This Statutory Instrument has been made, in part, as a consequence of a defect in S.I. 2020/1505 and is being issued free of charge to all known recipients of that Statutory Instrument.

2021 No. 495

Social Security
Tax Credits

The Social Security and Tax Credits (Miscellaneous and Coronavirus Amendments) Regulations 2021

Made

Laid before Parliament

Coming into force

The Treasury, in exercise of the powers conferred by section 115(3), (4) and (5) of the Immigration and Asylum Act 19991, section 175(3) of the Social Security Contributions and Benefits Act 19922 and sections 7(8) and 65(1) of the Tax Credits Act 20023, make the following Regulations.

Citation, commencement and effect1

1

These Regulations may be cited as the Social Security and Tax Credits (Miscellaneous and Coronavirus Amendments) Regulations 2021 and come into force on 13th May 2021.

2

Regulations 2 and 3 have effect in relation to claims for child benefit made on or after 13th May 2021.

Amendment of the Social Security (Immigration and Asylum) Consequential Amendments Regulations 20002

1

The Social Security (Immigration and Asylum) Consequential Amendments Regulations 20004 are amended as follows.

2

In regulation 2 (persons not excluded from specified benefits under section 115 of the Immigration and Asylum Act 1999), for paragraph (3A) substitute—

3A

For the purposes of entitlement to child benefit under the Contributions and Benefits Act5, a person—

a

who is lawfully working in Great Britain; and

b

who is a national of a State with which the United Kingdom has concluded an agreement which replaces, in whole or in part, an agreement under Article 217 of the Treaty on the Functioning of the European Union6 which makes provision for the receipt of family allowances for members of their family who are legally resident in the United Kingdom,

is a person to whom section 115 of the Act7 does not apply.

Amendment of the Social Security (Immigration and Asylum) Consequential Amendments Regulations (Northern Ireland) 20003

1

In so far as they relate to child benefit, the Social Security (Immigration and Asylum) Consequential Amendments Regulations (Northern Ireland) 20008 are amended as follows.

2

In regulation 2 (persons not excluded from specified benefits under section 115 of the Act), for paragraph (3A) substitute—

3A

For the purposes of entitlement to child benefit under the Contributions and Benefits Act9, a person—

a

who is lawfully working in Northern Ireland; and

b

who is a national of a State with which the United Kingdom has concluded an agreement which replaces, in whole or in part, an agreement under Article 217 of the Treaty on the Functioning of the European Union which makes provision for receipt of family allowances for members of their family who are legally resident in the United Kingdom,

is a person to whom section 115 of the Act10 does not apply.

Amendment of the Tax Credits (Definition and Calculation of Income) Regulations 20024

1

The Tax Credits (Definition and Calculation of Income) Regulations 200211 are amended as follows.

2

In table 6 of regulation 19 (general disregards in the calculation of income), after item 40 insert—

41. A payment made under the Covid-19 support scheme: working households receiving tax credits12.

David RutleyMaggie ThroupTwo of the Lords Commissioners of Her Majesty’s Treasury
EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations make consequential amendments to social security and tax credits legislation.

Regulation 1 provides for citation and commencement.

Regulation 2 amends the Social Security (Immigration and Asylum) Consequential Amendments Regulations 2000 (S.I. 2000/636) (“the principal Regulations”). The regulation corrects an error in paragraph (3A) of regulation 2 of the principal Regulations (which paragraph was inserted by regulation 2(2)(b) of the Social Security, Child Benefit and Child Tax Credit (Amendment) (EU Exit) Regulations 2020 (S.I. 2020/1505)). The inserted paragraph (3A) of regulation 2 did not include a reference to a person who is “lawfully working in Great Britain”. As a consequence regulation 2(3A) of the principal Regulations provides that a person who is a national of a State with which the United Kingdom has concluded an agreement which replaces an European Union Association Agreement, would not be treated as person subject to immigration control for the purposes of child benefit even where that national was not working in Great Britain. Regulation 2 of these Regulations amends regulation 2(3A) of the principal Regulations to insert the requirement to be lawfully working in Great Britain.

Regulation 3 of these Regulations corrects an identical error in regulation 2(3A) of the Social Security (Immigration and Asylum) Consequential Amendments Regulations (Northern Ireland) 2000 (S. R. 2000 No. 71).

Regulation 4 of these Regulations amends the Tax Credits (Definition and Calculation of Income) Regulations 2002 (S.I. 2002/2006) to provide that payments made under the scheme known as the Covid-19 support scheme: working households receiving tax credits are disregarded in calculating income for the purposes of tax credits.

A full impact assessment has not been produced for this instrument as no impact on the private or the voluntary sectors is foreseen.