Social Security Act 1975
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Change 1
120 Annual review of contributions
(1) As soon as may be after 6th April 1975, the Secretary of State shall review the general level of earnings in Great Britain, taking into account changes in that level which have taken place in and since the tax year 1973-74, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section to have effect in relation to the second year of operation of sections 2 to 10 of this Act. (2) In that year, and thereafter in each subsequent tax year, the Secretary of State shall carry out a further review of the general level of earnings, taking into account changes in that level which have taken place since his last review under this section, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section, to have effect in relation to the next following tax year. (3) For the purposes of any review under this section, the Secretary of State— (a) shall estimate the general level of earnings in such manner as he thinks fit; and (b) shall take into account any other matters appearing to him to be relevant to his determination whether or not an order should be made under this section, including the current operation of this Act. (4) If the Secretary of State determines, as a result of a review under this section, that having regard to changes in the general level of earnings which have taken place, and to any other matters taken into account on the review, an order under this section should be made for the amendment of Part I of this Act, he shall prepare and lay before each House of Parliament a draft of such an order framed so as to give effect to his conclusions on the review. (5) An order under this section may amend Part I by altering any one or more of the following figures— (a) the figures specified in section 4(1) as the lower and upper earnings limits for Class 1 contributions; (b) the figure specified in section 7(1) as the weekly rate of Class 2 contributions; (c) the figure specified in section 7(5) as the amount of earnings below which regulations under that subsection may except an earner from liability for Class 2 contributions; (d) the figure specified in section 8(1) as the amount of a Class 3 contribution; (e) the figures specified in section 9(2) as the lower and upper limits of profits or gains which are to be taken into account for the purposes of Class 4 contributions. (6) An order under this section, if it contains an amendment altering either of the figures specified in section 9(2), shall make the same alteration of the corresponding figure specified in section 10(1). (7) If the Secretary of State determines as a result of a review under this section that, having regard to his conclusions in respect of the general level of earnings and otherwise, no such amendments of Part I are called for as can be made for the purposes of subsection (5) above, and determines accordingly not to lay a draft of an order before Parliament, he shall instead prepare and lay before each House of Parliament a report explaining his reasons for that determination.
120 Annual review of contributions
(1) As soon as may be after 6th April 1975, the Secretary of State shall review the general level of earnings in Great Britain, taking into account changes in that level which have taken place in and since the tax year 1973-74, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section to have effect in relation to the second year of operation of sections 2 to 10 of this Act. (2) In that year, and thereafter in each subsequent tax year, the Secretary of State shall carry out a further review of the general level of earnings, taking into account changes in that level which have taken place since his last review under this section, with a view to determining whether, in respect of contributions under this Act, an order should be made under this section, to have effect in relation to the next following tax year. (3) For the purposes of any review under this section, the Secretary of State— (a) shall estimate the general level of earnings in such manner as he thinks fit; and (b) shall take into account any other matters appearing to him to be relevant to his determination whether or not an order should be made under this section, including the current operation of this Act. (4) If the Secretary of State determines, as a result of a review under this section, that having regard to changes in the general level of earnings which have taken place, and to any other matters taken into account on the review, an order under this section should be made for the amendment of Part I of this Act, he shall prepare and lay before each House of Parliament a draft of such an order framed so as to give effect to his conclusions on the review. (5) An order under this section may amend Part I by altering any one or more of the following figures— (a) the figures specified in section 4(1) as the lower and upper earnings limits for Class 1 contributions; (b) the figure specified in section 7(1) as the weekly rate of Class 2 contributions; (c) the figure specified in section 7(5) as the amount of earnings below which regulations under that subsection may except an earner from liability for Class 2 contributions; (d) the figure specified in section 8(1) as the amount of a Class 3 contribution; (e) the figures specified in section 9(2) as the lower and upper limits of profits or gains which are to be taken into account for the purposes of Class 4 contributions. (6) An order under this section, if it contains an amendment altering either of the figures specified in section 9(2), shall make the same alteration of the corresponding figure specified in section 10(1). (7) If the Secretary of State determines as a result of a review under this section that, having regard to his conclusions in respect of the general level of earnings and otherwise, no such amendments of Part I are called for as can be made for the purposes of subsection (5) above, and determines accordingly not to lay a draft of an order before Parliament, he shall instead prepare and lay before each House of Parliament a report explaining his reasons for that determination.
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