Schedule 1: Part 6: Deemed earnings factors for purposes of additional pension Section 11: Additional pension: simplified accrual rates as from flat rate introduction year
193.Subsections (2) and (3) amend section 45 of the SSCBA1992 to provide for the second stage in the calculation of the reformed state second pension, using the flat rate which is set out in the new Schedule 4B to the SSCBA1992 and described above at paragraph 174.
194.Subsection (4) amends section 122 of the SSCBA1992 to define “the flat rate introduction year” – the year from which the reformed state second pension calculation will commence. It will be the tax year which is designated as such by the Secretary of State by order.
195.Subsection (5) introduces Schedule 2. Part 1 inserts new Schedule 4B into the SSCBA1992 and Part 2 makes provision to uprate (in line with earnings) the flat rate accrual amount introduced by the new Schedule 4B by inserting section 148AA into the SSAA1992 (see paragraph 213 below). Part 3 makes consequential and related amendments.