The Constitutional Reform and Governance Act 2010 (Commencement No. 5) Order 2011

EXPLANATORY NOTE

(This note is not part of the Order)

This Order brings into force provisions of the Constitutional Reform and Governance Act 2010 which make amendments to the Parliamentary Standards Act 2009 (“the 2009 Act”) about the Independent Parliamentary Standards Authority (“the IPSA”) and its functions. All the provisions brought into force by this Order come into force on 24th May 2011.

The commenced provisions –

• substitute a new section 4 of the 2009 Act and insert a new section 4A to provide for the IPSA to determine the amount of MPs’ salaries in addition to being responsible for paying the salaries of MPs (section 29(1));

• provide that the first determination made by the IPSA does not have to come into effect before 1st April 2012 and remove the need for the IPSA to carry out a review in the first year of any Parliament beginning before 1st April 2012 (section 29(2));

• provide that until the IPSA’s first determination comes into effect, the amounts of MPs’ salaries are to be determined in accordance with resolutions of the House of Commons (section 29)(3));

• make consequential amendments in relation to MPs’ pay (section 38 and Schedule 5); and

• amend the European Parliament (Pay and Pensions) Act 1979 to provide for the IPSA to make a scheme for the paying of an allowance, to those eligible, when they cease to be an MEP (section 39).

A regulatory impact assessment has not been prepared for this Order as no impact on the private or voluntary sectors is foreseen.