“Chapter 2A

Loss of Purchasing Power

Definitions.

123A. In this Chapter--

‘arrears’ means arrears of benefit due to a person in respect of the relevant period, having been reduced, where appropriate, in accordance with sections 184 or 209 (9);

‘benefit’ means--

(a) any benefit payable specified in section 30(1),

(b) any assistance specified in section 118(1) (other than supplementary welfare allowance under Chapter 11 of Part III),

(c) family benefit under Part IV,

(d) family income supplement under Part V, and

(e) continued payment for qualified children under Part V A;

‘the Central Statistics Office’ means the Central Statistics Office established by the Statistics Act, 1993 (No. 21 of 1993) ;

‘the consumer price index’ means the All Items Consumer Price Index Number supplied by the Central Statistics Office;

‘the relevant period’ means the period referred to in article 123B (2);

‘the present index’--

(a) for the purposes of article 123C, means the last available consumer price index on the date on which the arrears are paid; and

(b) for the purposes of article 123D, means the last available consumer price index on the date on which the payment in respect of the loss of purchasing power is paid;

‘the inflation factor’ means a figure calculated in accordance with the following formula:

 -1;

previous index)

‘the previous index’--

(a) for the purposes of article 123C (a), means the consumer price index appropriate to the end of the 12 month period or to the end of the period for which arrears are due if less than 12 months,

(b) for the purposes of article 123C (b) and (c) means the consumer price index appropriate to each period for which a payment in respect of loss of purchasing power is being calculated, and

(c) for the purposes of article 123D means the consumer price index on the date arrears are paid.

Payment in respect of loss of purchasing power.

123B. (1) Payment in respect of the loss of purchasing power shall be made to a person who makes a claim for any benefit (including any increase thereof) where:--

(a) the payment of his or her claim is delayed for a period exceeding 12 months, and

(b) a deciding officer or an appeals officer, decides that the delay was due solely or mainly to circumstances within the control of the Department, and

(c) the person has not contributed to the delay.

(2) A payment under sub-article (1) shall be made in respect of such period as a deciding officer or an appeals officer decides that the delay continued, having regard to the facts of the case.

Calculation of amount.

123C. Payment to a person by virtue of article 123B shall be the sum of--

(a) an amount if any, calculated by multiplying the arrears due for the period of 12 months from the date of commencement of the relevant period by the inflation factor, plus

(b) an amount if any, calculated by multiplying the arrears due for each calendar quarterly period or part of quarterly period thereafter, where the period occurs prior to the 1st day of January, 1997, by the inflation factor, plus

(c) an amount if any, calculated by multiplying the arrears due for each calendar month thereafter, where the period occurs on or after the 1st day of January, 1997, by the inflation factor.

Delay in issue of purchasing power payment.

123D. In the case of a person to whom article 123B applies and to whom arrears have issued in advance of the payment in respect of the loss of purchasing power, the payment calculated in accordance with article 123C, shall be increased, where appropriate, by the inflation factor.

Payment of an amount of costs.

123E. Where a person to whom article 123B applies has necessarily incurred incidental expenses as a result of the delay in payment of the benefit, he or she shall be entitled to a payment of the expenses in so far as they exceed £10 and subject to a maximum of £50 provided he or she produces such evidence as may be required of such expenditure.

Rounding.

123F. The amount payable under this Chapter shall be rounded up to the nearest 10p where it is a multiple of 5p but not also a multiple of 10p and shall be rounded to the nearest 10p where it is not a multiple of 5p or 10p.”

GIVEN under the Official Seal, of the Minister for Social, Community and Family Affairs, this 19th day of May, 2000.

DERMOT AHERN,

Minister for Social, Community and Family Affairs.