1987 No. 656
The Social Security (Class 1 Contributions—Contracted-out Percentages) Order 1987
Made
Coming into force
Whereas a draft of the following Order was in accordance with section 28(4) of the Social Security Pensions Act 1975 laid before Parliament and approved by resolution of each House of Parliament:
Now, therefore, the Secretary of State for Social Services, in exercise of the powers conferred upon him by section 28(4) and (7) of the Social Security Pensions Act 19751 and of all other powers enabling him in that behalf, having on a review under the said section 28 considered that there should be an alteration in both of the contracted-out percentages provided by section 27(2) of the said Act, hereby makes the following Order:—
Citation and commencement1
This Order may be cited as the Social Security (Class 1 Contributions—Contracted-out Percentages) Order 1987, and shall come into force on 6th April 1988.
Alteration of contracted-out rates of Class 1 contributions2
In the definition of “the contracted-out percentage” contained in section 27(2) of the Social Security Pensions Act 1975 the following alterations shall be made—
a
for the figures “2.15” in paragraph (a) there shall be substituted “2.0”; and
b
for the figures “4.1” in paragraph (b) there shall be substituted “3.8”.
Consequential provision3
In paragraph 2(2) of Schedule 3 to the Social Security Pensions Act 19752 (priority in bankruptcy: employer’s contributions to an occupational pension scheme), so far as the percentages specified in that paragraph apply in relation to earnings paid or payable as from 6th April 1988, the following alterations shall be made—
a
for the figures “6.25” in paragraph (i) there shall be substituted “5.8”; and
b
for the figures “4.1” in paragraph (ii) there shall be substituted “3.8”.
Revocation of Order4
The Social Security (Class 1 Contributions—Contracted-out Percentages) Order 19823 is hereby revoked.
Signed by authority of the Secretary of State for Social Services.
(This note is not part of the Order)