National Insurance Contributions Act 2008

Pension Schemes Act 1993 (c. 48) U.K.

7 U.K. The Pension Schemes Act 1993 is amended as follows.

8 (1) Section 8 (meaning of “contracted-out employment” etc) is amended as follows. U.K.

(2) In subsection (2), in the definition of “minimum payment”, for “the current upper earnings limit” substitute “ the applicable limit ”.

(3) After that subsection insert—

“(2A) In subsection (2) “the applicable limit” means—

(a) in relation to a tax year before 2009-10, the upper earnings limit;

(b) in relation to 2009-10 or any subsequent tax year, the upper accrual point.”

9 U.K. In section 12B(7) (contracted-out pension scheme: reference scheme), in the definition of “the applicable limit”—

(a) for “the flat rate introduction year” (in both places) substitute “ 2009-10 ”, and

(b) in paragraph (b), after “point” insert “ multiplied by 53 ”.

10 (1) Section 41 (reduced rates of Class 1 contributions for members of salary related contracted-out schemes) is amended as follows. U.K.

(2) In subsection (1) for “the applicable limit for that week” substitute “ the upper accrual point ”.

(3) Omit subsection (1ZA).

(4) The amendments made by this paragraph have effect in relation to 2009-10 and subsequent tax years.

11 (1) In section 42A(1) (reduced rates of Class 1 contributions, and rebates, for members of money purchase contracted-out schemes), for “the current upper earnings limit for that week” substitute “ the upper accrual point ”. U.K.

(2) The amendment made by sub-paragraph (1) has effect in relation to 2009-10 and subsequent tax years.

12 (1) In section 45(1) (personal pensions: amount of minimum contributions), for “the current upper earnings limit for that week” substitute “ the upper accrual point ”. U.K.

(2) The amendment made by sub-paragraph (1) has effect in relation to 2009-10 and subsequent tax years.

13 (1) Paragraph 2 of Schedule 4 (priority in bankruptcy etc: employee's contributions to occupational pension scheme) is amended as follows. U.K.

(2) In sub-paragraph (5), in paragraph (b) of the definition of “reckonable earnings”, for “the applicable limit” substitute “ the upper accrual point ”.

(3) Omit sub-paragraph (6).

(4) The amendments made by this paragraph have effect in relation to payments made in a tax week falling in 2009-10 or any subsequent tax year.