The Social Security (Contributions Credits for Parents and Carers) Regulations 2010

Statutory Instruments

2010 No. 19

Social Security

The Social Security (Contributions Credits for Parents and Carers) Regulations 2010

Made

5th January 2010

Coming into force

6th April 2010

The Secretary of State makes the following Regulations in exercise of the powers conferred by section 23A(3)(c), (4) and (9) and section 175(1), (4) and (5) of the Social Security Contributions and Benefits Act 1992(1).

A draft of this instrument was laid before and approved by a resolution of each House of Parliament in accordance with section 176(1)(aa) of that Act(2).

The Social Security Advisory Committee has agreed that proposals in respect of these Regulations should not be referred to it(3).

PART 1 General provisions

Citation and commencement

1.  These Regulations may be cited as the Social Security (Contributions Credits for Parents and Carers) Regulations 2010 and shall come into force on 6th April 2010.

Interpretation

2.—(1) In these Regulations—

“partner” means the person with whom another person—

(a)

resides; and

(b)

shares responsibility for a child under the age of 12;

“relevant benefit” means—

(a)

attendance allowance in accordance with section 64 (entitlement);

(b)

the care component of disability living allowance in accordance with section 72 (the care component), at the middle or highest rate prescribed in accordance with subsection (3) of that section;

(c)

an increase in the rate of disablement pension in accordance with section 104 (increase where constant attendance needed);

(d)

any benefit by virtue of—

(i)

the Pneumoconiosis, Byssinosis and Miscellaneous Diseases Benefit Scheme 1983(4); or

(ii)

regulations made under paragraph 7(2) in Part 2 (regulations providing for benefit) of Schedule 8 (industrial injuries and diseases (old cases)),

which is payable as if the injury or disease were one in respect of which a disablement pension were for the time being payable in respect of an assessment of 100 per cent.;

(e)

a constant attendance allowance payable by virtue of—

(i)

article 8 (constant attendance allowance) of the Naval, Military and Air Forces etc. (Disablement and Death) Service Pensions Order 2006(5); or

(ii)

article 14 (constant attendance allowance) of the Personal Injuries (Civilians) Scheme 1983(6).

(2) In these Regulations, a reference to a section or Schedule by number alone is a reference to the section or Schedule so numbered in the Social Security Contributions and Benefits Act 1992.

Transitional provision

3.  For the period of 12 weeks from the date on which these Regulations come into force, regulation 7(1)(a) has effect as if the reference in regulation 7(1) to 12 weeks were a reference to the number of complete weeks since these Regulations came into force.

PART 2 Meaning of “foster parent” and “engaged in caring”

Meaning of “foster parent”

4.—(1) For the purposes of subsection (3)(b) of section 23A (contributions credits for relevant parents and carers), a foster parent is a person approved as—

(a) a foster parent in accordance with Part 4 (approval of foster parents) of the Fostering Services Regulations 2002(7); or

(b) a foster carer in accordance with Part 7 (fostering) of the Looked After Children (Scotland) Regulations 2009(8).

(2) Paragraph (1) is subject to regulation 8.

Meaning of “engaged in caring”

5.—(1) For the purposes of subsection (3)(c) of section 23A, a person is engaged in caring in a week—

(a) if that person is the partner of a person who is awarded child benefit for any part of that week in respect of a child under the age of 12;

(b) if that person is caring for another person or persons for a total of 20 or more hours in that week and—

(i) that other person is, or each of the persons cared for are, entitled to a relevant benefit for that week; or

(ii) the Secretary of State considers that level of care to be appropriate;

(c) if that person is one to whom any of paragraphs 4 to 6 (persons caring for another person) of Schedule 1B (prescribed categories of person) to the Income Support (General) Regulations 1987(9) applies.

(2) Paragraph (1) is subject to regulations 6 to 8.

Limit on the period in respect of partners of persons awarded child benefit

6.—(1) Regulation 5(1)(a) does not apply to any week which falls within a tax year in respect of which the person awarded child benefit satisfies the following condition.

(2) The condition is that that person’s earnings factor for the purposes of section 45 (additional pension in a Category A retirement pension) does not exceed the qualifying earnings factor for that year.

(3) In calculating a person’s earnings factor for the purposes of paragraph (2), no account is to be taken of any earnings factor derived from contributions credited by virtue of that person being a relevant carer due to an award of child benefit.

Additional period in respect of entitlement to carer’s allowance and relevant benefits

7.—(1) A person is engaged in caring for a period of 12 weeks—

(a) prior to the date on which that person becomes entitled to carer’s allowance by virtue of subsection (1) of section 70 (carer’s allowance);

(b) subject to paragraph (2), following the end of the week in which that person ceases to be entitled to carer’s allowance by virtue of that subsection;

(c) following the end of a week in which regulation 5(1)(b) ceases to be satisfied.

(2) For the purposes of paragraph (1)(b), a person is not engaged in caring in a week in respect of which that person is entitled, under regulations made under subsection (5) of section 22 (earnings factors), to be credited with contributions by virtue of being entitled to an allowance under section 70.

Disqualification due to residence or imprisonment

8.  A person is not a foster parent or engaged in caring for the purposes of section 23A during any period in respect of which that person is—

(a) not ordinarily resident in Great Britain; or

(b) undergoing imprisonment or detention in legal custody.

PART 3 Applications

Applications: foster parents and partners of persons awarded child benefit

9.  A person shall not be entitled to be credited with Class 3 contributions under—

(a) subsection (3)(b) (foster parent) of section 23A; or

(b) subsection (3)(c) (person engaged in caring) of section 23A by virtue of regulation 5(1)(a),

unless an application to be so credited is received by the Commissioners for Her Majesty’s Revenue and Customs.

Applications: carers for 20 or more hours per week

10.—(1) A person shall not be entitled to be credited with Class 3 contributions under subsection (3)(c) of section 23A by virtue of regulation 5(1)(b) unless an application to be so credited is received by the Secretary of State.

(2) Paragraph (1) does not apply where that person—

(a) is in receipt of income support; or

(b) is a married woman who is not entitled to be credited with contributions under paragraph (1) of regulation 7A (credits for carer’s allowance) of the Social Security (Credits) Regulations 1975(10) by virtue of paragraph (2)(b) (reduced contribution rate election under regulations under section 19(4)) of that regulation.

Provision of information: carers for 20 or more hours per week

11.—(1) With respect to an application to which regulation 10(1) applies, the application must include—

(a) a declaration by the applicant that the applicant cares for a person or persons for 20 or more hours per week;

(b) the name and, where known, the national insurance number of each person cared for;

(c) where applicable, which relevant benefit each person cared for is entitled to; and

(d) where requested by the Secretary of State, a declaration signed by an appropriate person as to the level of care which is required for each person cared for.

(2) For the purposes of paragraph (1)(d), an appropriate person is a person who is—

(a) involved in the health care or social care of the person cared for; and

(b) considered by the Secretary of State as appropriate to make a declaration as to the level of care required.

Time limit for applications

12.  An application under regulation 9 or 10 must be received—

(a) before the end of the tax year following the tax year in which a week, which is the subject of the application, falls; or

(b) within such further time as the Secretary of State or the Commissioners for Her Majesty’s Revenue and Customs, as the case may be, consider reasonable in the circumstances.

Signed by authority of the Secretary of State for Work and Pensions.

Angela Eagle

Minister of State

Department for Work and Pensions

5th January 2010

EXPLANATORY NOTE

(This note is not part of the Regulations)

Section 23A (contributions credits for relevant parents and carers) of the Social Security Contributions and Benefits Act 1992 (c. 4) was inserted by section 3 of the Pensions Act 2007 (c. 22). It provides that a contributor to whom the section applies shall be credited with a Class 3 national insurance contribution for each week falling after 6th April 2010 in respect of which the contributor was a relevant carer.

Subsection (3) of section 23A provides that two of the criteria for being a “relevant carer” are that a person is a foster carer or is engaged in caring.

In these Regulations:

• regulation 4 provides the meaning of “foster parent”;

• regulation 5 provides the meaning of “engaged in caring”;

• regulation 6 provides that the partner of a person who is awarded child benefit is only engaged in caring where the person awarded child benefit has sufficient contributions to satisfy the contribution conditions for a Category A or B retirement pension in respect of a tax year;

• regulation 7 provides that a person will also be engaged in caring for a period of 12 weeks prior to and following the end of an award of carer’s allowance, following the end of an award of relevant benefit and following the end of a period during which the Secretary of State considers care for 20 or more hours per week to be appropriate;

• regulation 8 provides that persons not ordinarily resident in Great Britain and persons undergoing a sentence of imprisonment shall not come within the definitions provided by these Regulations;

• regulation 9 provides that foster parents and partners of persons awarded child benefit must apply to Her Majesty’s Revenue and Customs to be credited;

• regulation 10 provides that persons engaged in caring by reference to a relevant benefit must apply to the Secretary of State to be credited;

• regulation 11 provides for information requirements in the case of an application where a person cares for another for 20 or more hours per week; and

• regulation 12 imposes a time limit within which any application must be made.

The Secretary of State’s function in deciding whether a person is a relevant carer by virtue of section 23A(3)(a) (award of child benefit), (3)(b) (foster parent), and (3)(c) (persons engaged in caring) in respect of an award of child benefit, was transferred to the Commissioners for Her Majesty’s Revenue and Customs by the National Insurance Contribution Credits (Transfer of Functions) Order 2009 (S.I. 2009/1377).

A full impact assessment has not been produced for this instrument as it has no impact on the private sector and only a negligible impact on the voluntary sector.

(1)

1992 c. 4. Section 23A was inserted by section 3(1) of the Pensions Act 2007 (c. 22).

(2)

Section 176(1)(aa) was inserted by paragraph 10 of Schedule 1 to the Pensions Act 2007 (c. 22).

(3)

Section 173(1)(b) of the Social Security Administration Act 1992 (c. 5) provides that proposals in respect of regulations which would otherwise be referable to the Social Security Advisory Committee may not be so referred with the agreement of that Committee. These Regulations would otherwise be so referable by virtue of section 172 of that Act.

(4)

S.I. 1983/136.

(5)

S.I. 2006/606. Relevant amending instrument is S.I. 2006/1455.

(6)

S.I. 1983/686. Article 14 was substituted by S.I. 2001/420.

(7)

S.I. 2002/57. Relevant amending instruments are S.I. 2002/865 and S.I. 2008/640.

(8)

S.S.I. 2009/210.

(9)

S.I. 1987/1967. Schedule 1B was inserted by S.I. 1996/206. Relevant amending instruments are S.I. 1996/1517, S.I. 2000/681, S.I. 2001/859, S.I. 2002/490 and S.I. 2002/2497.

(10)

S.I. 1975/556. Regulation 7A was inserted by S.I. 1976/409 and amended by S.I. 1987/414, S.I. 1988/1545, S.I. 1996/2367, S.I. 2000/1483, S.I. 2002/490, S.I. 2002/2497, S.I. 2005/2877.