The Social Security (Reduced Rates of Class 1 Contributions) (Salary Related Contracted-out Schemes) Order 1996

• Citation: S.I. 1996/1054
• Sections: 3

Section 1 Citation and commencement

This Order may be cited as the Social Security (Reduced Rates of Class 1 Contributions) (Salary Related Contracted-out Schemes) Order 1996, and shall come into force on 6th April 1997.

Section 2 Alteration of reduced rates of Class 1 contributions

In section 41(1A) of the Pension Schemes Act 1993 (reduced rates of Class 1 contributions) the percentage specified—

(a) in paragraph (a) shall be 1.6 per cent; and

(b) in paragraph (b) shall be 3 per cent.

Section 3 Consequential provision

In paragraph 2(3)(a) of Schedule 4 to the Pension Schemes Act 1993 (priority in bankruptcy: employer’s contributions to an occupational pension scheme), so far as the percentage specified in that paragraph applies in relation to earnings paid or payable on or after 6th April 1997, the percentage specifed for non-contributing earners in relation to a salary related contracted-out scheme shall be 4.6 per cent.