The Social Security Benefits Up-rating Order 1994

Explanatory Note

(This note is not part of the Order)

This Order, a draft of which has been laid before and approved by resolution of each House of Parliament, is made as a consequence of a review under section 150 of the Social Security Administration Act 1992 (“the Administration Act”) and includes details of the sums mentioned in that section.

Part I relates to the citation, commencement and interpretation.

Part II relates to non-income related benefits.

Article 3 and Schedule 1 alter the benefits and increases of benefit (except age addition) specified in Parts I, III, IV and V of Schedule 4 to the Social Security Contributions and Benefits Act 1992 (“the Contributions and Benefits Act”).

Article 4 increases the rates and amounts of certain pensions and allowances under the Contributions and Benefits Act.

Article 5 increases the sums payable as part of a Category A or Category B pension under sections 15(1) and 17(2) and (3) of the Pension Schemes Act 1993 (“the Pension Schemes Act”) on account of increases in guaranteed minimum pensions.

Article 6 specifies the dates from which the sums specified for rates or amounts of benefit under the Contributions and Benefits Act or the Pension Schemes Act are altered.

Article 7 increases the rates of certain workmen’s compensation and industrial diseases benefits in respect of employment before 5th July 1948.

Article 8 specifies earnings limits for child dependency increases.

Article 9 specifies the weekly rates of statutory sick pay.

Article 10 increases the lower rate of statutory maternity pay.

Article 11 increases the rate of graduated retirement benefit under the National Insurance Act 1965.

Article 12 specifies the increases in the weekly rates of disability living allowance.

Article 13 specifies the increases in the weekly rates of child benefit and one parent benefit.

Part III of the Order relates to family credit, disability working allowance, income support, housing benefit and council tax benefit.

Article 14 and Schedule 2 specify the applicable amount for family credit and the amount of the credits for an adult, child or young person which determines a family’s maximum family credit and other miscellaneous amounts.

Article 15 and Schedule 3 specify the applicable amount for disability working allowance and the amount of allowance for an adult, child or young person which determines the appropriate maximum disability working allowance.

Article 16 states the amount of sums relevant to the applicable amount for the purposes of income support. Article 16(3) and Schedule 4 set out the personal allowances; article 16(4) and (5) and Schedule 5 set out the premiums; article 16(8) and (9) and Schedule 6 set out the amounts relevant to beneficiaries in residential care and nursing homes; article 16(10) and Schedule 7 set out the amounts relevant to special cases; and article 16(12) and Schedule 8 set out other miscellaneous amounts.

Article 17 provides for the percentage increase of sums payable by way of special transitional additions to income support.

Article 18 states the sum by which any income support of a person involved in a trade dispute is reduced.

Article 19 states the amount of the sums relevant to the applicable amount for the purposes of housing benefit. Article 19(8) and Schedule 9 set out the personal allowances and article 19(9) and (10) and Schedule 10 set out the premiums.

Article 20 states the amount of the sums relevant to the applicable amount for the purposes of council tax benefit. Article 20(5) and Schedule 11 set out the personal allowances and article 20(6) and (7) and Schedule 12 set out the premiums.

Articles 21 and 22 contain transitional provisions and revocations.

In accordance with section 150(8) of the Administration Act, a copy of the report of the Government Actuary (Cm.2445) giving his opinion on the likely effect on the National Insurance Fund of the making of this Order was laid before Parliament with the draft Order.

This Order does not impose any costs on business.