PART 1 N.I.STATE PENSION

Additional pension: simplification of accrual ratesN.I.

Additional pension: removal of accrual band from 2010–11N.I.

8—(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 surplusPercentage
Band 1.Not exceeding LET40
Band 2.Exceeding LET but not exceeding AUEL10”;

(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 surplusPercentage
Band 1.Not exceeding LET40
Band 2.Exceeding LET but not exceeding AUEL10”.

(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 surplusPercentage
Band 1.Not exceeding LET40
Band 2.Exceeding LET but not exceeding AUEL10”.

(5) F2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) For the heading for that Schedule substitute “ ADDITIONAL PENSION: ACCRUAL RATES FOR PURPOSES OF SECTION 45(2)(c) ”.

Textual Amendments