The Pensions Act 2014 (Consequential Amendments) Order 2016

EXPLANATORY NOTE

(This note is not part of the Order)

This Order makes amendments to the Social Security Administration Act 1992 (c.5) (“the 1992 Act”) and the Social Security Act 1998 (c.14) (“the 1998 Act”) which are consequential on the introduction of the State Pension for persons reaching pensionable age on or after 6 April 2016 by the Pensions Act 2014 (c.19).

Article 2 amends sections 159 to 159D of the 1992 Act. These provisions provide for an up-rated amount of certain social security and other payments to be taken into account in the calculation of income-related benefits, that is, income support, income-based jobseeker’s allowance, income-related employment and support allowance, state pension credit and universal credit. The amendments provide that where the rate of the relevant income-related benefit is to be altered because the rate of State Pension in payment to the recipient or their partner is to be up-rated, this alteration will be made automatically without the need for a further decision by the Secretary of State.

Article 3 amends paragraph 17 of Schedule 3 to the 1998 Act to provide for a right of appeal against a decision as to whether a person is to be credited with earnings or contributions for the purposes of entitlement to the State Pension under regulations made under section 22(5ZA) of the Social Security Contributions and Benefits Act 1992 (c.4).

A full impact assessment has not been published for this Order as it has no impact on the private sector or civil society organisations. An assessment has been made of the impact of the introduction of the new State Pension. Copies of that impact assessment may be obtained from the Better Regulation Unit of the Department for Work and Pensions, Caxton House, Tothill Street, London SW1H 9NA or from the DWP website: https://www.gov.uk/government/uploads/system/uploads/attachments_data/file/311316/pensions-act-ia-annex-a-single-tier-state-pension.pdf. (Annex A contains the assessment for the State Pension.)