Statutory Instruments
2014 No. 3240
Social Security
The Social Security Class 3A Contributions (Units of Additional Pension) Regulations 2014
Made
8th December 2014
Coming into force in accordance with regulation 1(2) and (3)
These Regulations are made by the Treasury and the Secretary of State.
The powers exercised by the Treasury are those conferred by section 14A(3) (the Treasury having consulted the Government Actuary) and 14A(6) of, and paragraph 8(1)(q) of Schedule 1 to, the Social Security Contributions and Benefits Act 1992( 1 ) and section 14A(3) (the Treasury having consulted the Government Actuary) and 14A(6) of, and paragraph 8(1)(q) of Schedule 1 to, the Social Security Contributions and Benefits (Northern Ireland) Act 1992( 2 ) and now exercisable by them.
The powers exercised by the Secretary of State are those conferred by section 45(2A) of the Social Security Contributions and Benefits Act 1992( 3 ). Regulation 4 of this instrument is made before the end of the period of six months beginning with the coming into force of the relevant amendments made to the Social Security Contributions and Benefits Act 1992.
Citation and commencement
1. —(1) These Regulations may be cited as the Social Security Class 3A Contributions (Units of Additional Pension) Regulations 2014.
(2) These Regulations come into force in Great Britain on 12th October 2015.
(3) Regulations 1, 2 and 3 come into force in Northern Ireland on the same day as the coming into force for all purposes of paragraph 17 of Schedule 15 to the Pensions Act 2014( 4 ).
Determination of amount of a Class 3A contribution needed to obtain a unit of additional pension
2. —(1) The amount of a Class 3A contribution needed by an eligible person to obtain a unit of additional pension is determined by the Table, subject to paragraph (2).
| Age of person on the date of payment | Amount of Class 3A contribution needed to obtain a unit of additional pension |
|---|---|
| 62 (women only) | £956 |
| 63 (women only) | £934 |
| 64 (women only) | £913 |
| 65 | £890 |
| 66 | £871 |
| 67 | £847 |
| 68 | £827 |
| 69 | £801 |
| 70 | £779 |
| 71 | £761 |
| 72 | £738 |
| 73 | £719 |
| 74 | £694 |
| 75 | £674 |
| 76 | £646 |
| 77 | £625 |
| 78 | £596 |
| 79 | £574 |
| 80 | £544 |
| 81 | £514 |
| 82 | £484 |
| 83 | £454 |
| 84 | £424 |
| 85 | £394 |
| 86 | £366 |
| 87 | £339 |
| 88 | £314 |
| 89 | £291 |
| 90 | £270 |
| 91 | £251 |
| 92 | £232 |
| 93 | £216 |
| 94 | £200 |
| 95 | £185 |
| 96 | £172 |
| 97 | £159 |
| 98 | £148 |
| 99 | £137 |
| 100 and over | £127 |
(2) If an eligible person( 5 ) pays a Class 3A contribution before reaching pensionable age( 6 ) the amount of contribution needed to obtain a unit of additional pension is the amount that that person would have needed to pay if on the date of payment the person had reached pensionable age.
(3) The date of payment for a Class 3A contribution is the date the contribution is received by Her Majesty’s Revenue and Customs.
Maximum number of units of additional pension
3. The maximum number of units of additional pension that a person may obtain is 25.
Specified amount for each unit of additional pension
4. The specified amount for the purposes of section 45(1)(b) and (2)(e) of the Social Security Contributions and Benefits Act 1992 (the additional pension in a category A retirement pension) is £1.
Mark Lancaster
Gavin Barwell
Two of the Lords Commissioners of Her Majesty’s Treasury
8th December 2014
Steve Webb
Minister of State
Department for Work and Pensions
4th December 2014
1992 c. 4 . Section 14A was inserted by paragraph 3 of Schedule 15 to the Pensions Act 2014 (c. 19) . The power to make regulations under paragraph 8(1) was transferred to the appropriate authority by paragraph 39(2) of Schedule 3 to the Social Security Contributions (Transfer of Functions, etc. ) Act 1999 (c. 2) . The appropriate authority is defined in paragraph 8(1A) (which was inserted by paragraph 39(3) of Schedule 3 to that Act) and is the Treasury for the purposes of these Regulations.
1992 c. 7 . Section 14A was inserted by paragraph 17 of Schedule 15 to the Pensions Act 2014. The power to make regulations under paragraph 8(1) was transferred to the appropriate authority by paragraph 38(2) of Schedule 3 to the Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 ( S.I. 1999/671 ). The appropriate authority is defined in paragraph 8(1A) (which was also inserted by paragraph 38 of Schedule 3 to that Order) and is the Treasury for the purposes of these Regulations.
Section 45(2A) was inserted by paragraph 7(4) of Schedule 15 to the Pensions Act 2014.
Eligible person is defined as a person who satisfies section 14A(2)(a) or (b) of the Social Security Contributions and Benefits Act 1992 or the Social Security Contributions and Benefits (Northern Ireland) Act 1992. Paragraphs 4 and 18 of Schedule 15 to the Pensions Act 2014 provide that section 14A has effect as if the reference to entitlement in that section includes prospective entitlement.
Pensionable age is defined in section 122(1) of the Social Security Contributions and Benefits Act 1992, substituted by paragraph 13(a) of Schedule 4 to the Pensions Act 1995 (c. 26) and section 133(1) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992, substituted by paragraph 4 of Schedule 2 to the State Pension Credit Act (Northern Ireland) 2002 (c. 14) .