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The Secretary of State, in exercise of the powers conferred upon him by sections 83 and 84 of the Reserve Forces Act 1996[1] and after consultation by him in accordance with section 85(3) of that Act, hereby makes the following Regulations: Citation and commencement 1. These Regulations may be cited as the Reserve Forces (Call-out and Recall) (Financial Assistance) Regulations 2005 and shall come into force on the 14th April 2005. General interpretation 2. - (1) In these Regulations -
(b) is so made available by reason of the employment; and (c) is available for the private use of the employee, his spouse or partner or any dependants;
(b) service pay payable to a reservist for service other than for relevant service;
but does not include -
(ii) any sums paid or payable by way of bounty to the reservist in respect of his undertaking prescribed training as a reservist and attaining a prescribed standard of efficiency; (iii) any payments made for the benefit of the reservist, his spouse or partner, or any dependants for accommodation or educational fees, or premiums in relation to pension schemes, health or medical insurance or life insurance or such other benefits as may be the subject of an award under paragraph (3)(f) of regulation 3; (iv) the value of any payments in respect of any company car provided by the reservist's employer and available for private use by him, his spouse or partner, or any dependants;
(b) a contract of apprenticeship; (c) a contract for employment in the service of the Crown; or
a person who is self-employed;
(b) under a call-out or recall order; (c) by a person called out or recalled under the Reserve Forces Act 1980[3] or under any other call-out or recall obligations of an officer;
but shall not include any period in which the reservist is serving a term of imprisonment or detention under the sentence of a court-martial or a court of law in the British Islands or any colony;
(b) any -
(ii) increases in salary of existing employees;
where an adjudication officer is satisfied that they are attributable to the absence of the reservist;
(2) Where a person is performing relevant service and the date on which he is entitled to be released or discharged has been postponed under sections 45(6), 53(3), (7) or (11), 57(3) or (7), 61 or 69(3) or (6) (as the case may be) of the 1996 Act, the termination of relevant service means the day on which the reservist actually ceases the relevant service after the period of extension, and not the date on which he would otherwise have been entitled to be released or discharged from that service. Reservist's award 3. - (1) A reservist performing relevant service shall, subject to fulfilment to an adjudication officer's satisfaction of the requirement to furnish information or documentation under paragraph (1) of regulation 11, be entitled to claim a reservist's award in respect of the relevant period. (2) For the purposes of these Regulations the amount of a reservist's award shall (subject to the cap) be -
(b) less the daily rate of his current service pay and any continuing earnings from his employer.
(3) In paragraph (2) the daily cost of providing any benefits within this paragraph means the average daily cost that an adjudication officer is satisfied the reservist will incur in making -
(ii) the employer has ceased or will cease to pay for such a benefit as a result of the relevant service of the reservist;
(b) payments for life insurance in respect of the reservist where -
(ii) the employer has ceased or will cease to pay for such a benefit as a result of the relevant service of the reservist;
(c) any additional payments for the accommodation of the reservist, his spouse or partner or any dependants where -
(ii) the employer has ceased or will cease to make such payments as a result of the relevant service of the reservist;
(d) any additional payments for the educational fees for any dependent child where -
(ii) the employer has ceased or will cease to pay such fees as a result of the relevant service of the reservist;
(e) payments made by the reservist in respect of such other benefits that the reservist received from the employer where -
(ii) the employer has ceased or will cease to pay for such a benefit as a result of the relevant service of the reservist.
(4) In paragraph (2) the daily cost of providing certain benefits within this paragraph shall mean, where immediately before the relevant date the reservist had a company car, and -
(ii) no other car is available to the reservist's spouse or partner or any dependants for their use,
an amount of £10.70 per day;
(5) For the purposes of this regulation the cap is -
(b) in the case of any other reservist, £548 per day;
less his current service pay.
(b) additional payments made by the reservist in respect of the care of any dependent relative who is ordinarily resident with the reservist; (c) additional payments by the reservist in respect of the care of an animal for which the reservist is responsible, but does not include -
(ii) the care of animals that are the subject of a commercial activity of the reservist which forms the basis of his livelihood;
(d) additional payments made by the reservist in respect of insurance for leaving his main residence unoccupied for an extended period of time;
(3) A claim under this regulation may be for allowable expenses which have been, or will be, paid. In the case of an allowable expense which will be paid, an adjudication officer may agree to make monthly payments under this regulation subject to evidence being provided subsequently that the amounts have been paid by the reservist.
(b) the reservist continues to pay any contributions required of him into that scheme,
he shall be entitled to apply to an adjudication officer for a continuation of those contributions which his employer would have made into his pension scheme.
(b) the person to whom any pension contributions are to be made by the reservist shall accept such contributions.
(4) The Secretary of State may by written notice require any person to whom such payments have been made under this regulation to provide to him, or such other person as may be designated by him, information regarding the use made of that money. Employer's awards 6. - (1) An employer shall, subject to fulfilment to an adjudication officer's satisfaction of the requirement to furnish information or documentation under paragraph (4) of regulation 11, be entitled to claim an award under this regulation in respect of the relevant period. (2) For the purposes of these Regulations the amount of an employer's award shall (subject to the cap) be the amount by which the replacement costs incurred by the employer exceed the relevant earnings of the reservist. (3) For the purposes of this regulation the cap is £110 per day. (4) In addition an employer may claim the amount of certain non-recurring costs that he incurs in replacing the reservist. Those costs are -
(ii) advertising costs.
(5) The employer's award specified in paragraph (2) shall be calculated as a daily rate and shall be paid monthly in arrears to the employer on the last working day of every calendar month. The amount payable each month shall be the daily rate awarded multiplied by the numbers of days in the calendar month on which the reservist is absent by virtue of performing relevant service. Time limits for making a claim 8. - (1) A claim under these Regulations may not be made before the relevant date. (2) A claim for an award other than a training award shall not be made more than 4 weeks after the end of the relevant period unless an adjudication officer agrees to an extended period. (3) A claim for a training award must be made within 8 weeks of the reservist completing the relevant training, and, subject to paragraph (4), the relevant training must be completed within 6 months of the reservist's return to employment following the relevant period ("the initial 6 months"). (4) If the relevant training is not available within the initial 6 months, such training -
(b) the employer must give, within the initial 6 months, written notice of the intention that the reservist undertake such training to an adjudication officer.
Person to whom claims should be made
(b) any details sufficient to enable identification of his pension records; (c) a written notice of his intention to continue to meet his pension contributions.
(4) When making a claim under regulation 6 an employer must supply the information specified in paragraph (1) of Schedule 2 to an adjudication officer.
(b) a statement that the claim makes the maximum use of opportunities to re-acquire the necessary standard at no additional cost to the employer through such free training as may be available or workplace experience; (c) invoices for the relevant training.
(6) An adjudication officer may require a claimant to furnish such other information or documents in connection with a claim as an adjudication officer may at any time reasonably require.
(b) event
which might materially affect the claim, no later than 14 days after the inaccuracy, change or event comes to that person's attention. The provision of such information shall entitle an adjudication officer to review the original determination in accordance with paragraph 1(d) of regulation 14.
(b) showing how any award has been calculated and the factors that were taken in to account when awarding that amount; (c) that the claimant may, if he is dissatisfied with the determination of his claim, appeal against the determination to a reserve forces appeal tribunal, and giving the address to which such an appeal should be sent.
Rejection of claims for non-compliance with the Regulations
(b) any of the time limits prescribed in regulation 8 above.
Additional powers of adjudication officers
(b) proceed to process a claim despite the fact that the information or documentation required under paragraphs (1), (2), (3), (4) or (5) of regulation 11 has not been supplied with the claim because such information or documentation is not readily available, but where the claimant undertakes to supply such information or documentation as soon as it does become available; (c) make an interim award pending the final determination of a claim; (d) review a determination at any time until the beginning of the hearing by a reserve forces appeal tribunal of an appeal against that determination or the expiry of 6 years, whichever is the earlier; (e) following any review of a determination, set aside the determination and substitute a new determination.
(2) If an adjudication officer proposes to exercise his power under paragraph (1)(d), he shall provide written notice of his intention to do so to the claimant as soon as reasonably practicable. Revocation and transitional arrangements 16. - (1) Save to the extent set down in this regulation, the 1997 Regulations are revoked. (2) The 1997 Regulations shall remain in force in respect of any claim for an award made under those Regulations before the 14th April 2005. (3) Where a person was entitled before the 14th April 2005 to make a claim under the 1997 Regulations, but on that date has not yet done so, he may make a claim under those Regulations if the relevant time limits under those Regulations have not expired. (4) Subject to paragraph (5), reservists or employers of reservists who are in relevant service on and immediately before the 14th April 2005 are not precluded from claiming an award under these Regulations solely because they have claimed, or have been made, an award under the 1997 Regulations in respect of their current period of relevant service within the meaning of those Regulations. (5) Any award claimed or made under the 1997 Regulations in respect of a period which includes relevant service under these Regulations shall be taken into account when calculating the amount of any award under these Regulations in so far as it appears to an adjudication officer that both awards relate essentially to the same period or amount. Ivor Caplin MP Under Secretary of State Ministry of Defence 21st March 2005 1. On making a claim a reservist shall provide to an adjudication officer the following information and documents -
(b) his date of birth; (c) his service number; (d) his rank or rate; (e) documentary evidence of his relevant earnings; (f) a statement from the reservist that such relevant earnings are suspended for the relevant period, together with a statement as to any actual earnings which he continues to receive; (g) documentary evidence of his service pay in the 52 weeks immediately preceding the relevant date; (h) details of any -
(ii) life insurance; (iii) educational fees; (iv) accommodation; (v) company car; and (vi) any other relevant benefits
that the employer provided for the benefit of the reservist his spouse or partner or dependants;
1. On making a claim under regulation 6 an employer shall provide to an adjudication officer the following information or documents-
(b) his contact details, including his business address, telephone number, any fax number and any e-mail address; (c) the full name, date of birth, National Insurance number, staff, works or clock number of the reservist in connection with whom the claim is made; (d) documentary evidence of the reservist's relevant earnings; (e) documentary evidence of any replacement costs incurred; (f) documentary evidence of any agency fees or advertising costs incurred in replacing the reservist.
1. Any claim under these Regulations shall be made to -
(b) an adjudication officer appointed for the service or reserve force in which the reservist is performing or will be performing relevant service, at his address specified below -
(This note is not part of the Order) These Regulations give effect to a new scheme for providing financial assistance to reservists and employers who suffer financial loss as a result of the mobilisation of reservists for permanent service in the armed forces. A reservist who is self-employed may claim in the capacity of a reservist, an employer or both. A Regulatory Impact Assessment has been produced in relation to these Regulations: Changes to the Reserve Forces (Call-out and Recall) (Financial Assistance) Regulations 1997 Statutory Instrument 1997 No. 309, published on the 24th January 2005. In addition a consultation paper of July 2004 (Financial Assistance for Reservists and Employers: A Discussion Document), is available from the Directorate of Reserve Forces and Cadets Secretariat, Ministry of Defence, Main Building, Horse Guards Avenue, Whitehall, London SW1A 2HB or on http://www.financialassistance.mod.uk/files/pdf/Discussion_Document.pdf Under regulation 3 a reservist will, on production of the documentation prescribed in paragraph (1) of regulation 11 be entitled to claim an award, called a "reservist's award". This is to mitigate certain financial losses during the reservist's relevant service, namely when his service pay is lower than his lost civilian pay and the cost to him of providing certain benefits which his employer had provided before his mobilisation. The amount awarded may not exceed the cap less the reservist's service pay. The reservist's award is capped at £548 per day (equivalent to £200,000 per annum), save in respect of accredited medical consultants who are serving with the Defence Medical Services as medical consultants for whom the cap is £822 per day (equivalent to £300,000 per annum), less the current service pay of the reservist. The reservist's award is paid in arrears at the end of each calendar month. Regulation 3 also sets out the benefits, the cost of re-provision of which by the reservist during the relevant period is to be included in the reservist's award. The reservist may also receive payment for the loss of a company car that was at the disposal of his spouse or partner or any dependants, where there is no other car available to them. This payment is set at a flat rate of £10.70 per day. Under regulation 4 a reservist may claim an "allowable expenses award". Subject to the reservist furnishing an adjudication officer with the documentation prescribed in paragraph (2) of regulation 11, he shall be entitled to claim an uncapped award in respect of certain allowable expenses that have been incurred as a result of his relevant service and will cease at the end of the relevant period. Regulation 5 deals with a reservist who is a member of an occupational pension scheme. If the reservist's employer made regular payments into a pension scheme on behalf of the reservist, and these are suspended during the relevant service of the reservist, he may apply for a continuation of those payments if he elects to remain in that scheme and maintains such contributions as are required on his part. When making a claim under regulation 5 for continued pensions payments the reservist must supply the documentation required under paragraph (3) of regulation 11. A reservist may only claim under this regulation if his relevant date falls on or after the 14th April 2005. By virtue of regulation 5 the person to whom such payments are made under regulation 5 for payment into a pension scheme must accept those payments as if they were contributions to the scheme by the employer, and must accept any contributions made by the reservist. Under this regulation the Secretary of State may also seek information verifying that such payments have been applied for the purposes for which they were awarded. Under regulation 6 an employer is, on production of the documentation prescribed under paragraph (4) of regulation 11, entitled to claim an "employer's award" in respect of the replacement costs incurred as a result of the relevant service of the reservist, up to a cap of £110 per day. In addition to the cost of replacing the reservist, the employer may also claim certain non-recurring costs of replacing the reservist. Under regulation 7 an employer will, on production of the documentation prescribed under paragraph (5) of regulation 11, be entitled to claim an award for certain training that the reservist undertakes upon his return from relevant service. The training award is in respect of such training as the reservist needs to undertake for the performance of his employment as a result of his relevant service. Regulation 8 sets out the time limits within which claims for awards must be made. Regulation 9 details to whom such claims must be made, and Schedule 3 sets out the addresses to which claims should be sent. By regulation 10 a person may act upon his behalf if he has been authorised to do so in writing by the claimant, and the claimant has supplied a copy of that authority to an adjudication officer. In the event of the death of the claimant, or person who could have been a claimant had he survived, his personal representative may bring or pursue a claim on behalf of his estate. Regulation 11 prescribes by reference to Schedules 1 and 2 the documentation and information that is to be supplied to an adjudication officer in respect of the various claims. Regulation 12 concerns the determination and payment of claims. It requires an adjudication officer to consider claims promptly, provides for preliminary determinations to be made, and requires an adjudication officer to provide a claimant with written notification of the determination of his claim, together with reasons for the decision, an explanation of how any award was calculated and a notice that an appeal route is available. By regulation 13 an adjudication officer may reject a claim on the basis of non-compliance with the Regulations. This applies where a claimant, without reasonable excuse, has failed to comply with any of the requirements as to production of documentation and information in support of a claim or any of the prescribed time limits. Regulation 14 specifies the additional powers of an adjudication officer, including his ability to make an interim award, process a claim despite all of the required information not being available, or to review a determination. Such a review may be carried out up until the beginning of any appeal hearing against that determination, or for a period of 6 years after a determination, whichever is the earlier. Regulation 15 provides for the withdrawal of a claim by a claimant. Regulation 16 deals with the saving provisions and transitional arrangements for replacing awards claimed under the Reserve Forces (Call-out and Recall) (Financial Assistance) Regulations 1997, SI 1997/309 ("the 1997 Regulations"). It allows a reservist or employer of a reservist who is in relevant service when these Regulations come in to force who before the 14th April 2005 has already claimed, or has had made, an award under the 1997 Regulations to continue to receive that award. It allows claimants to make claims under the 1997 Regulations that might have been made under those Regulations but have yet to be submitted, if any relevant time limits under those Regulations have not expired. It also permits reservists and employers of reservists who are performing relevant service when these Regulations come in to force to make new claims under these Regulations, in which case any award under the 1997 Regulations in respect of the same period must be taken into account. Notes: [1] 1996 c.14back
ISBN 0 11 072642 1
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