Prospective
Explanatory Note
(This note is not part of the Regulations.)
These Regulations are made either by virtue of, or in consequence of, provisions in the State Pension Credit Act (Northern Ireland) 2002 (c. 14) (“the Act).
Part I of these Regulations contains provisions relating to citation, commencement and interpretation.
In Part II of the Regulations, regulations 2 to 5 contain provisions relating to claimants who are absent from Northern Ireland. Regulations 6 and 7 relate to the amounts of the guarantee credit and savings credit. Provision is included for additional amounts to be included when the claimant or his partner is severely disabled or has housing costs (Schedules 1 and 2).
Regulation 9 specifies the income which is to be taken into account in determining the amount of any savings credit.
Under section 6 of the Act, assessed income periods are with certain exceptions set when a decision is made awarding state pension credit. Regulations 10 and 12 contain provisions relating to changes in income during the assessed income period and to the ending of that period.
Part III of these Regulations contains provision for the calculation of income and capital. “Income” is defined for the purposes of the Act in section 15(1) of that Act but section 15 also contains powers enabling further provisions to be made in Regulations. Regulation 15 contains provisions about income, including (at regulation 15(6)) provision for a deemed weekly income on capital over £6,000 (£10,000 if the claimant is in certain residential accommodation) at a rate of £1 for every £500. Other provisions relate to notional income (regulation 18) and income paid to third parties (regulation 24). Regulations 20 to 24 contain provisions relating to the calculation of capital, including capital held outside the United Kingdom, capital jointly held and notional capital. Regulation 22 provides for a diminishing notional capital rule. Schedules 4 to 6 provide for certain capital and income to be disregarded in the calculation of the claimant’s capital and income.
Part IV contains separate provision relating to the reduction in state pension credit in a case where the claimant has been convicted of benefit offences on at least 2 separate occasions.
These Regulations are made by virtue of or in consequence of provisions in the Act. The Regulations are made before the end of the period of six months beginning with the coming into operation of the relevant provisions and are, accordingly, exempt, by virtue of section 150(5)(b) of the Social Security Administration (Northern Ireland) Act 1992 (c. 8), from reference to the Social Security Advisory Committee.
These Regulations do not impose any charge on business.