Explanatory Note
(This note is not part of the Regulations.)
Regulation 1 provides for citation, commencement and interpretation.
Regulation 2 modifies the application of section 44(5A) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (“the 1992 Act”) which determines the amount of a Category A retirement pension by reference to a qualifying earnings factor calculated by multiplying the weekly lower earnings limit for a year by 52. The modification applies in relation to an earner who has earnings in a tax year beginning on, or after, 6th April 2000, part of which are in respect of contracted-out employment and part of which are not. It also applies to an earner in respect of whom minimum contributions are paid for part of such a tax year. The calculation of the qualifying earnings factor is modified in such cases by multiplying the weekly lower earnings limit for the relevant year by 52 less the number of weeks of contracted-out employment.
Regulation 3 provides that a relevant pension calculated in accordance with section 44(5) of the 1992 Act as modified under section 44A of the Pension Schemes (Northern Ireland) Act 1993, is to be revised using the formula set out in regulation 2 and paid in accordance with the revised calculation.