Social Security Pensions Act 1975

59 Increase of official pensions. U.K.

(1) Where by virtue of [F1 section 151 of the Administration Act a direction is given that the sums mentioned in section 150(1)(c) of that Act] are to be increased by a specified percentage the Minister for the Civil Service shall by order provide that the annual rate of an official pension may, if a qualifying condition is satisfied or the pension is [F2 a derivative or substituted pension or a relevant injury pension], be increased in respect of any period beginning on or after the date on which the direction takes effect—

(a) if the pension began before the beginning of the base period for that direction, by the same percentage as that specified in the direction;

(b) if the pension began during the base period, by that percentage multiplied byA/B where A is the number of complete months in the period between the beginning of the pension and the end of the base period and B is the number of complete months in the base period.

(2) Where an order is made under this section in consequence of any such direction as aforesaid the order shall, in addition to the provision required by subsection (1) above, authorise the payment of an increase in respect of any lump sum that becomes payable during the base period for that direction, being an increase equal to the percentage specified in the direction multiplied by

where—

(a) A is the number of complete months in the period between the beginning date for the lump sum (or, if later, the date from which it was last authorised to be increased by an order under this section) and the date on which it becomes payable; and

(b) B is the number of complete months in that base period.

(3) In the case of the first order made under this section in consequence of any such direction as aforesaid, subsection (1) above shall have effect as if the increase required to be authorised in the case of any pension (whether beginning before or during the base period) were an increase equal to the percentage specified in the direction multiplied by

where—

(a) A is the number of complete months in the period between the beginning of the pension (or, if later, the date from which it was last authorised to be increased by an order under section 2 of the M1 Pensions (Increase) Act 1971) and the end of the base period for that direction; and

(b) B is the number of complete months in that base period.

(4) In the case of the first order so made under this section, subsection (2) above shall have effect as if—

(a) for the reference to any lump sum that becomes payable during the base period there were substituted a reference to any lump sum that becomes or has become payable before the end of the base period but after the date from which official pensions were last increased by an order under section 2 of the M2 Pensions (Increase) Act 1971; and

(b) the reference in paragraph (a) of the subsection to the date from which the lump sum was last authorised to be increased were a reference to the date specified in paragraph (a) above.

(5) The increases in the rate of a pension that may be provided for by an order under this section are to be calculated by reference to the basic rate of the pension as authorised to be increased by section 1 of the said Act of 1971 or by any order under section 2 of that Act or this section; but where—

[F3 (a) a person is entitled to a guaranteed minimum pension when an order under this section comes into force; and

(b) entitlement to that guaranteed minimum pension arises from an employment from which (either directly or by virtue of the payment of a transfer credit . . . F4 ) entitlement to the official pension also arises;

the amount by reference] to which any increase authorised by that or any subsequent order is to be calculated shall be reduced by an amount equal to the rate of the guaranteed minimum pension.

[F5 ( 5ZA ) In the application of subsection (5) above in relation to a [F6 widow’s [F7 , widower's[F6 surviving spouse’s]] or surviving civil partner's] pension in a case where the pensioner becomes entitled on the death of the deceased spouse[F8 or civil partner] to such a guaranteed minimum pension as is there mentioned.

(a) the pensioner shall be treated as having been entitled to that guaranteed minimum pension at all times during the period beginning with the date on which the deceased spouse[F9 or civil partner] became entitled to a guaranteed minimum pension and ending with the date of the death;

(b) the rate of the guaranteed minimum pension to which the pensioner is treated as so entitled at any time during that period [F10 (“ the relevant time ”) ] shall be taken to be [F11 the rate provided for in subsection (5ZB); ] and

(c) the amount by reference to which any increase in the [F12 widow’s [F13 , widower's[F12 surviving spouse’s]] or surviving civil partner's] pension is to be calculated shall, subject to any directions under section 59A below (whether made before or after the coming into force of this subsection), be accordingly reduced under that subsection by an amount equal to the rate, as determined under paragraph (b) above, of the guaranteed minimum pension to which the pensioner is treated as entitled;

F14 ... ]

[F15 (5ZB) The rate referred to in subsection (5ZA)(b) is—

(a) [F16 in the case of a [F17 widow's pension[F17 pension payable to a woman in respect of the services of her deceased male spouse]], one half of the rate of the deceased husband's guaranteed minimum pension at the relevant time;]

[F16 in the case of a pension payable to a woman in respect of the services—

(i) of her deceased male spouse; or

(ii) of her deceased female spouse in a relevant gender change case;

one half of the rate of the deceased spouse’s guaranteed minimum pension at the relevant time;]

(b) in the case of a [F18 widower's[F18 any other surviving spouse’s]] pension, one half of so much of the rate of the deceased [F19 wife's[F19 spouse’s]] guaranteed minimum pension at the relevant time as is attributable to earnings factors for the tax year 1988-89 and subsequent tax years;

(c) in the case of a surviving civil partner's pension, one half of so much of the rate of the deceased civil partner's guaranteed minimum pension at the relevant time as is attributable to earnings factors for the tax year 1988-89 and subsequent tax years.

(5ZC) Subsection (5ZA)—

(a) [F20 does not apply to a widow's or widower's pension in respect of any service of the deceased spouse if the deceased spouse's pension in respect of that service became payable before 24 July 1990;]

[F20 does not apply to—

(i) a pension payable to a woman in respect of the services of her deceased male spouse; [F21 or]

(ii) a pension payable to a man in respect of the services of his deceased female [F22 spouse,[F22 spouse;]]

[F23 (iii) a pension payable to a woman in respect of the services of her deceased female spouse in a relevant gender change case; or

(iv) a pension payable to a man in respect of the services of his deceased male spouse in a relevant gender change case,]

in respect of any service of the deceased spouse if that deceased spouse’s pension in respect of that service became payable before 24 July 1990;]

(b) applies to a [F24 pension due to a surviving spouse who was married to someone of the same sex[F25 (other than a pension within paragraph (a)(iii) or (iv))] and a]surviving civil partner's pension only in respect of amounts payable after the coming into force of this subsection.]

[F26 (5A) Nothing in [F27 section 110(2) or (3) of, or paragraph 10 of Schedule 6 to, the Pension Schemes Act 1993] authorises any deduction from an increase in the rate of an official pension under this section.]

(6) Any order under this section shall be made by statutory instrument and shall be laid before Parliament after being made.

(7) In this section—

• “base period”, in relation to any such direction as is mentioned in subsection (1) above, means the period ending with the coming into force of that direction and beginning with the coming into force of the last previous such direction or, if there was none, with [F28 13th November 1978 (date of the relevant order under section 124 of the principal Act, increasing rates of benefit);]

• “beginning date”, in relation to a lump sum, shall be construed in accordance with sections 8(2) and 9(2)(a) of the said Act of 1971;

• F29 [ “ employment ”, “ guaranteed minimum pension ” and “ transfer credit ” have the same meaning as in section 181(1) of the Pension Schemes Act 1993 ]

• “lump sum” includes an instalment of a lump sum;

• [F30 “relevant gender change case” means a case where—

  (a)

  the deceased spouse was a man or a woman by virtue of a full gender recognition certificate having been issued under the Gender Recognition Act 2004; and

  (b)

  the marriage of the deceased spouse and the surviving spouse (that ends with the deceased spouse’s death) subsisted before the time when the certificate was issued,]

• [F31 [F32 “ widower’s pension ” means a pension payable in respect of the services of the pensioner’s deceased wife ]]

and this section [F33 and section 59A of this Act] and the said Act of 1971 shall have effect as if this section [F33 and section 59A of this Act] were contained in Part I of that Act.

[F34 (8) Where, for the purposes of this section, it is necessary to calculate the number of complete months in any period an incomplete month shall be treated as a complete month if it consists of at least 16 days.]

Textual Amendments

F1 Words substituted by Social Security (Consequential Provisions) Act 1992 (c. 6), Sch. 2, para. 34

F2 Words substituted by the Pensions (Miscellaneous Provisions) Act 1990 (c. 7), s. 1(7)

F3 Words substituted by Social Security Act 1979 (c. 18), s. 11(1)

F4 Words repealed by Social Security Act 1985 (c. 53), Sch. 5, para. 33 and Sch. 6

F5 S. 59(5ZA) inserted (with effect from 24.7.1990) by Pensions (Miscellaneous Provisions) Act 1990 (c. 7), s. 5(1)

F6 Words in s. 59(5ZA) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 1 para. 13(a)

F7 Words in s. 59(5ZA) substituted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(3)(a), 149(1); S.I. 2014/463, art. 2

F8 Words in s. 59(5ZA) inserted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(3)(b), 149(1); S.I. 2014/463, art. 2

F9 Words in s. 59(5ZA)(a) inserted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(4), 149(1); S.I. 2014/463, art. 2

F10 Words in s. 59(5ZA)(b) inserted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(5)(a), 149(1); S.I. 2014/463, art. 2

F11 Words in s. 59(5ZA)(b) substituted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(5)(b), 149(1); S.I. 2014/463, art. 2

F12 Words in s. 59(5ZA)(c) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 1 para. 13(b)

F13 Words in s. 59(5ZA)(c) substituted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(6), 149(1); S.I. 2014/463, art. 2

F14 Words in s. 59(5ZA) repealed (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(7), 149(1), Sch. 11 Pt. 6; S.I. 2014/463, art. 2

F15 S. 59(5ZB)(5ZC) inserted (13.3.2014) by Pensions Act 2008 (c. 30), ss. 137(8), 149(1); S.I. 2014/463, art. 2

F16 S. 59(5ZB)(a) substituted (E.W.) (10.12.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(2)

F17 Words in s. 59(5ZB)(a) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(2)(a)

F18 Words in s. 59(5ZB)(b) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(2)(b)(i)

F19 Word in s. 59(5ZB)(b) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(2)(b)(ii)

F20 S. 59(5ZC)(a) substituted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(3)(a)

F21 Word in s. 59(5ZC)(a)(i) omitted (E.W.) (10.12.2014) by virtue of The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(3)(a)

F22 Word in s. 59(5ZC)(a)(ii) substituted (E.W.) (10.12.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(3)(b)

F23 S. 59(5ZC)(a)(iii)(iv) inserted (E.W.) (10.12.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(3)(c)

F24 Words in s. 59(5ZC)(b) inserted (E.W.) (13.3.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(3)(b)

F25 Words in s. 59(5ZC)(b) inserted (E.W.) (10.12.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(3)(d)

F26 S. 59(5A) inserted (with effect from 6.4.1988) by Social Security Act 1986 (c. 50), s. 9(8)

F27 Words in s. 59(5A) substituted (7.2.1994) by 1993 c. 48, s. 190, Sch. 8 para. 9(1)(a); S.I. 1994/86, art. 2

F28 Words substituted by Social Security Act 1979 (c. 18), s. 11(2)

F29 Definitions of “employment”, “guaranteed minimum pension” and “transfer credit” in s. 59(7) inserted (7.2.1994) by 1993 c. 48, s. 190, Sch. 8 para. 9(1)(b); S.I. 1994/86, art. 2

F30 Words in s. 59(7) inserted (E.W.) (10.12.2014) by The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) and Marriage and Civil Partnership (Scotland) Act 2014 (Consequential Provisions) Order 2014 (S.I. 2014/3168), art. 1(2)(3), Sch. para. 8(4)

F31 Words in s. 59(7) omitted (E.W.) (13.3.2014) by virtue of The Marriage (Same Sex Couples) Act 2013 (Consequential and Contrary Provisions and Scotland) Order 2014 (S.I. 2014/560), art. 1(2), Sch. 3 para. 2(4)

F32 Definition inserted (with effect from 24.7.1990) by Pensions (Miscellaneous Provisions) Act 1990 (c. 7), s. 5(2)

F33 Words inserted by Social Security Act 1979 (c. 18), Sch. 3 para. 20

F34 S. 59(8) inserted by Social Security Act 1979 (c. 18), s. 11(3)

Modifications etc. (not altering text)

C1 S. 59 applied (with modifications) (E.W.S.) (10.4.2011) by The Pensions Increase (Modification) Regulations 2011 (S.I. 2011/826), regs. 3-5

C2 S. 59(5ZA) applied (7.4.1997) by S.I. 1997/634, art. 6

Marginal Citations

M1 1971 c. 56.

M2 1971 c. 56.