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After section 64 of the 1986 Act (effect of alteration of rates of benefit) there shall be inserted—
(1)Subject to such exceptions and conditions as may be prescribed, where—
(a)an award of income support is in force in favour of any person (“the recipient”), and
(b)there is an alteration in any of the relevant amounts, that is to say—
(i)any of the component rates of income support,
(ii)any of the other sums specified in regulations under Part II above, or
(iii)the recipient’s benefit income, and
(c)the alteration affects the computation of the amount of income support to which the recipient is entitled,
then subsection (2) or (3) below (as the case may be) shall have effect.
(2)Where, in consequence of the alteration in question, the recipient becomes entitled to an increased or reduced amount of income support (“the new amount”), then, as from the commencing date, the amount of income support payable to or for the recipient under the award shall be the new amount, without any further decision of an adjudication officer, and the award shall have effect accordingly.
(3)Where, notwithstanding the alteration in question, the recipient continues on and after the commencing date to be entitled to the same amount of income support as before, the award shall continue in force accordingly.
(4)In any case where—
(a)there is an alteration in any of the relevant amounts, and
(b)before the commencing date (but after that date is fixed) an award of income support is made in favour of a person,
the award either may provide for income support to be paid as from the commencing date, in which case the amount shall be determined by reference to the relevant amounts which will be in force on that date, or may provide for an amount determined by reference to the amounts in force at the date of the award.
(5)In this section—
“alteration” means—
in relation to—
the component rates of income support, or
any other sums specified in regulations under Part II of this Act,
their alteration by or under any enactment, whether or not contained in that Part; and
in relation to a person’s benefit income, the alteration of any of the sums referred to in section 63(1) above—
by any enactment, or
by an order under section 63 or 63A above,
to the extent that any such alteration affects the amount of his benefit income;
“benefit income”, in relation to any person, means so much of his income as consists of—
benefit under the benefit Acts, other than income support; or
a war disablement pension or war widow’s pension;
“the commencing date”, in relation to an alteration, means the date on which the alteration comes into force in the case of the person in question;
“component rate”, in relation to income support, means the amount of—
any of the sums specified in regulations under section 22(1) above; or
the sum referred to in section 23(5)(b)(i) and (ii) above;
“relevant amounts” has the meaning given by subsection (1)(b) above.”