House of Commons Amendments

House of Commons

Session 2007 - 08
Internet Publications
Other Bills before Parliament

31

(n)
the power to issue a compliance notice in respect of

prohibited recruitment conduct under section 50 of that

Act;

(o)
the power to issue a penalty notice in respect of

prohibited recruitment conduct under section 51 of that

Act.”

(5)
Omit paragraph 28 of Schedule 1 to that Act (payment of expenses).”

(6)
Subsections (2) to (4)—

(a)
do not affect any regulations made under paragraph 21(e) of

Schedule 1 to the Pensions Act 2004 before the coming into force of

this section, and

(b)
do not affect the powers conferred by that paragraph, so far as

exercisable for the purpose of making, by way of consolidation,

provision having the same effect as any provision of those

regulations.”
After Clause 111
202
Insert the following new Clause—

“Additional Class 3 contributions

(1)
The Social Security Contributions and Benefits Act 1992 (c. 4) is amended

as follows.

(2)
After section 13 insert—

“13A
Right to pay additional Class 3 contributions in certain cases

(1)
An eligible person is entitled, if he so wishes, but subject to any

conditions prescribed by regulations made by the Treasury and to

the following provisions of this section, to pay Class 3 contributions

in respect of a missing year.

(2)
A missing year is a tax year not earlier than 1975-76 in respect of

which the person would under regulations under section 13 be

entitled to pay Class 3 contributions but for a limit on the time

within which contributions may be paid in respect of that year.

(3)
A person is not entitled to pay contributions in respect of more than

6 tax years under this section.

(4)
A person is not entitled to pay any contribution under this section

after the end of 6 years beginning with the day on which he attains

pensionable age.

(5)
A person is an eligible person if the following conditions are

satisfied.

(6)
The first condition is that the person attained or will attain

pensionable age in the period—

(a)
beginning with 6th April 2008, and

(b)
ending with 5th April 2015.

(7)
The second condition is that there are at least 20 tax years each of

which is a year to which subsection (8) or (10) applies.

32

(8)
This subsection applies if—

(a)
the year is one in respect of which the person has paid or

been credited with contributions that are of a relevant class

for the purposes of paragraph 5 or 5A of Schedule 3 or been

credited (in the case of 1987-88 or any subsequent year) with

earnings, and

(b)
in the case of that year, the earnings factor derived as

mentioned in subsection (9) is not less than the qualifying

earnings factor for that year.

(9)
For the purposes of subsection (8)(b) the earnings factor—

(a)
in the case of 1987-88 or any subsequent year, is that which

is derived from—

(i)
so much of the person's earnings as did not exceed

the upper earnings limit and upon which such of the

contributions mentioned in subsection (8)(a) as are

primary Class 1 contributions were paid or treated

as paid or earnings credited, and

(ii)
any Class 2 or Class 3 contributions for the year, or

(b)
in the case of any earlier year, is that which is derived from

the contributions mentioned in subsection (8)(a).

(10)
This subsection applies (in the case of a person who attained or will

attain pensionable age before 6th April 2010) if the year is one in

which the person was precluded from regular employment by

responsibilities at home within the meaning of regulations under

paragraph 5(7) of Schedule 3.

(11)
The third condition applies only if the person attained or will attain

pensionable age before 6th April 2010.

(12)
That condition is that—

(a)
the person has, in respect of any one tax year before that in

which he attains pensionable age, actually paid

contributions that are of a relevant class for the purposes of

paragraph 5 of Schedule 3, and

(b)
in the case of that year, the earnings factor derived as

mentioned in subsection (13) is not less than the qualifying

earnings factor for that year.

(13)
For the purposes of subsection (12)(b) the earnings factor—

(a)
in the case of 1987-88 or any subsequent year, is that which

is derived from—

(i)
so much of the person's earnings as did not exceed

the upper earnings limit and upon which such of the

contributions mentioned in subsection (12)(a) as are

primary Class 1 contributions were paid or treated

as paid, and

(ii)
any Class 2 or Class 3 contributions for the year, or

(b)
in the case of any earlier year, is that which is derived from

the contributions mentioned in subsection (12)(a).”

(3)
In section 1(2)(d) (outline of contribution system) after “section 13” insert

“or 13A”.”
203
Insert the following new Clause—

33

“Additional Class 3 contributions (Northern Ireland)

(1)
The Social Security Contributions and Benefits (Northern Ireland) Act 1992

(c. 7) is amended as follows.

(2)
After section 13 insert—

“13A
Right to pay additional Class 3 contributions in certain cases

(1)
An eligible person is entitled, if he so wishes, but subject to any

conditions prescribed by regulations made by the Treasury and to

the following provisions of this section, to pay Class 3 contributions

in respect of a missing year.

(2)
A missing year is a tax year not earlier than 1975-76 in respect of

which the person would under regulations under section 13 be

entitled to pay Class 3 contributions but for a limit on the time

within which contributions may be paid in respect of that year.

(3)
A person is not entitled to pay contributions in respect of more than

6 tax years under this section.

(4)
A person is not entitled to pay any contribution under this section

after the end of 6 years beginning with the day on which he attains

pensionable age.

(5)
A person is an eligible person if the following conditions are

satisfied.

(6)
The first condition is that the person attained or will attain

pensionable age in the period—

(a)
beginning with 6th April 2008, and

(b)
ending with 5th April 2015.

(7)
The second condition is that there are at least 20 tax years each of

which is a year to which subsection (8) or (10) applies.

(8)
This subsection applies if—

(a)
the year is one in respect of which the person has paid or

been credited with contributions that are of a relevant class

for the purposes of paragraph 5 or 5A of Schedule 3 or been

credited (in the case of 1987-88 or any subsequent year) with

earnings, and

(b)
in the case of that year, the earnings factor derived as

mentioned in subsection (9) is not less than the qualifying

earnings factor for that year.

(9)
For the purposes of subsection (8)(b) the earnings factor—

(a)
in the case of 1987-88 or any subsequent year, is that which

is derived from—

(i)
so much of the person's earnings as did not exceed

the upper earnings limit and upon which such of the

contributions mentioned in subsection (8)(a) as are

primary Class 1 contributions were paid or treated

as paid or earnings credited, and

(ii)
any Class 2 or Class 3 contributions for the year, or

(b)
in the case of any earlier year, is that which is derived from

the contributions mentioned in subsection (8)(a).

34

(10)
This subsection applies (in the case of a person who attained or will

attain pensionable age before 6th April 2010) if the year is one in

which the person was precluded from regular employment by

responsibilities at home within the meaning of regulations under

paragraph 5(7) of Schedule 3.

(11)
The third condition applies only if the person attained or will attain

pensionable age before 6th April 2010.

(12)
That condition is that—

(a)
the person has, in respect of any one tax year before that in

which he attains pensionable age, actually paid

contributions that are of a relevant class for the purposes of

paragraph 5 of Schedule 3, and

(b)
in the case of that year, the earnings factor derived as

mentioned in subsection (13) is not less than the qualifying

earnings factor for that year.

(13)
For the purposes of subsection (12)(b) the earnings factor—

(a)
in the case of 1987-88 or any subsequent year, is that which

is derived from—

(i)
so much of the person's earnings as did not exceed

the upper earnings limit and upon which such of the

contributions mentioned in subsection (12)(a) as are

primary Class 1 contributions were paid or treated

as paid, and

(ii)
any Class 2 or Class 3 contributions for the year, or

(b)
in the case of any earlier year, is that which is derived from

the contributions mentioned in subsection (12)(a).”

(3)
In section 1(2)(d) (outline of contribution system) after “section 13” insert

“or 13A”.”
After Clause 114
204
Insert the following new Clause—

“Disclosure of information relating to state pension credit recipients

(1)
The Secretary of State may by regulations make provision authorising the

Secretary of State, or a person providing services to the Secretary of State,

to supply relevant persons with social security information about persons

in receipt of state pension credit.

(2)
In this section “relevant person” means—

(a)
a person who holds a licence under section 6(1)(d) of the Electricity

Act 1989 (c. 29) or section 7A(1) of the Gas Act 1986 (c. 44) (supply

of electricity or gas to premises), or

(b)
a person providing services to the Secretary of State or to a person

within paragraph (a).

(3)
Regulations under this section must specify the purposes for which

information may be supplied by virtue of subsection (1), which must be

purposes in connection with enabling the provision of assistance to persons

in receipt of state pension credit.

35

(4)
Regulations under this section may authorise the supply of information by

a relevant person to the Secretary of State or another relevant person—

(a)
for the purpose of determining what information is to be supplied

by virtue of subsection (1), or

(b)
to enable information supplied to a relevant person by virtue of

subsection (1) to be used by that or another relevant person for

purposes within subsection (3).

(5)
Regulations under this section may—

(a)
make provision as to the use or disclosure of information supplied

under the regulations (including provision creating criminal

offences);

(b)
provide for the recovery by the Secretary of State of costs incurred

in connection with the supply or use of information under the

regulations.

(6)
In this section—

“social security information” means information held by or on behalf

of the Secretary of State and obtained as a result of, or for the

purpose of, the exercise of the Secretary of State’s functions in

relation to social security;

“state pension credit” has the meaning given by section 1(1) of the

State Pension Credit Act 2002 (c. 16).”
205
Insert the following new Clause—

“Pre-1948 insurance affecting German pension entitlement

(1)
This section applies where the conditions in subsections (2) and (3) are

satisfied.

(2)
The first condition is satisfied if it appears to the Secretary of State that a

person (the “pensioner”) is, or was immediately before death, a person—

(a)
whose German pension entitlement is (or was) reduced by one or

more periods of pre-1948 insurance, or

(b)
who would have (or would have had) a German pension

entitlement, but for one or more periods of pre-1948 insurance.

(3)
The second condition is satisfied if—

(a)
the insured person entered the United Kingdom as an

unaccompanied child directly or indirectly from Germany, Austria,

Czechoslovakia or Poland in the period beginning with 2nd

December 1938 and ending with 31st May 1940, or

(b)
the Secretary of State otherwise considers it appropriate to give a

direction under subsection (4).

(4)
At the request of the pensioner or (where the pensioner is dead) any other

person claiming to be affected, the Secretary of State may direct that, on the

giving of the direction, subsection (5) takes effect in relation to the period

or periods of pre-1948 insurance.

(5)
On this subsection taking effect in relation to any period—

(a)
the insured person is deemed not to have been, not to have been

deemed to be, and not to have been treated as being, insured for

that period under the Widows’, Orphans’ and Old Age

36

Contributory Pensions Acts 1936 to 1941 or under any provision of

Northern Ireland legislation corresponding to those Acts, and

(b)
any contribution mentioned in section (Pre-1948 insurance:

supplementary)(2)(b) or (c) is deemed not to have been credited to

the insured person.

(6)
The Secretary of State may give directions specifying how any request for

the purposes of subsection (4) must be made.

(7)
Where subsection (5) has taken effect in relation to a period or periods of

pre-1948 insurance, the relevant authority may pay to any person an

amount not exceeding any amount that would, but for subsection (5), have

been payable to that person in respect of—

(a)
a benefit specified in section 20(1) of the Social Security

Contributions and Benefits Act 1992 (c. 4) (contributory benefits), or

(b)
a benefit specified in any provision of Northern Ireland legislation

corresponding to that provision.

(8)
In this section—

“child” means a person aged under 18;

“German pension entitlement” means entitlement to benefits arising

under insurance with the Deutsche Rentenversicherung, or any

other entitlement that appears to the Secretary of State to be

relevant for the purposes of this section;

“insured person” is to be read in accordance with section (Pre-1948

insurance: supplementary);

the “relevant authority” means—

(a)
in relation to a benefit within subsection (7)(b), the

Department for Social Development in Northern Ireland;

(b)
in any other case, the Secretary of State;

“unaccompanied” means unaccompanied by an adult family

member.”
206
Insert the following new Clause—

“Pre-1948 insurance: supplementary

(1)
In section (Pre-1948 insurance affecting German pension entitlement) a “period

of pre-1948 insurance” means any period ending before 6th April 1948 to

which subsection (2) applies by reference to any person (“the insured

person”).

(2)
This subsection applies to a period which is one of the following—

(a)
a period for which the insured person at any time was, was deemed

to be, or was treated as, insured under the Widows’, Orphans’ and

Old Age Contributory Pensions Acts 1936 to 1941, or under any

provision of Northern Ireland legislation corresponding to those

Acts;

(b)
a period for or in respect of which contributions of any class were

credited to the insured person in accordance with the provisions of

the National Insurance Act 1965 (c. 51) or regulations made under

that Act, or in accordance with any provision of Northern Ireland

legislation corresponding to that Act or such regulations;

(c)
a period for which contributions are credited to the insured person

by any provision of the Social Security (Widow’s Benefit,

37

Retirement Pensions and Other Benefits) (Transitional) Regulations

1979 (S.I. 1979/643), or by any provision of Northern Ireland

legislation corresponding to a provision of those regulations.”
Clause 115
207
Page 53, line 41, after “power” insert “conferred on the Secretary of State”
208
Page 54, line 1, leave out “an order or regulations under this Act” and insert “such

an order or regulations”
209
Page 54, line 4, after first “to” insert “a statutory instrument containing”
210
Page 54, line 4, leave out “to which subsection (4) or (5)” and insert “to a statutory

instrument to which subsection (4)”
211
Page 54, line 6, leave out from beginning to “has” and insert “A statutory

instrument to which this subsection applies may not be made unless a draft of the

instrument”
212
Page 54, line 8, leave out subsection (5) and insert—

“( )
Subsection (4) applies to a statutory instrument containing (alone or with

other provision)—

(a)
regulations under section 15(2)(c), 16(1)(c), (Sections 19, 23 and 25:

certification that quality requirement is satisfied), 85, (Persons working on

vessels) or (Disclosure of information relating to state pension credit

recipients);

(b)
the first regulations under section 3(2) or (5B), 5(2) or (5B), 6(4)(b) or

(5B) or 8(3)(b);

(c)
an order under section (Sections 19, 23 and 25: certification that quality

requirement is satisfied)(9), 58 or 61(5);

(d)
an order under section 117 amending or repealing any provision of

an Act;

(e)
an order under paragraph 9(7) of Schedule 4.”
Clause 116
213
Page 54, leave out line 12 and insert—

“( )
This section applies to an order or regulations made by the Secretary of

State under this Act.

( )
An order or regulations may include—”
214
Page 54, line 21, leave out “under this Act”
Clause 117
215
Page 54, line 42, after “Part 1” insert “or section (Contracting-out: abolition of all

protected rights)”
After Clause 117
216
Insert the following new Clause—