PART 1STATE PENSION
Additional pension: simplification of accrual rates
8Additional pension: removal of accrual band from 2010–11
1
Schedule 4A to the Contributions and Benefits Act (additional pension) is amended as follows.
2
In Part 2 (surplus earnings factor) in paragraph 2 (calculation of amount where there is a surplus in pensioner's earnings factor)—
a
in sub-paragraph (4) after “2009” insert “
where the tax year concerned falls before 2010–11
”
;
b
after sub-paragraph (4) insert—
4A
The appropriate table for persons attaining pensionable age on or after 6th April 2009 where the tax year concerned is 2010–11 or a subsequent tax year is as follows—
TABLE 2A
Amount of surplus
Percentage
Band 1.
Not exceeding LET
40
Band 2.
Exceeding LET but not exceeding AUEL
10
c
F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3
In Part 3 (contracted-out employment) in paragraph 5 (calculation of amount A)—
a
in sub-paragraph (4) after “2009” insert “
where the tax year concerned falls before 2010–11
”
;
b
after sub-paragraph (4) insert—
4A
The appropriate table for persons attaining pensionable age on or after 6th April 2009 where the tax year concerned is 2010–11 or a subsequent tax year is as follows—
TABLE 4A
Amount of surplus
Percentage
Band 1.
Not exceeding LET
40
Band 2.
Exceeding LET but not exceeding AUEL
10
4
In paragraph 7 (calculation of amount B second case)—
a
in sub-paragraph (4) after “2009” insert “
where the tax year concerned falls before 2010–11
”
;
b
after sub-paragraph (4) insert—
4A
The appropriate table for persons attaining pensionable age on or after 6th April 2009 where the tax year concerned is 2010–11 or a subsequent tax year is as follows—
TABLE 6A
Amount of surplus
Percentage
Band 1.
Not exceeding LET
40
Band 2.
Exceeding LET but not exceeding AUEL
10
5
F2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6
For the heading for that Schedule substitute “
ADDITIONAL PENSION: ACCRUAL RATES FOR PURPOSES OF SECTION 45(2)(c)
”
.