Modifications etc. (not altering text)
C1Pts. 1, 6 modified (6.4.2001) by S.I. 2001/1004, regs. 1(1), 113, 114(2) (with reg. 138)
Modifications etc. (not altering text)
C2Pt. 2 modified (E.W.S.) (11.11.1999 for specified purposes, 1.12.2000 in so far as not already in force) by Welfare Reform and Pensions Act 1999 (c. 30), ss. 49, 89(5)(a); S.I. 2000/1047, art. 2(2)(d), Sch. Pt. IV
(1)The weekly rate of the additional pension in a Category A retirement pension in any case where the pensioner attained pensionable age in a tax year before 6th April 1999 shall be [F1the sum of the following—
(a)in relation to any surpluses in the pensioner's earnings factors,] the weekly equivalent of 1 1/4 per cent. of the [F2adjusted] amount of the surpluses mentioned in section 44(3)(b) above[F3; and
(b)if the pensioner has one or more units of additional pension, a specified amount for each of those units].
(2)The weekly rate of the additional pension in a Category A retirement pension in any case where the pensioner attained pensionable age in a tax year after 5th April 1999 shall be [F4the sum of the following]—
(a)in relation to any surpluses in the pensioner’s earnings factors for the tax years in the period beginning with 1978-79 and ending with 1987-88, the weekly equivalent of 25/N per cent. of the [F2adjusted] amount of those surpluses; and
(b)in relation to any surpluses in the pensioner’s earnings factors in a tax year after 1987-88 [F5but before the first appointed year], the weekly equivalent of the relevant percentage of the [F2adjusted] amount of those surpluses[F6; and
(c)in relation to any tax years falling within subsection (3A) below, the weekly equivalent of the amount calculated in accordance with Schedule 4A to this Act][F7; and
(d)in relation to the flat rate introduction year and subsequent tax years, the weekly equivalent of the amount calculated in accordance with Schedule 4B to this Act][F8; and
(e)if the pensioner has one or more units of additional pension, a specified amount for each of those units].
[F9(2A)For the purposes of subsections (1)(b) and (2)(e) the “specified amount” is an amount to be specified by the Secretary of State in regulations.]
(3)In subsection (2)(b) above, “relevant percentage” means—
(a)20/N per cent., where the pensioner attained pensionable age in 2009-10 or any subsequent tax year;
(b)(20+X)/N per cent., where the pensioner attained pensionable age in a tax year falling within the period commencing with 1999-2000 and ending with 2008-9.
[F10(3A)The following tax years fall within this subsection—
(a)the first appointed year;
(b)subsequent tax years [F11before the flat rate introduction year].]
(4)In this section—
(a)X = 0.5 for each tax year by which the tax year in which the pensioner attained pensionable age precedes 2009-10; and
(b)N = the number of tax years in the pensioner’s working life which fall after 5th April 1978;
but paragraph (b) above is subject, in particular, to subsection (5) and, where applicable, section 46 below.
(5)Regulations may direct that in prescribed cases or classes of cases any tax year shall be disregarded for the purpose of calculating N under subsection (4)(b) above, if it is a tax year after 5th April 1978 in which the pensioner—
(a)was credited with contributions or earnings under this Act by virtue of regulations under section 22(5) above, or
(b)was precluded from regular employment by responsibilities at home, or
(c)in prescribed circumstances, would have been treated as falling within paragraph (a) or (b) above,
but not so as to reduce the number of years below 20.
(6)For the purposes of subsections (1) and (2) above, the weekly equivalent of [F12any amount] shall be calculated by dividing that amount by 52 and rounding the result to the nearest whole penny, taking any 1/2p as nearest to the next whole penny.
(7)Where the amount falling to be rounded under subsection (6) above is a sum less than 1/2p, the amount calculated under that subsection shall be taken to be zero, notwithstanding any other provision of this Act or the Administration Act.
(8)The sums which are the weekly rate of the additional pension in a Category A retirement pension are subject to alteration by orders made by the Secretary of State under section 150 of the Administration Act.
Textual Amendments
F1Words in s. 45(1) inserted (1.10.2014 for specified purposes, 12.10.2015 in so far as not already in force) by Pensions Act 2014 (c. 19), s. 56(1), Sch. 15 para. 7(2)(a); S.I. 2014/2377, art. 2(1)(a)(ii)(3)(d)(ii); S.I. 2015/1475, art. 3(b)
F2Words in s. 45(1)(2)(a)(b) inserted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 35(8)(a), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)
F3S. 45(1)(b) and word inserted (1.10.2014 for specified purposes, 12.10.2015 in so far as not already in force) by Pensions Act 2014 (c. 19), s. 56(1), Sch. 15 para. 7(2)(b); S.I. 2014/2377, art. 2(1)(a)(ii)(3)(d)(ii); S.I. 2015/1475, art. 3(b)
F4Words in s. 45(2) inserted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 31(1)(a), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)
F5Words in s. 45(2)(b) inserted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 31(1)(b), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)
F6S. 45(2)(c) and word inserted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 31(1)(c), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)
F7S. 45(2)(d) and word inserted (26.9.2007) by Pensions Act 2007 (c. 22), ss. 11(2), 30(3)
F8S. 45(2)(e) and word inserted (1.10.2014 for specified purposes, 12.10.2015 in so far as not already in force) by Pensions Act 2014 (c. 19), s. 56(1), Sch. 15 para. 7(3); S.I. 2014/2377, art. 2(1)(a)(ii)(3)(d)(ii); S.I. 2015/1475, art. 3(b)
F9S. 45(2A) inserted (1.10.2014 for specified purposes, 12.10.2015 in so far as not already in force) by Pensions Act 2014 (c. 19), s. 56(1), Sch. 15 para. 7(4); S.I. 2014/2377, art. 2(1)(a)(ii)(3)(d)(ii); S.I. 2015/1475, art. 3(b)
F10S. 45(3A) inserted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 31(2), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)
F11Words in s. 45(3A)(b) inserted (26.9.2007) by Pensions Act 2007 (c. 22), ss. 11(3), 30(3)
F12Words in s. 45(6) substituted (8.1.2001 for specified purposes, 25.1.2001 for specified purposes, 6.4.2002 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 35(8)(b), 86(1)(b)(2); S.I. 2000/2950, art. 6; S.I. 2001/153, art. 2(a)