The Social Security (State Pension and National Insurance Credits) Regulations 2009

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend various enactments in consequence of the equalisation of state pension provision for men and women introduced by the Pensions Act 1995 (c. 26) and the reforms to state pensions introduced by the Pensions Act 2007 (c. 22).

Part 1 contains general provisions.

Part 2 amends the National Insurance Act 1965 (c. 51) with respect to the equalisation of Graduated Retirement Benefit units for men and women. It also provides that widowers and surviving civil partners reaching state pension age on or after 6th April 2010 may inherit their deceased wife’s or civil partner’s graduated retirement benefit under the same circumstances as currently apply to widows.

Part 3 amends secondary legislation with respect to state pension reform. In particular:

• regulation 12 inserts regulation 6A into the Social Security (Widow’s Benefit and Retirement Pensions) Regulations 1979 (S.I. 1979/642) to provide that the amount of Category A or Category B basic pension payable where a contributor has fewer than the 30 qualifying years required for a full basic pension will be 1/30th of the weekly rate for each qualifying year;

• regulation 14 inserts regulation 8A into those Regulations to make provision with respect to entitlement to a basic state pension by virtue of the contributions of a former spouse or civil partner for persons whose marriage or civil partnership has terminated otherwise than by the death of that person’s spouse or civil partner;

• regulations 16 to 22 amend the Social Security (Widow’s Benefit, Retirement Pensions and Other Benefits) (Transitional) Regulations 1979 (S.I. 1979/643) to ensure that the paid and credited contributions of persons who attain pensionable age after 5th April 2010 who were insured under the National Insurance Act 1965 (c. 51) are taken into account for the purpose of satisfying the new single contribution condition for a Category A or Category B state pension;

• regulations 23 to 26 amend the Additional Pension and Social Security Pensions (Home Responsibilities) (Amendment) Regulations 2001 (S.I. 2001/1323) to make provision for those who have both contracted out and non-contracted out working patterns within a tax year; these amendments apply from the flat rate introduction year, as defined by section 122 of the Social Security Contributions and Benefits Act 1992 (c. 4);

• regulation 27 amends those Regulations to provide that a pensioner who was entitled to employment and support allowance shall be credited with earnings factors for the purposes of the state second pension.

Part 4 amends the Social Security (Credits) Regulations 1975 (S.I. 1975/556) with respect to the equalisation of state pension age and state pension reform as follows:

• regulation 29 amends those Regulations to make provision for the single contribution condition in relation to a Category A or Category B retirement pension specified in paragraph 5A(2) of Schedule 3 to the Social Security Contributions and Benefits Act 1992 (c. 4);

• regulation 30 amends those Regulations to phase out credits which are automatically available to men approaching state pension age; credits will only be available to men for the period between the start of the tax year in which a woman born on the same day would reach state pension age and the end of the tax year in which the man attains the age of 64.

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