The Social Security (Contribution Conditions for Jobseeker’s Allowance and Employment and Support Allowance) Regulations 2010

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend the contribution conditions for jobseeker’s allowance and employment and support allowance.

Regulation 2 amends the Jobseeker’s Allowance Regulations 1996 to provide that for the purpose of the first contribution condition, a claimant’s relevant earnings shall be the total amount of the claimant’s earnings at the lower earnings limit for the base year (and disregarding earnings which exceed that limit).

Regulation 3(2) makes a similar amendment to the Employment and Support Allowance Regulations 2008 (“the 2008 Regulations”).

Regulation 3(3) amends regulation 8 of the 2008 Regulations which relaxes the first contribution condition in certain circumstances so that, to qualify for the relaxation, a claimant must have: (a) earnings at the lower earnings limit in a tax year which are not less than 26 times that year’s lower earnings limit (although disregarding any earnings which exceed that limit) and on which primary Class 1 contributions have been paid or treated as paid; or (b) earnings factors in that tax year derived from Class 2 contributions multiplied by 26.

The regulations contained in this instrument are either made by virtue of, or are consequential upon, sections 12 and 13 of the Welfare Reform Act 2009. This instrument is made before the expiry of the period of 6 months beginning with the coming into force of those provisions; the regulations in it are therefore exempt in accordance with section 173(5) of the Social Security Administration Act 1992 from the requirement in section 172(1) of that Act to refer proposals to make Regulations to the Social Security Advisory Committee and are made without reference to that Committee.

A full impact assessment has not been produced for this instrument as it has no impact on the private or voluntary sectors.