The Bill raises the upper earnings threshold for national insurance contributions for the state second pension and implements the chancellor’s commitment in Budget 2007 to modernise the personal tax and benefit system.

Specifically, the Bill aligns the upper earnings limit at which higher rate income tax becomes payable, removes restrictions to the current maximum level of the UEL and reforms the second state pension so that it becomes a simple, flat rate weekly top-up to the basic state pension by 2030.

House of Commons

First reading: November 12 2007 [HC Bill 7]

Second reading: no date