History
The Act was passed in 1996; it received Royal Assent in July of that year, and was expected to be implemented in spring 1997. However, it was not put into force before the 1997 general election. In 2000 the Home Office reported it was studying implementing the Act, whilst in 2008 the Ministry of Justice announced that the complicated nature of the Act suggested it would cost an unreasonable amount to administer.
The Conservative Party stated their intention to implement the Act in their manifesto for the 2010 general election, and secured an agreement with the Liberal Democrats to make it part of their joint coalition agreement. A statutory instrument dated 5 July specified 26 September 2011 as the commencement date for the Act.
As implemented September 2011, the Act will result in a 40% pay cut for 500 prisoners, and is expected to raise up to £1m a year.
Read more about this topic: Prisoners' Earnings Act 1996
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