Social Security Act 1988

Part I Earnings Factors

1 (1) In section 13 of the Social Security Act 1975—

(a) in subsection (5) (earnings factors to be expressed as whole numbers of pounds), after the word “shall”, in the first place where it occurs, there shall be inserted the words “, subject to subsection (5ZA) below,”; and

(b) the following subsection shall be inserted after that subsection—

“(5ZA) Subsection (5) above does not require earnings factors which have been revalued for the purpose of calculating guaranteed minimum pensions to be expressed as whole numbers of pounds.”

(2) In subsection (5) of section 35 of the [1975 c. 60.] Social Security Pensions Act 1975 (earner’s guaranteed minimum), after the word “by” there shall be inserted the words “the same percentage as that prescribed for the increase of earnings factors by”.

(3) This paragraph shall be deemed to have come into force on 6th April 1979.

2 The following section shall be inserted after section 60A of the Social Security Pensions Act 1975—

“60B Guaranteed minimum pensions attributable in part to period before 1988–1989

Where a guaranteed minimum pension is attributable in part to earnings factors for the period before the tax year 1988–1989 and in part to earnings factors for that tax year or for that tax year and subsequent tax years, the pension shall be calculated by applying section 60A above separately to the amount attributable to the period before the tax year 1988–1989 and to the amount attributable to that and subsequent tax years and then aggregating the two amounts so calculated.”