Welfare Reform Act 2009

12 Conditions for contributory jobseeker’s allowance

(1) Section 2 of the Jobseekers Act 1995 (c. 18) (jobseeker’s allowance: the contribution-based conditions) is amended as follows.

(2) In subsection (2), for paragraph (b) substitute—

“(b) the claimant’s relevant earnings for the base year upon which primary Class 1 contributions have been paid or treated as paid are not less than the base year’s lower earnings limit multiplied by 26.”

(3) After that subsection insert—

“(2A) Regulations may make provision for the purposes of subsection (2)(b) for determining the claimant’s relevant earnings for the base year.

(2B) Regulations under subsection (2A) may, in particular, make provision—

(a) for making that determination by reference to the amount of a person’s earnings for periods comprised in the base year;

(b) for determining the amount of a person’s earnings for any such period by—

(i) first determining the amount of the earnings for the period in accordance with regulations made for the purposes of section 3(2) of the Benefits Act, and

(ii) then disregarding so much of the amount found in accordance with sub-paragraph (i) as exceeded the base year’s lower earnings limit (or the prescribed equivalent).”

(4) In subsection (3A), for “subsections (2)(b) and (3)” substitute “subsection (3)”.

(5) After that subsection insert—

“(3B) Regulations may—

(a) provide for the first set of conditions to be taken to be satisfied in the case of persons—

(i) who have been entitled to any prescribed description of benefit during any prescribed period or at any prescribed time, or

(ii) who satisfy other prescribed conditions;

(b) with a view to securing any relaxation of the requirements of the first set of conditions in relation to persons who have been entitled as mentioned in paragraph (a)(i), provide for that set of conditions to apply in relation to them subject to prescribed modifications.

(3C) In subsection (3B)—

• “the first set of conditions” means the condition set out in subsection (1)(a) and the additional conditions set out in subsection (2);

• “benefit” means—

  (a)

  any benefit within the meaning of section 122(1) of the Benefits Act,

  (b)

  any benefit under Parts 7 to 12 of the Benefits Act,

  (c)

  credits under regulations under section 22(5) of the Benefits Act,

  (d)

  a contribution-based jobseeker’s allowance, and

  (e)

  working tax credit.”

(6) In paragraph 45 of Schedule 1 to the National Insurance Contributions Act 2002 (c. 19) (which amended section 2(2)(b) of the Jobseekers Act 1995 (c. 18)), for “section 2(2)(b) and (3)” substitute “section 2(3)”.