Child Support, Pensions and Social Security Act 2000 - Explanatory Notes

1. Introduction

   1. Structure of the notes

   2. Terminology

   3. Financial effects

2. Overview

   1. Background to the Act

   2. The measures in the Act

      1. Part I:

      2. Part II:

      3. Part III:

      4. Part IV:

3. 1. Background

      1. The current system

      2. The proposals for reform

      3. The measures in the Act

   2. Commentary on Sections

      1. Maintenance calculations and interim and default maintenance decisions

         1. Section 1: Maintenance calculations and terminology

         2. New section 11: Maintenance calculations

         3. Schedule 1: Calculation of weekly amount of child support maintenance

         4. Paragraph 1: General rule

         5. Paragraph 2: Basic rate

         6. Paragraph 3: Reduced rate

         7. Paragraph 4: Flat rate

         8. Paragraph 5: Nil rate

         9. Paragraph 6: Apportionment

         10. Paragraph 7: Shared care – basic and reduced rate

         11. Paragraph 8: Shared care – flat rate

         12. Paragraph 9: Regulations about shared care

         13. Paragraph 10: Net weekly income

         14. Paragraph 10A: Regulations about rates, figures,

         15. Paragraph 10B: Regulations about income

         16. Paragraph 10C: References to various terms

         17. Section 2: Applications under section 4 of the Child Support Act 1991

         18. Section 3: Applications by persons claiming or receiving benefit

         19. New section 6: Applications by those claiming or receiving benefit

         20. Section 4: Default and interim maintenance decisions

         21. New section 12: Default and interim maintenance decisions

      2. Applications for a variation

         1. Section 5: Departure from usual rules for calculating maintenance

         2. New section 28A: Applications for variation of usual rules for calculating maintenance

         3. New section 28B: Preliminary consideration of applications

         4. New section 28C: Imposition of regular payments condition

         5. New section 28F: Agreement to a variation

         6. Section 6: Applications for a variation: further provisions

         7. Schedule 2

         8. New Schedule 4A: Applications for a variation

         9. New Schedule 4B: Applications for a variation: the cases and controls

      3. Part I: The cases

         1. Paragraph 2: Special expenses

         2. Paragraph 3: Property or capital transfers

         3. Paragraph 4: Additional cases

      4. Part II: Regulatory controls

         1. Section 7: Variations: revision and supersession

         2. New section 28G: Variations: Revision and supersession

         3. Section 8: Revision and supersession of decisions

         4. Section 9: Decisions superseding earlier decisions

         5. Section 10: Appeals to appeal tribunals

         6. New section 20: Appeals to appeal tribunals

         7. Section 11: Redetermination of appeals

         8. New section 23A: Redetermination of appeals

      5. Information

         1. Section 12: Information required by the Secretary of State

         2. Section 13: Information – offences

         3. New section 14A: Information – offences

         4. Section 14: Inspectors

         5. Amended section 15: Inspectors

      6. Parentage

         1. Section 15: Presumption of parentage in child support cases

         2. Section 82: Tests for determining parentage

         3. Section 83: Declarations of status

         4. New section 55A: Declarations of parentage

      7. Disqualification from driving

         1. Section 16: Disqualification from driving

         2. New section 39A: Commitment to prison and disqualification from driving

         3. New section 40B: Disqualification from driving: further provision

         4. Section 17: Civil Imprisonment: Scotland

         5. New section 40A: Commitment to Prison – Scotland

      8. Financial penalties

         1. Section 18: Financial Penalties

         2. New section 41A: Penalty payments

         3. Section 19: Reduced benefit decisions

         4. New section 46: Reduced benefit decisions

      9. Miscellaneous

         1. Section 20: Voluntary payments

         2. New section 28J: Voluntary payments

         3. Section 21: Recovery of child support maintenance by deduction from benefit

         4. New section 43 – recovery of child support maintenance by deduction from benefit

         5. Section 22: Child Support jurisdiction

         6. Section 23: Abolition of the child maintenance bonus

         7. Section 24: Periodical reviews.

         8. Section 25: Regulations

         9. Section 26: Amendments

         10. Schedule 3

         11. Section 27: Temporary compensation payment scheme

         12. Section 28: Pilot schemes

         13. Section 29: Interpretation, transitional provisions, savings,

4. 1. Background – State Second Pension and Occupational and Personal Pensions

      1. The current position

         1. SERPS and contracting-out arrangements

         2. Occupational and personal pensions regulatory framework

      2. Recent developments

      3. The measures in the Act

         1. State Second Pension

         2. Contracting-out arrangements

         3. Contracted-out Personal Pension Schemes

         4. Contracted-out Occupational Schemes

         5. Reporting on the effect on the NI Fund of earnings uprating.

         6. Protection of “inherited SERPS”

         7. Improving pensions information

         8. Improving the framework for occupational and personal pensions

   2. Commentary on Sections

      1. Chapter I:  State Pensions

         1. State second pension

            1. Section 30: Earnings from which pension is derived

            2. New section 44A: Deemed earnings factors

            3. Section 31: Calculation

            4. New Schedule 4A: Additional pension

         2. Part I: The amount

         3. Part II: Surplus earnings factors

         4. Part III: Contracted-out employment

            1. Paragraph 3: Introduction

            2. Paragraph 4: The amount

            3. Paragraph 5: Amount A

            4. Paragraph 6: Amount B (first case)

            5. Paragraph 7: Amount B (second case)

            6. Paragraph 8: Interpretation

         5. Part IV: Other cases

            1. Section 32: Calculation of Category B retirement pension

            2. Section 33: Revaluation

            3. New section 148A: Revaluation of low earnings threshold

            4. Section 34: Report of Government Actuary: rebates

            5. Section 35: Supplementary

         6. Report on pensions upratingt

            1. Section 36: Report on cost of pension uprating in line with general earnings level

         7. Earnings Factors

            1. Section 37: Revaluation of earnings factors

            2. Section 38: Modification of earnings factors

         8. Preservation of rights in respect of additional pensions

            1. Section 39: Preservation of rights in respect of additional pensions

         9. Other provisions

            1. Section 40: Home responsibilities protection

            2. Section 41: Sharing of state scheme rights

            3. Section 42: Disclosure of state pension information

      2. Chapter Ii: Occupational and Personal Pension Schemes

         1. Selection of trustees and of directors of corporate trustees

            1. Section 43: Member-nominated trustees

            2. Section 44: Corporate trustees

            3. Section 45: Employer's proposals for selection of trustees or directors

            4. New section 18A: Employer’s proposals for selection of trustees or directors

            5. Section 46: Non-compliance in relation to arrangements or proposals

         2. Winding-up of schemes

            1. Section 47: Information to be given to the Authority

            2. New section 26A: Information to be given to the Authority in a s. 22 case

            3. New section 26B: Information to be given in cases where s. 22 disapplied

            4. New section 26C: Construction of ss. 26A and 26B

            5. Section 48: Modification of scheme to secure winding-up

            6. New section 71A: Modification by Authority to secure winding-up

            7. Section 49: Reports about winding-up

            8. New section 72A: Reports to Authority about winding-up

            9. Section 50: Directions for facilitating winding-up

            10. New section 72B: Directions by Authority for facilitating winding-up

            11. New section 72C: duty to comply with directions under 72B

         3. Other provisions

            1. Section 51: Restriction on index-linking where annuity tied to investments

            2. New section 51A: Restriction on increase where annuity tied to investments

            3. Section 52: Information for members of schemes

            4. Section 53: Jurisdiction of the Pensions Ombudsman

            5. Section 54: Investigations by the Pensions Ombudsman

            6. Section 55: Prohibition on different rules for overseas residents

            7. New section 66A: Prohibition on different rules for overseas residents

            8. Section 56: Miscellaneous amendments and alternative to anti-franking rules

            9. Schedule 5

               1. Part I: Miscellaneous Amendments

                  1. Paragraph 1: Guaranteed minimum for widows and widowers

                  2. Paragraph 2: Transfer of rights to overseas personal pension schemes

                  3. Paragraph 3: Protected rights

                  4. Paragraph 4: Review and alteration of rates of contribution

                  5. Paragraph 5: Contributions equivalent premiums

                  6. Paragraph 6: Contribution equivalent premiums: Northern Ireland

                  7. Paragraph 7 Use of cash equivalent for annuity

                  8. Paragraph 8 Transfer values where pension in payment

                  9. Paragraph 9 Information about contracting-out

                  10. New section 156: Information for purposes of contracting-out

                  11. Paragraph 10: Register of disqualified trustees

                  12. Paragraph 11Conditions of payment of surplus to an employee

                  13. Paragraph 12 Duties relating to statements of contributions

               2. Part II Alternative to anti-franking rules

                  1. Paragraph 14: Cases in which alternative applies

                  2. Paragraph 15: Alternative rules

                  3. Paragraph 16: Relationship between alternative rules and other rules

                  4. Paragraph 17: Supplemental

      3. Chapter Iii: War Pensions

         1. Background

            1. The Current Position

               1. Appeals

               2. The Pensions Appeal Tribunals

               3. Composition of the Pensions Appeals Tribunals

               4. The Central Advisory Committee on War Pensions

            2. Recent Developments

            3. The Measures in the Act

               1. Extension of Appeal Rights

               2. Appeal Time Limits

               3. Jurisdiction of Tribunals

               4. Composition of Tribunals

               5. Composition of the Central Advisory Committee on War Pensions

         2. Commentary on Sections

            1. Section 57: Rights of Appeal

            2. New section 5A: Appeals in other cases

            3. Section 58: Time limits for appeals

            4. Section 59: Matters relevant on appeal to Pensions Appeal Tribunal

            5. Section 60: Constitution and procedure of Pensions Appeal Tribunals

            6. Section 61: Composition of Central Advisory Committee

5. Part III: Social Security Administration

   1. Loss of Benefit

      1. Background

         1. The current position

         2. The measures in the Act

   2. Commentary on Sections

      1. Section 62: Loss of benefit for breach of community order.

      2. Section 63: Loss of joint-claim Jobseekers Allowance

      3. Section 64: Information provision

      4. Section 65: Loss of benefit regulations

      5. Section 66: Appeals relating to loss of benefit

   3. Investigation Powers

      1. Background

         1. The current position

         2. Recent developments

         3. The measures in the Act

   4. Commentary on Sections

      1. Section 67: Investigation powers

      2. Schedule 6

      3. Paragraph 2: Replacement for inspectors’ powers

      4. New section 109A: Authorisation for investigators

      5. New section 109B: Power to require information

      6. New section 109C: Powers of entry

      7. Paragraph 3: Exercise of powers on behalf of local authorities

      8. New section 110A: Authorisation by local authorties

      9. Paragraphs 4 to 9: Consequential amendments

      10. New section 121DA: Interpretation of Part VI

   5. Housing Benefit and Council Tax Benefit

      1. Revisions and Appeals

         1. Current position

         2. The measures in the Act

   6. Commentary on Sections

      1. Section 68: Housing benefit and council tax benefit: revisions and appeals

      2. Schedule 7

         1. Paragraph 1: Introductory

         2. Paragraph 2: Decisions on claims for benefit

         3. Paragraph 3: Revision of decisions

         4. Paragraph 4: Decisions superseding earlier decisions

         5. Paragraph 5: Use of experts by authorities

         6. Paragraph 6: Appeal to appeal tribunal

         7. Paragraph 7: Redetermination of appeals by a tribunal

         8. Paragraph 8: Appeal from tribunal to Commissioner

         9. Paragraph 9: Appeal from Commissioner on a point of law

         10. Paragraph 10: Procedure

         11. Paragraph 11: Finality of decisions

         12. Paragraph 12: Matters arising as respects decisions

         13. Paragraph 13: Suspension in prescribed circumstances

         14. Paragraph 14: Suspension for failure to furnish information

         15. Paragraph 15: Termination in cases of failure to furnish information

         16. Paragraph 16: Decisions involving issues that arise on appeal in other cases

         17. Paragraph 17: Appeals involving issues that arise on appeal in other cases

         18. Paragraph 18: Restrictions on entitlement to benefit in certain cases of error

         19. Paragraph 19: Correction of errors and setting aside of decisions

         20. Paragraph 20: Regulations

         21. Paragraph 21: Consequential amendments of the Administration Act

         22. Paragraph 22: Consequential amendments of the Social Security Act 1998

         23. Paragraph 23: Interpretation

   7. Discretionary Payments

      1. Section 69: Discretionary financial assistance with housing

      2. Section 70: Grants towards the cost of discretionary housing payments

   8. Recovery of Housing Benefit

      1. Current position

      2. The measure in the Act

         1. Section 71: Recovery of housing benefit

   9. Child Benefit

      1. Section 72: Child benefit disregards

   10. Social Security Advisory Committee

       1. Section 73: Social Security Advisory Committee

6. Part IV: National Insurance Contributions

   1. Background

      1. The current position

      2. Recent developments

         1. Benefits in kind

         2. Share options

      3. The measures in the Act

         1. Benefits in kind

         2. Share options

   2. Commentary on Sections

      1. Section 74: Contributions in respect of benefits in kind (Great Britain)

      2. New section 10: Class 1A contributions: benefits in kind

      3. Section 75: Third party providers of benefits in kind: GB

      4. New section 10ZA: Liability of third party provider of benefits in kind

      5. New section 10ZB: Non-cash vouchers provided by third parties

      6. Section 76: Collection of NICs: Great Britain

      7. Section 77: Liability of earner for secondary contributions: Great Britain

      8. New paragraph 3A: Prohibition on recovery of employer’s contributions

      9. New paragraph 3B: Transfer of liability to be borne by earner

      10. Sections 78, 79, 80 and 81

7. Part V: Miscellaneous and Supplemental

   1. Miscellaneous

   2. Supplemental

      1. Section 84: Expenses

      2. Section 85: Repeals

      3. Section 86: Commencement and transitional provisions

         1. Commencement provisions

         2. Transitional provisions

      4. Section 87: Short title and extent

8. Schedules

9. Commencement

10. Hansard References

11. Glossary of Terms

    1. Administration Act

    2. Attendance Allowance (AA)

    3. Basic Retirement Pension (Basic Pension)

    4. Child Benefit

    5. Community Sentence

    6. Contributions and Benefits Act

    7. Deductions from earnings order

    8. Disability Living Allowance (DLA)

    9. Financial Services Authority

    10. Home Responsibilities Protection

    11. Incapacity Benefit (IB)

    12. Income Support (IS)

    13. Invalid Care Allowance (ICA)

    14. Jobseekers Act 1995

    15. Jobseeker's Allowance (JSA)

    16. Lower Earnings Limit (LEL)

    17. Maintenance agreement

    18. National Insurance contributions (NICs)

    19. National Insurance Credits

    20. Non-resident parent

    21. Occupational Pensions Regulatory Authority (Opra)

    22. Occupational Pension Scheme

    23. Parent with care

    24. Pensions Act 1995

    25. Personal Pension

    26. Primary Threshold

    27. Qualifying child

    28. Severe Disablement Allowance (SDA)

    29. Social Security Act 1998

    30. Tax Year

    31. Training Allowance

    32. Upper Earnings Limit (UEL)

    33. Widows’ Benefits

    34. Welfare Reform and Pensions Act 1999