The Social Security (Deferral of Retirement Pensions, Shared Additional Pension and Graduated Retirement Benefit) (Miscellaneous Provisions) Regulations 2005

PART 6 E+W+S AMENDMENT OF BENEFIT REGULATIONS

Amendment of the Housing Benefit Regulations E+W+S

11.—(1) The Housing Benefit Regulations M1 as modified in their application to persons to whom regulation 2(1) of the Housing Benefit and Council Tax Benefit (State Pension Credit) Regulations 2003 M2 applies shall be amended in accordance with the following paragraphs.

(2) In regulation 2(1) (interpretation), after the definition of “gateway office” insert—

““the Graduated Retirement Benefit Regulations” means the Social Security (Graduated Retirement Benefit) Regulations 2005 M3 ;”.

(3) In regulation 36 (notional income)—

(a) at the beginning of paragraph (6) insert “ Subject to paragraph (6A), ”;

(b) after paragraph (6) insert—

“(6A) Paragraph (6) shall not apply in respect of the amount of an increase of pension or benefit where a person, having made an election in favour of that increase of pension or benefit under Schedule 5 or 5A to the Contributions and Benefits Act M4 or under Schedule 1 to the Graduated Retirement Benefit Regulations, changes that election in accordance with regulations made under Schedule 5 or 5A to that Act in favour of a lump sum.

(6B) In paragraph (6A), “lump sum” means a lump sum under Schedule 5 or 5A to the Contributions and Benefits Act or under Schedule 1 to the Graduated Retirement Benefit Regulations.”.

(4) In Schedule 5ZA, in Part I (capital to be disregarded), after paragraph 25A M5 insert—

“25B.   Where a person elects to be entitled to a lump sum under Schedule 5 or 5A to the Contributions and Benefits Act or under Schedule 1 to the Graduated Retirement Benefit Regulations, or is treated as having made such an election, and a payment has been made pursuant to that election, an amount equal to—

(a) except where sub-paragraph (b) applies, the amount of any payment or payments made on account of that lump sum;

(b) the amount of that lump sum,

but only for so long as that person does not change that election in favour of an increase of pension or benefit.”.

Marginal Citations

M1 S.I.1987/1971. The relevant amending instruments are S.I.1999/1539, 2002/1397, 2003/325 and 2004/2327.

M2 S.I 2003/325. The relevant amending instrument is S.I. 2003/2275.

M3 S.I.2005/454.

M4 Schedule 5A is inserted by paragraph 15 of Schedule 11 to the Pensions Act 2004 (c. 35).

M5 Paragraph 25A is inserted by S.I. 2003/2275.

Amendment of the Council Tax Benefit (General) Regulations 1992 E+W+S

12.—(1) The Council Tax Benefit (General) Regulations 1992 M6 as modified in their application to persons to whom regulation 12(1) of the Housing Benefit and Council Tax Benefit (State Pension Credit) Regulations 2003 applies shall be amended in accordance with the following paragraphs.

(2) In regulation 2(1) (interpretation), after the definition of “gateway office”, insert—

““the Graduated Retirement Benefit Regulations” means the Social Security (Graduated Retirement Benefit) Regulations 2005 M7 ;”.

(3) In regulation 28 (notional income)—

(a) at the beginning of paragraph (6) insert “ Subject to paragraph (6A), ”;

(b) after paragraph (6) insert—

“(6A) Paragraph (6) shall not apply in respect of the amount of an increase of pension or benefit where a person, having made an election in favour of that increase of pension or benefit under Schedule 5 or 5A to the Contributions and Benefits Act 1992 M8 or under Schedule 1 to the Graduated Retirement Benefit Regulations, changes that election in accordance with regulations made under Schedule 5 or 5A to that Act in favour of a lump sum.

(6B) In paragraph (6A), “lump sum” means a lump sum under Schedule 5 or 5A to the Contributions and Benefits Act 1992 or under Schedule 1 to the Graduated Retirement Benefit Regulations.”.

(4) In Schedule 5ZA, in Part I (capital to be disregarded), after paragraph 25A insert—

“25B.   Where a person elects to be entitled to a lump sum under Schedule 5 or 5A to the Contributions and Benefits Act 1992 or under Schedule 1 to the Graduated Retirement Benefit Regulations, or is treated as having made such an election, and a payment has been made pursuant to that election, an amount equal to—

(a) except where sub-paragraph (b) applies, the amount of any payment or payments made on account of that lump sum;

(b) the amount of that lump sum,

but only for so long as that person does not change that election in favour of an increase of pension or benefit.”.

Marginal Citations

M6 S.I.1992/1814. The relevant amending instruments are S.I.1999/1539, 2003/325 and 2004/2327.

M7 S.I.2005/454.

M8 Schedule 5A is inserted by paragraph 15 of Schedule 11 to the Pensions Act 2004 (c. 35).

Amendment of the State Pension Credit Regulations 2002 E+W+S

13.—(1) The State Pension Credit Regulations 2002 M9 shall be amended in accordance with the following paragraphs.

(2) In regulation 1(2) (interpretation), after the definition of “full-time student” insert—

““the Graduated Retirement Benefit Regulations” means the Social Security (Graduated Retirement Benefit) Regulations 2005 M10 ;”.

(3) In regulation 18 (notional income)—

(a) at the beginning of paragraph (6) insert “ Subject to paragraph (7), ”;

(b) after paragraph (6) add—

“(7) Paragraph (6) shall not apply in respect of the amount of an increase of pension or benefit where a person, having made an election in favour of that increase of pension or benefit under Schedule 5 or 5A to the 1992 Act M11 or under Schedule 1 to the Graduated Retirement Benefit Regulations, changes that election in accordance with regulations made under Schedule 5 or 5A to that Act in favour of a lump sum.

(8) In paragraph (7), “lump sum” means a lump sum under Schedule 5 or 5A to the 1992 Act or under Schedule 1 to the Graduated Retirement Benefit Regulations.”.

(4) In Schedule V, in Part I (capital disregarded for the purpose of calculating income), after paragraph 23 insert—

“23A.   Where a person elects to be entitled to a lump sum under Schedule 5 or 5A to the 1992 Act or under Schedule 1 to the Graduated Retirement Benefit Regulations, or is treated as having made such an election, and a payment has been made pursuant to that election, an amount equal to—

(a) except where sub-paragraph (b) applies, the amount of any payment or payments made on account of that lump sum;

(b) the amount of that lump sum,

but only for so long as that person does not change that election in favour of an increase of pension or benefit.”.

Marginal Citations

M9 S.I. 2002/1792.

M10 S.I.2005/454.

M11 Schedule 5A is inserted by paragraph 15 of Schedule 11 to the Pensions Act 2004 (c. 35).