The Housing Renovation etc. Grants (Reduction of Grant) (Amendment) Regulations 1996

Amendment of regulation 28

8.  In regulation 28(1) (notional income),—

(a) in paragraph (2), for the words “Except in the case” to“personal injury,”, substitute—

“Except in the case of—

(a) a discretionary trust;

(b) a trust derived from a payment made in consequence of a personal injury; or

(b) a personal pension scheme or retirement annuity contract where the relevant person is aged under 60,”;

(b) after paragraph (2), insert—

“(2A) Where a person, aged not less than 60, is a member of, or a person deriving entitlement to a pension under, a personal pension scheme, or is a party to, or a person deriving entitlement to a pension under, a retirement annuity contract, and—

(a) in the case of a personal pension scheme, he fails to purchase an annuity with the funds available in that scheme where —

(i) he defers, in whole or in part, the payment of any income which would have been payable to him by his pension fund holder;

(ii) he fails to take any necessary action to secure that the whole of any income which would be payable to him by his pension fund holder upon his applying for it, is so paid; or

(iii) income withdrawal is not available to him under that scheme; or

(b) in the case of a retirement annuity contract, he fails to purchase an annuity with the funds available under that contract,

the amount of any income foregone shall be treated as possessed by him, but only from the date on which it could be expected to be acquired were an application for it to be made.

(2B) The amount of any income foregone in a case to which either paragraph (2A)(a)(i) or (ii) applies shall be the maximum amount of income which may be withdrawn from the fund.

(2C) The amount of any income foregone in a case to which either paragraph (2A)(a)(iii) or sub-paragraph (2A)(b) applies shall be the income that the relevant person could have received without purchasing an annuity had the funds held under the relevant personal pension scheme or retirement annuity contract been held under a personal pension scheme where income withdrawal was available.”; and

(c) in paragraph (4),—

(i) for “voluntary body”, substitute “voluntary organisation”; and

(ii) after “reasonable for him”, insert “in any of those cases”.

(1)

Regulation 28(4) and (7) (a) were amended by S.I. 1995/838.