The Social Security Revaluation of Earnings Factors Order (Northern Ireland) 1996

Explanatory Note

(This note is not part of the Order.)

This Order, which corresponds to an Order (S.I. 1996/1133) made by the Secretary of State for Social Security under section 148(3) and (4) of the Social Security Administration Act 1992, directs that the earnings factors relevant to the calculation of the additional pension in the rate of any long-term benefit or of any guaranteed minimum pension or to any other calculation required under Part III of the Pension Schemes (Northern Ireland) Act 1993 for the tax years specified in the Schedule to this Order are to be increased by the percentage of their amount specified in that Schedule. The percentage for the tax year 1995-96 is 2·8 per cent. and those for earlier years have been increased so that the earnings factors for those years are revalued at the 1995-96 earnings levels.

The Order also provides for the rounding of fractional amounts for earnings factors relevant to the calculation of the additional pension in the rate of any long-term benefit. Rounding for the purpose of the calculation of any guaranteed minimum pension is not required by virtue of section 23(2) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (c. 7).