The Social Security (Contributions) (Transitional and Consequential Provisions) Regulations 1989

Amendment of the principal Regulations

3.—(1) The principal Regulations shall be amended in accordance with the provisions of this regulation.

(2) In regulation 1(2) (interpretation), in the definitions of “non-contracted-out rate” and “standard rate” for the words “in section 4(6B)” there shall be substituted in each place where they appear the words “in section 4(6A)”.

(3) In regulation 8(1) (equivalent amounts), for the words “section 4(2)(b) and (6)” there shall be substituted the words “section 4(2)(b) and (6B)”.

(4) In regulation 8A (equivalent earnings brackets for earners paid otherwise than weekly)–

(a) in paragraphs (1) and (2), for the words “section 4(6B) and (6E)” there shall be substituted in each place where they appear the phrase “section 4(6E)”;

(b) for paragraph (5) there shall be substituted the following paragraph–

“(5) The respective equivalent higher brackets in the case of brackets 1 to 3 in the said section 4(6E) shall be £0.01 less than the next succeeding lower bracket.”.

(5) In regulation 32(2) (return of contributions), in sub-paragraph (d)(i) for the words “appropriate primary percentage rate specified for bracket 3 in section 4(6B)” there shall be substituted the words “initial primary percentage rate specified in section 4(6A)”.

(6) In regulation 61(1) (exception from Class 4 liability by reference to Class 1 contributions paid on earnings chargeable to income tax under Schedule D), in sub-paragraph (a) for “section 4(6B)” there shall be substituted “section 4(6A)”.

(7) In regulation 90(2) (earnings periods for mariners and apportionment of earnings), for sub-paragraph (b)(i) there shall be substituted the following sub-paragraph–

“(i) the primary percentages for a primary Class 1 contribution specified in section 4(6A) of the Act or the appropriate percentage rate for a secondary Class 1 contribution specified in section 4(6E) of the Act,”.

(8) In regulation 104 (reduced rate for married women and widows), for the words “per cent.” there shall be substituted the words “per cent.; and in respect of earnings paid on or after 5th October 1989 the amount of primary Class 1 contribution payable at the reduced rate shall continue to be calculated by reference to that rate only.”.

(9) In regulation 115(1) (reduction of rate of Class 1 contributions for members of the forces), for the words from “shall be reduced –” to the end there shall be substituted the following–

• “shall be reduced as follows–

  (a)

  in the case of a primary contribution–

  (i)

  where the percentage would be at the standard rate, the main primary percentage shall be reduced by 0.65,

  (ii)

  where the percentage would be at the reduced rate, both the initial primary percentage and the main primary percentage shall be reduced by 0.65;

  (b)

  in the case of a secondary contribution, by 0.7.”.

(10) In regulation 123D (special provisions for volunteer development workers)–

(a) in sub-paragraph (b) of paragraph (1), for the words from “the amount” to the end there shall be substituted the words “10 per cent. of the current lower earnings limit;”;

(b) paragraph (2) shall be omitted.