragraph 3(1)(c) above, the Secretary of State may, if he thinks fit, serve a further deduction notice on the person, if any, by whom the claimant is for the time being employed.

(2) Notwithstanding anything in the foregoing provisions of this Schedule, in any further deduction notice served by virtue of sub-paragraph (1) above—

(a) the amount specified as the amount by reference to which deductions are to be made by the employer shall be equal to the amount mentioned in sub-paragraph (3) below ; and

(b) the amount specified as the claimant's protected earnings shall, subject to the regulations, be the same as the amount specified in that behalf in the last deduction notice relating to him which was in force before the date of the further deduction notice.

(3) The amount referred to in sub-paragraph (2)(a) above is the aggregate of the amounts of supplementary benefit respectively specified in all notifications of award under section 9(4) of this Act relating to the claimant received by the Secretary of State after the beginning of the relevant engagement and before the date of the further deduction notice in question reduced—

(a) by so much, if any, of the aggregate of those amounts as has been repaid by the claimant before the date of the further deduction notice;

(b) in respect of every previous deduction notice served after the beginning of the relevant engagement which has been in force in relation to the claimant, by whichever is the greater of the following amounts—

(i) the aggregate of the amounts actually deducted by the relevant employer from the claimant's earnings by virtue of the previous deduction notice in question ; and

(ii) the aggregate of the amounts which that employer was required by paragraph 4(2) or 4(3)(a) above to deduct from those earnings by virtue of that previous notice.