Solon does not know this law's official route yet. The proposal is recorded all the same, and the route appears here once its source is added.
195 provisions
154 Amount of club transfer earned pension
(1) This regulation applies in relation to a club transfer value payment received from another club scheme in relation to P.
(2) For the scheme year in which the transfer date falls, the amount of club transfer earned pension P is entitled to count in respect of a club transfer value payment is—
(a) the amount specified in the club transfer value statement; or
(b) if such a statement is not provided, an amount calculated by the scheme manager in accordance with actuarial guidance and tables by reference to any factors as at the transfer date that the scheme actuary considers should apply.
(1) This regulation applies if—
(a) the employment of one or more active members (“the transferring employees”) is transferred without their consent to a new employer,
(b) on that transfer, the transferring employees—
(i) cease to be eligible to be active members of this scheme; and
(ii) become active members of another occupational pension scheme (“the new employer’s scheme”);
(c) the scheme manager has agreed special terms for making transfer payments to the new employer’s scheme in respect of the rights of the transferring employees, after consultation with the scheme actuary; and
(d) the transferring employees have consented in writing to their rights being transferred in accordance with those terms.
(2) This regulation also applies if—
(a) the rights of one or more members (“the transferred members”) are transferred to another occupational pension scheme (“the new scheme”) from this scheme without their consent in accordance with section 73(2)(a)(i) and (4)(b) (form of short service benefit and its alternatives) of PSA 1993; and
(b) the scheme manager has agreed special terms for the making of transfer payments to the new scheme in respect of the rights of the transferred members, after consultation with the scheme actuary.
(3) The transfer payment to be made in respect of the rights of the transferring employees or the transferred members is an amount that the scheme manager determines to be appropriate under the special terms, after consulting the scheme actuary.
(4) This Part has effect with any modifications the scheme manager considers necessary to give effect to those terms.
(5) If a Minister of the Crown gives an undertaking concerning the pension rights of the transferring employees or the transferred members, this Part has effect with any modifications the scheme manager considers necessary to reflect the terms of the undertaking.
(6) If the transfer is directly or indirectly attributable to an enactment, this Part has effect with any modifications the scheme manager considers necessary in consequence of the transfer.
(1) This regulation applies if—
(a) the employment of one or more persons (“the transferred employees”) is transferred without their consent to a new employer;
(b) on that transfer, the transferred employees—
(i) cease to be active members of an occupational pension scheme (“the former employer’s scheme”); and
(ii) become active members of this scheme;
(c) the scheme manager has agreed special terms for the acceptance of transfer payments from the former employer’s scheme in respect of the rights of the transferred employees, after consulting the scheme actuary; and
(d) the transferred employees have consented in writing to their rights being transferred in accordance with those terms.
(2) This regulation also applies if—
(a) the rights of one or more persons (“the transferred members”) are transferred from an occupational pension scheme (“the former scheme”) to this scheme without their consent in accordance with section 73(2)(a)(i) and (4)(b) (form of short service benefit and its alternatives) of PSA 1993; and
(b) the scheme manager has agreed special terms for the acceptance of transfer payments from the former scheme in respect of the rights of the transferred members, after consultation with the scheme actuary.
(3) This scheme has effect with any modifications the scheme manager considers necessary to give effect to the special terms.
(4) If a Minister of the Crown gives an undertaking concerning the pension rights of the transferred employees or the transferred members, this scheme has effect with any modifications the scheme manager considers necessary to reflect the terms of the undertaking.
(5) If the transfer is directly or indirectly attributable to an enactment, this scheme has effect with any modifications the scheme manager considers necessary in consequence of the transfer.
(1) This regulation applies in the case of a member whose transfer is subject to transfer arrangements concluded with—
(a) the Communities Pension Scheme of the Institutions of the European Communities; or
(b) any other scheme for the provision of retirement benefits established outside the United Kingdom.
(2) This scheme applies in relation to the member with any modifications the scheme manager considers necessary to comply with—
(a) the terms of those arrangements;
(b) any applicable provision contained in or made under any enactment; and
(c) the requirements to be met by a registered pension scheme.
158 Appointment of scheme actuary and actuarial valuations
(1) The Minister must appoint an individual (the “scheme actuary”) to provide a consulting service on actuarial matters in relation to this scheme and any connected scheme.
(2) The scheme actuary is responsible for—
(a) carrying out valuations of this scheme and any connected scheme; and
(b) preparing reports on the valuations.
(3) Before appointing an individual as scheme actuary the Minister must be satisfied that the individual is appropriately qualified to carry out valuations of this scheme and any connected scheme in accordance with Treasury directions under section 11 of the Act (the “Treasury directions”).
(4) The scheme administrator is responsible for providing the scheme actuary with any data that the scheme actuary requires in order to carry out a valuation and prepare a report on the valuation.
(5) A valuation of the scheme and any connected scheme and the preparation of a report on the valuation must be carried out in accordance with the Treasury directions.
(6) Valuations of the scheme must be carried out within a time-frame which enables requirements in the Treasury directions regarding dates which are applicable to the valuation to be met.
(1) The employer cost cap for this scheme is 18.5% of pensionable earnings of members of this scheme.
(2) In the circumstances specified in paragraph (4), the Minister must consult such persons (or those appearing to the Minister to represent such persons) as appear to the Minister likely to be affected by any steps that will be taken, with a view to reaching agreement on the steps required to achieve the target cost for this scheme.
(3) If, following such consultation, agreement is not reached the percentage of the member’s pensionable earnings specified in regulation 43(4) as the amount of earned pension for a scheme year must be adjusted for pensionable earnings after the date of the adjustment, so that the target cost for this scheme is achieved.
(4) The circumstances are that the cost of this scheme goes beyond the margin either side of the employer cost cap for this scheme specified in regulations under section 12(5)(a) of the Act.
(5) In this regulation—
(a) “cost of this scheme” means the cost of this scheme calculated following a valuation in accordance with regulation 158; and
(b) “target cost for this scheme” means the target cost for this scheme specified in regulations under section 12(5)(b) of the Act.
(1) A person (P) is a dual capacity member of this scheme if—
(a) P is a member of this scheme in2 or more of the following capacities—
(i) an active member;
(ii) a deferred member;
(iii) a pensioner member;
(b) P is both a pension credit member of this scheme and a member of this scheme in one or more of the following capacities—
(i) an active member;
(ii) a deferred member;
(iii) a pensioner member;
(c) P is a member of this scheme in relation to 2 or more continuous periods of pensionable service; or
(d) P is a pension credit member of this scheme entitled to 2 or more pension credits.
(2) For the purpose of paragraph (1)(a) or (b)—
(a) in determining whether a person who is an active member is also a pensioner member, the fact that the person is an active member and the person’s rights in that capacity are to be disregarded; and
(b) in determining whether a person who is an active member or pensioner member is also a deferred member, the fact that the person is an active member or pensioner member and the person’s rights in that capacity are to be disregarded.
161 Payment of benefits to or in respect of a dual capacity member
(1) If a person is a dual capacity member of this scheme—
(a) the benefits that are payable to or in respect of the member in each of the member’s capacities are treated separately for the purposes of these regulations; and
(b) the amounts payable to or in respect of the member in each of the member’s capacities are determined accordingly.
(2) In relation to payment of retirement benefits, paragraph (1) does not affect the interpretation of regulation 64 (exercise of partial retirement option) if a member is both an active member and a pensioner member by virtue of that regulation.
(3) In relation to payment of death benefits, paragraph (1) does not prevent—
(a) the calculation under regulation 130 of a lump sum payable on the death of an active member of this scheme being made by reference to amounts that are relevant to the member in another capacity;
(b) the calculation under regulation 131 of a lump sum payable on the death of a pensioner member or deferred member of this scheme being made by reference to amounts that are relevant to the member in both of those capacities; or
(c) the calculation under regulation 131 of a lump sum payable on the death of—
(i) a deferred member of this scheme in relation to 2 or more continuous periods of pensionable service; or
(ii) a pensioner member of this scheme in relation to 2 or more continuous periods of pensionable service.
Nothing in these Regulations requires any part of a pension attributable to a retirement index adjustment to be paid before the end of the last active scheme year.
(1) This regulation applies if—
(a) the pension entitlement of a single capacity member or the pension entitlement of a single capacity member’s beneficiary does not exceed the small pensions commutation maximum; or
(b) the total pension entitlement of a dual capacity member or the total pension entitlement of a dual capacity member’s beneficiary does not exceed the small pensions commutation maximum.
(2) Unless the member has reached state pension age, this regulation does not apply if—
(a) the pension entitlement of the member or the member’s beneficiary under paragraph(1)(a) is equal to or exceeds the member’s guaranteed minimum; or
(b) the total pension entitlement of the member or the member’s beneficiary under paragraph(1)(b) is equal to or exceeds the member’s guaranteed minimum.
(3) The scheme manager may pay the member or the member’s beneficiary a lump sum of an amount advised by the scheme actuary as representing the cash value of the pension if—
(a) the member or the member’s beneficiary consents to receipt of a lump sum in place of the pension; and
(b) the requirements of the commutation provisions that apply in the circumstances are met.
(4) The payment of a lump sum under this regulation in place of a pension discharges all liabilities under this scheme in respect of that pension.
(5) In this regulation—
“the commutation provisions” means the provisions permitting the commutation of pensions set out in—
regulation 2 of the Occupational Pension Schemes (Assignment, Forfeiture, Bankruptcy etc.) Regulations 1997;
paragraph 7 of Schedule 29 (authorised lump sums – supplementary) to FA 2004 (which defines trivial commutation lump sums for the purposes of Part 4 of that Act) and, in relation to a pension payable under Part8 (death benefits), paragraph 20 of that Schedule (which defines trivial commutation lump sum death benefit for the purposes of Part 4 of that Act); and
regulation 3 of the Pension Sharing (Pension Credit Benefit) Regulations 2000;
“single capacity member” means a member of this scheme who is not a dual capacity member; and
“the small pensions commutation maximum” means the amount that is permitted to be commuted having regard to the commutation provisions that apply in the circumstances.
(1) If a member has a guaranteed minimum under section 14 (earner’s guaranteed minimum) of PSA1993 in relation to benefits under this scheme—
(a) nothing in these Regulations permits or requires anything that would cause requirements made by or under that Act in relation to such a member and such a member’s rights under this scheme not to be met in the case of the member;
(b) nothing in these Regulations prevents anything from being done which is necessary or expedient for the purposes of meeting such requirements in the case of the member; and
(c) the following provisions are without prejudice to the generality of this paragraph.
(2) If apart from this regulation—
(a) no pension would be payable to the member under this scheme; or
(b) the weekly rate of the pensions payable would be less than the guaranteed minimum,
a pension at a weekly rate equal to the guaranteed minimum is payable to the member for life from the date on which the member reaches state pension age or, as the case may be, pensions the aggregate weekly rate of which is equal to the guaranteed minimum are so payable.
(3) If—
(a) on reaching state pension age the member is still in employment (whether or not it is scheme employment); and
(b) if it is not scheme employment, the member consents to a postponement of the member’s entitlement under paragraph (2),
paragraph (2) does not apply until the member leaves employment.
This is subject to paragraph (4).
(4) If the member continues in employment for a further 5 years after reaching state pension age and does not then leave employment, the member is entitled from the end of that period to so much of the member’s pension under Parts 6 and 7 as equals the member’s guaranteed minimum (or, as the case may be, to so much of the member’s pensions under Parts 6 and 7 as together have a weekly rate equal to the member’s guaranteed minimum), unless the member consents to a further postponement of the entitlement.
(5) In the circumstances provided for in paragraph (3) or (4), the amount of the guaranteed minimum to which the member is entitled under this regulation is increased in accordance with section 15 (increase of guaranteed minimum where commencement of guaranteed minimum pension postponed) of PSA 1993.
(6) If—
(a) before state pension age the member becomes entitled to the immediate payment of a pension; and
(b) the member has a guaranteed minimum under section 14 of PSA 1993 in relation to the whole or part of a pension as a result of receipt by this scheme of a transfer payment from another pension scheme in respect of which the member had such a guaranteed minimum,
the weekly rate of the pension, so far as attributable to that service, must not be less than the guaranteed minimum, multiplied by such factor as is indicated in actuarial tables for a person of the member’s age and sex at the date on which the pension becomes payable.
(7) This paragraph applies if a person has ceased to be in employment that is contracted-out employment, within the meaning of Part 3 of PSA 1993 (certification of pension schemes and effects on members’ state scheme rights and duties), by reference to this scheme and either—
(a) a transfer payment in respect of all the person’s rights to benefits under this scheme, except the person’s rights in respect of the person’s guaranteed minimum or rights under section 9(2B) (requirements for certification of schemes: general) of PSA1993 (“the person’s contracting-out rights”) has been made; or
(b) the person has no rights to benefits under this scheme apart from the person’s contracting-out rights.
(8) If paragraph (7) applies—
(a) from the date on which the person reaches state pension age the person is entitled to a pension payable for life at a weekly rate equal to the person’s guaranteed minimum, if any; and
(b) from the date on which the person reaches normal pension age under this scheme the person is entitled to a lump sum and pension in respect of the person’s rights under section 9(2B) of PSA 1993,
but a person falling within paragraph (7) is not to be regarded as a pensioner for the purposes of Part 8 (death benefits).
(9) Paragraphs (2) to (8) do not apply to—
(a) a pension that is forfeited—
(i) as a result of a conviction for treason; or
(ii) under regulation 165, in a case where the relevant offence within the meaning of regulation 165 is an offence under the Official Secrets Acts 1911 to 1989 or an applicable offence under the National Security Act 2023;
(b) a pension that is commuted under regulation 85 or 98 (serious ill-health: commutation of whole pension); or
(c) a pension that is commuted under regulation 163 where the conditions in regulation 60 (payment of a guaranteed minimum pension as a lump sum) of the Occupational Pension Schemes (Contracting-out) Regulations 1996are met,
but if any other provision of this scheme is inconsistent with this regulation, this regulation prevails.
(10) In this regulation, references to the amount of a pension are to its amount after the subtraction of the commutation amount, if any (but before the subtraction of the allocation amount, if any (see regulation 86(5)).
(1) If a member is convicted of a relevant offence, the scheme manager may to the extent the scheme manager considers appropriate withhold benefits payable under this scheme to or in respect of the member.
(2) Paragraph (3) applies if benefits are to be withheld as a result of an offence falling within paragraph (b) of the definition of “relevant offence”.
(3) The scheme manager may only withhold that part of a person’s pension that exceeds any guaranteed minimum to which the person is entitled under—
(a) section14 of PSA 1993 (earner’s guaranteed minimum); or
(b) section17 of that Act (minimum pension for surviving spouses and civil partners).
(4) In this regulation—
“forfeiture certificate” means a certificate stating that the Minister of the Crown issuing the certificate considers that the offence—
has been gravely injurious to the interests of the State; or
is liable to lead to serious loss of confidence in the public service; and
“relevant offence” means—
one or more offences under the Official Secrets Acts 1911 to 1989 , or under section 18 of, or listed in section 33(3)(a) of, the National Security Act 2023, for which the member has been sentenced on the same occasion to—
a term of imprisonment of at least 10 years; or
2 or more consecutive terms of imprisonment which add up to at least 10 years;
an offence committed in connection with service as a public servant and in respect of which a Minister of the Crown has issued a forfeiture certificate.
166 Forfeiture: offences committed by a member’s beneficiary
(1) If the beneficiary of a deceased member of this scheme (D) is convicted of a relevant criminal offence, the scheme manager may withhold benefits payable to the beneficiary in respect of D.
(2) The scheme manager may withhold benefits to the extent the scheme manager considers appropriate but may only withhold that part of a pension that exceeds any guaranteed minimum to which the beneficiary is entitled under section 17 of PSA1993.
(3) If the scheme manager withholds all of the benefits payable to a beneficiary, Part8 (death benefits) applies as if the beneficiary had died before D.
(4) In this regulation, “relevant criminal offence” means—
(a) the murder of D;
(b) the manslaughter of D; or
(c) any other offence of which the unlawful killing of D is an element.
167 Forfeiture: relevant monetary obligations and relevant monetary losses
(1) If a member (P) owes a relevant monetary obligation or has caused a relevant monetary loss, the scheme manager may withhold benefits payable to P under this scheme.
(2) The scheme manager may withhold benefits to the extent the scheme manager considers appropriate but may only withhold that part of P’s pension that exceeds any guaranteed minimum to which P is entitled under section 14 of PSA 1993.
(3) The scheme manager may not withhold more than the lesser of—
(a) the amount of the relevant monetary obligation or relevant monetary loss; and
(b) the value of P’s entitlement to benefits.
(4) The scheme manager may only withhold benefits if—
(a) there is no dispute as to the amount of the relevant monetary obligation or relevant monetary loss; or
(b) the relevant monetary obligation or relevant monetary loss is enforceable as follows—
(i) under an order of a competent court;
(ii) in consequence of an award of an arbitrator; or
(iii) in Scotland, in consequence of an award of an arbiter appointed (failing agreement between the parties) by the sheriff.
(5) In this regulation—
“relevant monetary obligation” means a monetary obligation which—
was incurred to the Crown or P’s employer (if different);
was incurred after P became an active member of this scheme;
arose out of P’s criminal, negligent or fraudulent act or omission; and
arose out of or was connected with service in the scheme employment in respect of which P is a member of this scheme; and
“relevant monetary loss” means a monetary loss which—
was caused to this scheme; and
arose as a result of P’s criminal, negligent or fraudulent act or omission.
(1) The scheme manager may set off a relevant monetary obligation against a member’s entitlement to benefits under this scheme.
(2) In this regulation, a “relevant monetary obligation” is a monetary obligation owed by a member (P), which satisfies the conditions in paragraph (3), (4) or (5).
(3) The conditions are that the monetary obligation—
(a) was incurred to the Crown or P’s employer (if different);
(b) was incurred after P became an active member of this scheme; and
(c) arose out of or was connected with service in the scheme employment in respect of which P is a member of this scheme.
(4) The conditions are that the monetary obligation—
(a) was incurred to this scheme; and
(b) arose out of P’s criminal, negligent or fraudulent act or omission.
(5) The conditions are that the monetary obligation—
(a) was incurred to this scheme; and
(b) arose out of a payment made to P in error by the scheme manager.
(6) Paragraph (7) applies if a set-off is to be applied as a result of P owing a relevant monetary obligation which satisfies the conditions in paragraph (3).
(7) Where this paragraph applies, the scheme manager may not apply a set-off against that part of P’s entitlement to benefits that represents transfer credits within the meaning of section 124(1) (interpretation of Part 1) of PA1995 (other than prescribed transfer credits for the purposes of section 91(5)(d) (exceptions from the inalienability of occupational pensions) of PA 1995).
(8) The scheme manager may only apply a set-off against that part of a member’s pension that exceeds any guaranteed minimum to which the member is entitled under section 14 of PSA 1993.
(9) The value of the set-off applied must not exceed the lesser of—
(a) the amount of the relevant monetary obligation; and
(b) the value of P’s entitlement to benefits.
(10) The scheme manager may only set off a relevant monetary obligation against P’s entitlement to benefits if—
(a) there is no dispute as to the amount of the relevant monetary obligation; or
(b) the relevant monetary obligation is enforceable—
(i) under an order of a competent court;
(ii) in consequence of an award of an arbitrator; or
(iii) in Scotland, in consequence of an award of an arbiter appointed (failing agreement between the parties) by the sheriff.
(1) If the scheme manager proposes to withhold benefits or apply a set-off against a person’s entitlement to benefits, the scheme manager must notify the person of the proposal in writing.
(2) If the scheme manager withholds benefits under regulation 167 or applies a set-off against an entitlement to benefits under regulation 168, the scheme manager must give the member a certificate showing—
(a) the amount withheld or set off; and
(b) the effect of the withholding or set-off on the member’s benefits under this scheme.
(3) If the scheme manager proposes to withhold a person’s benefits under regulation 165 to 167, the person may appeal against the scheme manager’s proposal to the Civil Service Appeal Board.
(4) On an appeal made under paragraph (3) the Civil Service Appeal Board may—
(a) confirm or reject the scheme manager’s proposal; or
(b) amend it so as to reduce the extent to which the benefits are withheld.
(5) The scheme manager must comply with the Civil Service Appeal Board’s decision.
170 Scheme manager to be scheme administrator for purposes of Part 4 of Finance Act 2004
(1) The scheme manager is appointed to be responsible for all functions that are functions conferred or imposed on the scheme administrator by or under Part 4 of FA2004 (pension schemes etc).
171 Payment on behalf of members of lifetime allowance charge
(1) A member of this scheme may request the scheme manager to pay on the member’s behalf any amount that is payable by way of the lifetime allowance charge under section 214 of FA 2004 (“the amount”) if—
(a) an event that is a benefit crystallisation event (“the event”) listed in the table in section 216(1) of FA 2004 occurs in relation to the member; and
(b) the member and the scheme manager are jointly and severally liable in relation to the event.
(2) A request may only be made by notice given to the scheme manager before the event occurs.
(3) The scheme manager may only comply with a request if the member pays the amount to the scheme manager on or before the date on which the event occurs.
172 Reduction of benefits where lifetime allowance charge payable
(1) This regulation applies if—
(a) an event that is a benefit crystallisation event (“the event”) listed in the table in section216(1) of FA2004 (“the table”) occurs in relation to a member;
(b) the member and the scheme manager are jointly and severally liable in relation to the event; and
(c) no request has been duly made under regulation 171 in relation to the event or, if such a request has been made, the scheme manager is prevented from complying with it by paragraph (3) of that regulation.
(2) If this regulation applies—
(a) the scheme manager must pay the tax payable on the event;
(b) if the event is benefit crystallisation event 8 in the table (transfer to qualifying recognised overseas pension scheme), the amount or value of the sums or assets transferred must be reduced; and
(c) in the case of any other event in the table, the amount or value of the benefits payable to or in respect of the member must be reduced.
(3) The amount or value of the reduction—
(a) must fully reflect the amount of the tax so paid;
(b) must be determined in accordance with guidance provided by the scheme manager; and
(c) in the case of any reduction to pension benefits, must be consistent with normal actuarial practice.
173 Information about payment of annual allowance charge
(1) If a member’s pension scheme input amount for this scheme for a tax year exceeds the amount of the annual allowance for that tax year, paragraph (2) applies in respect of the member for that tax year.
(2) The scheme manager must provide the member with any information the scheme manager considers appropriate to assist the member to arrange payment of the annual allowance charge for a tax year—
(a) no later than 6th October after the end of that tax year; or
(b) where regulation 14A(6) (provision of pension savings statement where scheme administrator has not been provided with information about a member) of the Registered Pension Schemes (Provision of Information) Regulations 2006 applies in relation to a member, the date determined in accordance with that regulation.
(3) In this regulation, “pension scheme input amount” has the same meaning as in section237B(2) (liability of scheme administrator) of FA 2004.
174 Reduction of benefits where annual allowance charge paid by scheme manager
(1) This regulation applies where—
(a) a member gives valid notice to the scheme manager of joint and several liability for an annual allowance charge under section 237B(3) of FA 2004; and
(b) the scheme manager satisfies the liability specified in the notice.
(2) The amount or value of the benefits payable to or in respect of the member for the tax year to which the notice relates must be reduced by the scheme manager in accordance with paragraph(3).
(3) Subject to paragraph (4), the amount or value of the reduction of benefits—
(a) must fully reflect the amount paid by the scheme manager; and
(b) must be consistent with normal actuarial practice.
(4) Benefits may only be reduced under this regulation to the extent that the reduction would not result in the loss of any part of a guaranteed minimum pension to which a person is entitled under sections 14 (earner’s guaranteed minimum) or 17 (minimum pension for surviving spouses and civil partners) of PSA 1993.
Nothing in these Regulations requires or authorises the making of any payment, which, if made, would be an unauthorised payment for the purposes of Part 4 of FA 2004 (pension schemes etc.) (see section 160(5) of that Act).
176 Calculation of periods of membership and service
(1) For the purposes of this scheme, periods of membership and service are to be expressed in the first instance in whole years, and days and fractions of a day, and the initial aggregation of periods that require to be aggregated is done in the first instance by reference to periods so expressed.
This is subject to paragraph (3).
(2) If, when all periods of membership or service that require to be aggregated have been aggregated, there is any excess part day over the number of whole days, that excess is rounded up to a full day.
This is subject to paragraph (3).
(3) If membership or service is referred to in these Regulations as membership or service in years—
(a) the days referred to in paragraph (1); and
(b) the full days referred to in paragraph (2),
are converted into years by dividing the number of days in excess of the period of whole years by 365, and using the result to 4 decimal places.
(4) If a period of membership or service is less than one year, this regulation applies as if the words “whole years, and” were omitted from paragraph (1) and the words “in excess of the period of whole years” were omitted from paragraph (3).
Except as otherwise provided by these Regulations, any question arising under this scheme is to be determined by the scheme manager, whose decision on it is final.
(1) The scheme manager may require any person who is receiving a pension under this scheme to provide evidence to establish—
(a) the person’s identity; and
(b) the person’s continuing entitlement to payment of any amount.
(2) If the person does not provide the required evidence, the scheme manager may withhold the whole or any part of any benefits payable under this scheme in respect of the person.
179 Provision of benefit information statements to members
(1) The scheme manager must provide benefit information statements to each active member of this scheme in accordance with—
(a) section 14 of the Act (information about benefits); and
(b) directions made under that section (“Treasury directions”).
(1) An employer of a member of this scheme must, by such date as the scheme manager may specify, provide the scheme manager with such information as the scheme manager may request—
(a) in connection with the scheme manager’s or scheme administrator’s functions in relation to this scheme; or
(b) to enable the scheme manager or Minister to fulfil any obligations on the scheme manager or Minister set out in or under legislation.
(2) An employer of a Fair Deal eligible person must provide to the scheme manager within 30 days after the end of each complete scheme year during which the employer is an employer of a Fair Deal eligible person—
(a) a list of the Fair Deal eligible persons employed by the employer, stating whether they are active members of this scheme or have opted-out of active scheme membership; and
(b) a statement confirming that the persons listed are eligible to be active members of this scheme.
(3) An employer of a Fair Deal eligible person (P) must inform the scheme manager promptly and in any event within 28 days—
(a) if P opts out of this scheme; or
(b) of any changes to P’s eligibility to be an active member of this scheme including where P ceases to be eligible to be an active member of this scheme.
(4) (a) An employer of a Fair Deal eligible person who is an active member of this scheme (M) must inform the scheme manager promptly and in any event within 28 days of any change in the matters set out in sub-paragraph (b) where the change affects M’s entitlement to benefits under or membership of this scheme.
(b) The matters are—
(i) M’s terms and conditions of employment including terms and conditions relating to any work done by M on functions or services other than the transferred services;
(ii) M’s working pattern or hours; and
(iii) M’s attendance at work, including any long term sick leave or other absences.
(5) An employer of a Fair Deal eligible person must inform the scheme manager immediately the employer becomes aware of any circumstance (including any actual or proposed change in the employer’s status) which is one which may give rise to the termination of the Admission Agreement.
181 Protections for the scheme in relation to employers of Fair Deal eligible persons
(1) Where an employer of a Fair Deal eligible person increases the pensionable earnings of a member of this scheme employed by the employer in a way which the scheme manager has determined is one where the resulting costs to this scheme or any connected scheme are costs which should be paid by the employer, the employer must pay to this scheme on demand the amount of the increase in this or the connected scheme’s costs or liabilities resulting from the increase.
(2) Where a Fair Deal eligible person exercises a choice available to the person under this scheme which leads to an increase in the contributions that the person’s employer is required to pay under this scheme, the employer must pay to this scheme the amount of the increase in contributions.
(3) Where an employer of a Fair Deal eligible person has breached any of the provisions of this scheme or any provision of the Admission Agreement the employer must pay to this scheme on demand the sum, as determined by the scheme manager, which is required to compensate this scheme for—
(a) any increase in this scheme’s costs or liabilities resulting from the breach; and
(b) any resulting additional administration expenses incurred by or on behalf of this scheme.
(4) Where an employer of a Fair Deal eligible person has entered into a contractual agreement (whether in the Admission Agreement or otherwise) with the scheme manager or the Minister to lodge a bond with the scheme, the scheme manager or Minister may call on the bond in the circumstances provided for in the contractual agreement.
(5) Where a person has entered into an agreement (whether in the Admission Agreement or otherwise) to indemnify this scheme in respect of contributions and other payments due to this scheme from an employer of a Fair Deal eligible person, that person must pay to this scheme on demand by the scheme manager or the Minister the sums due under the indemnity, in accordance with the provisions of the agreement.
Regulation 138
PART 1 General
Interpretation
1 In this Schedule—
“added pension option” means the option to make added pension payments;
“amount of accrued added pension” means the total of—
the amount of accrued added (self only) pension (if any); and
the amount of accrued added (all beneficiaries) pension (if any);
“amount of extra pension” has the meaning given in paragraph2;
“appropriate pay period” means the pay period that the scheme manager considers appropriate;
“effective pension age option” means the option to make effective pension age payments;
“effective pension age payments” means periodical payments for an effective pension age made to this scheme;
“eligible employment” has the meaning given in paragraph 34;
“enhanced effective pension age option” means the option to make enhanced effective pension age payments;
“enhanced effective pension age payments” means periodical payments for an enhanced effective pension age made to this scheme;
“overall limit of extra pension” has the meaning given in paragraph3;
“periodical payment period” means the period for which periodical payments for added pension, an effective pension age or an enhanced effective pension age are payable;
“period of service”, in relation to this scheme, means a continuous period of pensionable service under this scheme;
“the relevant day”, in relation to a lump sum payment for added pension, means—
if the scheme manager provides a statement of the amount of added pension, the first day after the period of one month beginning with the date of the statement; or
otherwise, the day on which the lump sum payment is received by the scheme manager;
“the relevant scheme year” means the scheme year in which the relevant day falls;
“statement of the amount of added pension” means the statement referred to in paragraph 18;
“third party” means a third party approved by the scheme manager to make payments for extra pension in respect of an active member of this scheme; and
“value”, in relation to an effective pension age option or an enhanced effective pension age option, means a value determined by the scheme manager under Part 3 or 4 of this Schedule.
Meaning of “amount of extra pension”
2 The amount of extra pension at any given time is the total of the following—
(a) the amount of accrued added pension at that time;
(b) if the member has exercised one or more effective pension age options or enhanced effective pension age options, the value of each option as at that time.
Meaning of “overall limit of extra pension”
3 (1) The overall limit of extra pension is—
(a) £6,500 for any scheme year ending before 1stApril 2016; and
(b) for any scheme year beginning on or after 1stApril 2016—
(i) the overall limit of extra pension determined by the Treasury in respect of that scheme year as published before the start of that scheme year; or
(ii) if no such determination is made, the amount calculated under paragraph (2).
(2) The amount is the amount to which the annual rate of a pension of an amount equal to the overall limit of extra pension for the previous scheme year would have been increased under PIA1971 if—
(a) that pension were eligible to be so increased; and
(b) the beginning date for that pension were the first day of the previous scheme year.
Limit on elections
4 An added pension option may not be exercised in relation to a member if the member has exercised an effective pension age option or an enhanced effective pension age option and—
(a) the value of the effective pension age option or enhanced effective pension age option exceeds the overall limit of extra pension; or
(b) if the added pension option is exercised, the amount of extra pension would exceed the overall limit of extra pension.
Amount of accrued added pension may not exceed overall limit of extra pension
5 (1) At any given time, the total amount of accrued added pension in all the active member’s accounts established for a member under Part 5 may not exceed the overall limit of extra pension.
(2) If a member has opted to make periodical payments for added pension under this scheme, the scheme manager may by notice to the member cancel the added pension option if it appears to the scheme manager that the overall limit of extra pension will be exceeded if the member continues to make the periodical payments.
(3) If the scheme manager cancels the option, the periodical payments cease to be payable from the next pay period beginning after the date specified in the notice of cancellation.
(4) For the purpose of this paragraph, “amount of accrued added pension” does not include any amount attributable to a lump sum payable to a member under a compensation scheme.
Actuarial advice
6 The scheme manager must take advice from the scheme actuary before determining any amount under this Schedule.
PART 2 Payments for added pension
CHAPTER 1 Exercising the added pension option
Added pension option exercisable by member
7 (1) An active member of this scheme may opt to make added pension payments to increase—
(a) the member’s retirement benefits for a period of service; or
(b) the member’s retirement benefits and death benefits payable in respect of the member for a period of service.
(2) A member may exercise the added pension option by notice to the scheme manager in a form required by the scheme manager (“the option notice”).
(3) The option notice must state whether the added pension payments are to be made by—
(a) periodical payments; or
(b) a lump sum payment.
(4) If the whole or part of any lump sum payable to the member under a compensation scheme is to be used as a lump sum payment for added pension the option notice must specify this.
(5) A member may exercise the added pension option more than once but an option to make a lump sum payment for added pension may only be exercised once in any scheme year.
(6) An option to make a lump sum payment for added pension may only be exercised if the member—
(a) either—
(i) has been an active member of this scheme in relation to a continuous period of pensionable service for at least 12 months; or
(ii) is a transition member within the meaning of paragraph 1 of Schedule 2; and
(b) has been provided with a statement of the amount of added pension (if paragraph 18 applies).
Added pension option exercisable by employer or third party
8 (1) A third party or the employer of an active member of this scheme may, if the scheme manager approves, opt to make a lump sum payment for added pension to increase—
(a) the member’s retirement benefits for a period of service; or
(b) both the member’s retirement benefits and death benefits payable in respect of the member for a period of service.
(2) The employer or third party may exercise an added pension option by notice to the scheme manager in a form required by the scheme manager (“the option notice”).
(3) The employer or third party may exercise an added pension option more than once but only once in any scheme year.
(4) If an active member opts for the whole or part of any lump sum payable to the member under a compensation scheme to be used to make a lump sum payment for added pension, the member’s employer may opt to make a lump sum payment under this regulation.
CHAPTER 2 Periodical payments for added pension
Application of Chapter
9 This Chapter applies in relation to an active member of this scheme who opts to make periodical payments for added pension under this scheme.
Member’s option to make periodical payments for added pension
10 (1) The option notice must specify—
(a) the periodical payment period; and
(b) the amount of the periodical payment to be deducted by the member’s employer from the member’s pensionable earnings in each pay period.
(2) The amount of the periodical payment may be expressed as—
(a) a percentage of the member’s pensionable earnings; or
(b) a fixed sum.
(3) The amount of the periodical payment must not be less than any minimum amount determined by the scheme manager.
Cancellation of option by member
11 (1) The member may, by notice to the scheme manager, cancel the option at any time during the periodical payment period.
(2) If the member cancels the option, the periodical payments cease to be payable from the beginning of the next scheme year after the scheme manager receives the notice of cancellation.
Periodical payments
12 (1) The periodical payments are payable by deduction by the member’s employer from the member’s pensionable earnings during the periodical payment period.
(2) The periodical payment period—
(a) begins with—
(i) if the member exercises the option within 3 months after joining this scheme, the first appropriate pay period beginning on or after the date on which the scheme manager receives the option notice; or
(ii) in any other case, the first appropriate pay period of the scheme year beginning on or after the date on which the scheme manager receives the option notice; and
(b) ends on the earlier of—
(i) the date on which the member ceases to be an active member of this scheme; and
(ii) the date specified in the option notice.
(3) Subject to sub-paragraph (4), during a period of assumed pay the member may—
(a) stop the periodical payments; or
(b) continue the periodical payments as if the member were receiving pensionable earnings at the full rate.
(4) During any period in which the member is receiving statutory maternity pay within the meaning of the Social Security Contributions and Benefits Act 1992 or is on paid ordinary maternity leave, paid adoption leave , paid shared parental leave or paid paternity leave, the member may—
(a) stop the periodical payments; or
(b) make periodical payments of an amount determined by reference to the member’s actual pay during that period.
(5) If a member stops the periodical payments during a period of assumed pay, the member may, by notice to the scheme manager in a form required by the scheme manager, resume the periodical payments in the next pay period after the period of assumed pay ends.
Amount of added (self only) pension for a scheme year (periodical payments)
13 (1) This paragraph applies in relation to each scheme year during which a member makes periodical payments to increase the member’s retirement benefits only.
(2) An amount of added (self only) pension is credited to the active member’s account for that scheme year.
(3) The amount is determined by the scheme manager by reference to published actuarial tables, having regard to the cost in the scheme year of providing retirement benefits to a person of the member’s age and gender.
Amount of added (all beneficiaries) pension for a scheme year (periodical payments)
14 (1) This paragraph applies in relation to each scheme year during which a member makes periodical payments to increase—
(a) the member’s retirement benefits; and
(b) death benefits payable in respect of the member.
(2) An amount of added (all beneficiaries) pension is credited to the active member’s account for that scheme year.
(3) The amount is determined by the scheme manager by reference to published actuarial tables, having regard to the cost in the scheme year of providing retirement benefits to—
(a) a person of the member’s age; and
(b) dependants of a person of that age.
CHAPTER 3 Lump sum payments for added pension made by member
Application of Chapter
15 This Chapter applies in relation to an active member of this scheme who opts to make a lump sum payment for added pension under this scheme.
Member’s option to make a lump sum payment for added pension
16 (1) The option notice must specify the amount of the lump sum which must not be less than any minimum amount determined by the scheme manager.
(2) The lump sum is payable immediately to the scheme manager by deduction by the member’s employer from the member’s pensionable earnings or otherwise.
Payment by lump sum from a compensation scheme
17 (1) This paragraph applies if the member specifies in the option notice that the whole or part of any lump sum payable to the member under a compensation scheme is to be used as a lump sum payment for added pension.
(2) The member’s employer may make a lump sum payment for added pension in relation to the member using the whole or part of the lump sum as specified in the option notice.
Statement of amount of added pension
18 (1) If the scheme manager so requires, the member before exercising the option must ask the scheme manager to provide a statement of the amount of added pension.
(2) A statement of the amount of added pension must set out the amount that would be credited to the active member’s account if the lump sum is received by the scheme manager within one month after the date of the statement.
(3) The statement must also—
(a) specify the overall limit of extra pension; and
(b) inform the member if it appears to the scheme manager that the overall limit of extra pension would be exceeded if the active member’s account is credited with the amount of added pension set out in the statement.
Amount of added (self only) pension (lump sum payment)
19 (1) This paragraph applies if a member opts to make a lump sum payment to increase the member’s retirement benefits only.
(2) Following payment of the lump sum by the member an amount of added (self only) pension is credited to the active member’s account for the relevant scheme year.
(3) The amount credited to the account is—
(a) if the scheme manager has provided a statement of the amount of added pension and the lump sum is received by the scheme manager within one month after the date of the statement, the amount specified in the statement; or
(b) otherwise, an amount determined by the scheme manager by reference to published actuarial tables, having regard to—
(i) the amount of the lump sum;
(ii) the cost as at the relevant day of providing retirement benefits to a person of the member’s age and gender;
(iii) factors relating to the member’s circumstances as at the relevant day; and
(iv) any other factors as at the date of the statement of the amount of added pension to which the scheme actuary considers regard should be had.
Amount of added (all beneficiaries) pension (lump sum payment)
20 (1) This paragraph applies if a member opts to pay a lump sum to increase—
(a) the member’s retirement benefits; and
(b) death benefits payable in respect of the member.
(2) On payment of the lump sum by the member an amount of added (all beneficiaries) pension is credited to the active member’s account in the relevant scheme year.
(3) The amount credited to the account is—
(a) if the scheme manager has provided a statement of the amount of added pension and the lump sum is received by the scheme manager within one month after the date of the statement, the amount specified in the statement; or
(b) otherwise, an amount determined by the scheme manager by reference to published actuarial tables, having regard to—
(i) the amount of the lump sum;
(ii) the cost as at the relevant day of providing retirement benefits to a person of the member’s age and dependants of a person of that age;
(iii) factors relating to the member’s circumstances as at the relevant day; and
(iv) any other factors as at the date of the statement of the amount of added pension pension to which the scheme actuary considers regard should be had.
CHAPTER 4 Lump sum payments for added pension made by employer or third party
Application of Chapter
21 This Chapter applies in relation to an employer or third party who opts to make a lump sum payment for added pension in relation to an active member of this scheme.
Employer or third party option to make a lump sum payment for added pension
22 (1) The option notice must specify the amount by which the member’s added (self only) pension or added (all beneficiaries) pension for the relevant scheme year is to be increased.
(2) The amount of the lump sum payment is—
(a) if the option notice specifies an increase in the member’s added (self only) pension, an amount determined by the scheme manager, after consultation with the scheme actuary, having regard to the cost as at the relevant day of providing retirement benefits to a person of the member’s age and gender; and
(b) if the option notice specifies an increase in the member’s added (all beneficiaries) pension, an amount determined by the scheme manager, after consultation with the scheme actuary, having regard to the cost as at the relevant day of providing retirement benefits to—
(i) a person of the member’s age; and
(ii) the dependants of such a person.
(3) The lump sum payment must be paid in a manner determined by the scheme manager after consultation with the scheme actuary.
(4) The scheme manager must notify the employer or third party of the amount of the lump sum and the manner in which it is to be paid.
Amount of added (self only) pension (lump sum payment)
23 (1) This paragraph applies if an employer or third party opts to make a lump sum payment to increase the member’s added (self only) pension.
(2) On payment of the lump sum by the employer or third party an amount of added (self only) pension is credited to the active member’s account in the relevant scheme year.
(3) The amount credited to the account is an amount determined by the scheme manager, after consultation with the scheme actuary, having regard to the amount of the lump sum payment.
Amount of added (all beneficiaries) pension (lump sum payment)
24 (1) This paragraph applies if an employer or third party opts to pay a lump sum to increase the member’s added (all beneficiaries) pension.
(2) On payment of the lump sum by the employer or third party an amount of added (all beneficiaries) pension is credited to the active member’s account in the relevant scheme year.
(3) The amount credited to the account is an amount determined by the scheme manager, after consultation with the scheme actuary, having regard to the amount of the lump sum payment.
PART 3 Effective pension age payments
CHAPTER 1 Exercising the effective pension age option
Effective pension age option exercisable by the member
25 (1) This paragraph applies if an active member of this scheme in relation to a continuous period of pensionable service has a normal pension age above 65 years.
(2) Subject to sub-paragraphs (3) and (4), the member may opt to make periodical payments for an effective pension age of 1, 2 or 3 years below the member’s normal pension age (“effective pension age option”).
(3) An effective pension age option may not be exercised to achieve an effective pension age below 65 years.
(4) The member may opt to make periodical payments for an effective pension age of any period up to 3 years below the member’s normal pension age if that would achieve an effective pension age of 65 years.
(5) An effective pension age is—
(a) relative to normal pension age; and
(b) automatically adjusted to reflect any change in normal pension age.
Exercising the effective pension age option
26 (1) A member may exercise an effective pension age option by notice to the scheme manager in any form the scheme manager may require (“the option notice”).
(2) The option notice must state the effective pension age which is to apply under the option.
(3) A member may exercise an effective pension age option more than once.
(4) A member may not exercise an effective pension age option during—
(a) a period of assumed pay; or
(b) any scheme year in which the member has reached the overall limit of extra pension for that year.
Payment of pension at effective pension age
27 (1) For any part of a scheme year in which a member makes periodical payments for an effective pension age option, the member is entitled to payment of a full retirement earned pension or partial retirement earned pension attributable to the option at the effective pension age stated in the option without actuarial reduction.
(2) The amount of pension attributable to the option is reduced if the periodical payments are stopped before the end of the periodical payment period.
(3) For any period in which the periodical payments are stopped, an amount of standard earned pension is credited to the active member’s account instead of an amount of earned pension attributable to the option.
Member ceases to be in pensionable service under this scheme
28 (1) An effective pension age option in relation to a continuous period of pensionable service under this scheme ceases to have effect when the member ceases to be in that pensionable service.
(2) Periodical payments cease to be payable from the member’s last day of pensionable service.
(3) In the circumstances provided for in regulation 139(2), the member is entitled to a refund under that regulation of the periodical payments.
(4) If the member re-enters pensionable service under this scheme after a gap in pensionable service not exceeding 5 years, the periodical payments resume in the first pay period after the member re-enters pensionable service unless—
(a) the periodical payments have been refunded to the member under regulation 139; or
(b) a transfer payment has been made to another scheme in respect of the member’s accrued rights under this scheme.
(5) The periodical payments resume under sub-paragraph (4) even if the member has reached the overall limit of extra pension for the scheme year in which the payments resume.
Cancellation of option
29 (1) A member may, by notice to the scheme manager, cancel an effective pension age option at any time during the periodical payment period.
(2) If the member cancels the option, the periodical payments cease to be payable from the beginning of the next scheme year after the scheme manager receives notice of the cancellation.
(3) If the member exercises an effective pension age option again within a period not exceeding 5 years, the periodical payments resume from the first pay period of the next scheme year beginning after the date on which the member exercises the option again.
(4) The periodical payments resume under sub-paragraph (3) even if the member has reached the overall limit of extra pension for the scheme year in which the payments resume.
Value of an effective pension age option
30 (1) The value of an effective pension age option at any time is a value determined by the scheme manager as at that time.
(2) A member who has exercised an effective pension age option—
(a) may at any time ask the scheme manager to provide a statement of the value of the effective pension age option; and
(b) must ask the scheme manager to provide a statement of the value of the effective pension age option before an added pension option may be exercised in relation to the member.
CHAPTER 2 Making effective pension age payments
Amount of periodical payments
31 (1) Periodical payments for an effective pension age are payable by deduction by the member’s employer from the member’s pensionable earnings in every pay period during the periodical payment period.
(2) The amount of the periodical payments is an amount—
(a) determined by the scheme manager; and
(b) set out in a notice to the member.
(3) The scheme manager must determine the amount by reference to published actuarial tables having regard to—
(a) the member’s age and gender; and
(b) the number of years before the member will reach normal pension age.
(4) Before the start of every scheme year, the scheme manager must—
(a) review the amount of the periodical payments; and
(b) if the scheme manager re-determines the amount, send the member notice of the amount payable from the start of the next scheme year.
Periodical payment period
32 The periodical payment period—
(a) begins with—
(i) if the member exercises the option within 3 months after joining this scheme, the first appropriate pay period beginning on or after the date on which the scheme manager receives the option notice; or
(ii) in any other case, the first appropriate pay period of the scheme year beginning on or after the date on which the scheme manager receives the option notice; and
(b) ends on the earlier of—
(i) the date on which the member ceases to be in pensionable service in the eligible employment to which the option relates; and
(ii) the date on which the member reaches the effective pension age.
Periodical payments during period of assumed pay
33 (1) Subject to sub-paragraph (2), during a period of assumed pay the member may—
(a) stop the periodical payments; or
(b) continue the periodical payments as if the member were receiving pensionable earnings at the full rate.
(2) During any period in which the member is receiving statutory maternity pay within the meaning of the Social Security Contributions and Benefits Act 1992 or is on paid ordinary maternity leave, paid adoption leave , paid shared parental leave or paid paternity leave, the member may—
(a) stop the periodical payments; or
(b) make periodical payments of an amount determined by reference to the member’s actual pay during that period.
(3) If a member stops the periodical payments during a period of assumed pay, the member may, by notice to the scheme manager in a form required by the scheme manager, resume the periodical payments in the next pay period after the period of assumed pay ends.
PART 4 Enhanced effective pension age payments
CHAPTER 1 Eligibility for enhanced effective pension age option
Eligibility
34 (1) The scheme manager must publish a list of scheme employments in respect of which an enhanced effective pension age option may be exercised (“eligible employments”) and, in relation to each employment, the date by which persons in that employment or the dates by which specified persons within that employment must exercise the option.
(2) An enhanced effective pension age option may only be exercised by a person to whom paragraph 35 or 36 applies.
(3) A member may only exercise an enhanced effective pension age option once.
(4) A tapered protection member of the PCSPS (T) to whom paragraph 28(1) of Schedule 2 applies may only exercise the enhanced effective pension age option if T has opted to begin pensionable service under this scheme on the day after the scheme closing date.
Opting for enhanced effective pension age of 60
35 (1) This paragraph applies to a transition member with continuity of service who—
(a) is in pensionable service under this scheme in an eligible employment;
(b) began that pensionable service on the day after the scheme closing date; and
(c) has a normal pension age of 60 under the PCSPS.
(2) The member may opt, in relation to that pensionable service, to make periodical payments for an enhanced effective pension age of 60.
Opting for enhanced effective pension age of 65
36 (1) This paragraph applies to a person (P)—
(a) who is in pensionable service under this scheme in an eligible employment; and
(b) whose normal pension age under this scheme is above 65.
(2) P may opt, in relation to that pensionable service, to make periodical payments for an enhanced effective pension age of 65.
CHAPTER 2 Exercising the enhanced effective pension age option
Exercise of option
37 (1) An enhanced effective pension age option may only be exercised—
(a) by notice to the scheme manager in a form required by the scheme manager (“the option notice”); and
(b) with the approval of the Minister.
(2) An option notice must state the enhanced effective pension age which is to apply under the option.
(3) A member may not exercise an enhanced effective pension age option during—
(a) a period of assumed pay; or
(b) any scheme year in which the member has reached the overall limit of extra pension for that year.
Payment of pension at enhanced effective pension age
38 (1) For any part of a scheme year in which a member makes periodical payments for an enhanced effective pension age option, the member is entitled to payment of a full retirement earned pension or partial retirement earned pension attributable to the option at the enhanced effective pension age stated in the option without actuarial reduction.
(2) The amount of pension attributable to the option is reduced if the periodical payments are stopped before the end of the periodical payment period.
(3) For any period in which the periodical payments are stopped, an amount of standard earned pension is credited to the active member’s account instead of an amount of earned pension attributable to the option.
Member ceases to be in pensionable service in an eligible employment
39 (1) An enhanced effective pension age option in relation to pensionable service in an eligible employment ceases to have effect when the member ceases to be in that pensionable service.
(2) Periodical payments cease to be payable from the member’s last day of pensionable service in relation to that employment.
(3) If the member re-enters pensionable service in that employment after a gap in pensionable service not exceeding 5 years, the periodical payments resume from the first pay period of the next scheme year beginning after the date on which the member re-enters pensionable service.
(4) Sub-paragraph (3) does not apply if before the member re-enters pensionable service in that employment the member notifies the scheme manager that the payments are not to resume.
(5) If the member re-enters pensionable service in that employment after a gap in pensionable service of more than 5 years, the member may not resume periodical payments in relation to that option without the approval of the Minister.
Cancellation of option
40 (1) A member may, by notice to the scheme manager, cancel an enhanced effective pension age option at any time during the periodical payment period.
(2) If the member cancels the option, the periodical payments cease to be payable from the beginning of the next scheme year after the scheme manager receives notice of the cancellation.
(3) A member may cancel that part of the periodical payments which relate to the years after the member would reach 60 and before the member would reach 65 without cancelling that part of the periodical payments which relate to the years after the member would reach 65 and before the member would reach normal pension age.
(4) A member who has cancelled an enhanced effective pension age option may not resume periodical payments in relation to that option without the approval of the Minister.
Determining the value of an enhanced effective pension age option
41 (1) The value of an enhanced effective pension age option at any time is a value determined by the scheme manager as at that time.
(2) A member who has exercised an enhanced effective pension age option—
(a) may at any time ask the scheme manager to provide a statement of the value of the enhanced effective pension age option; and
(b) must ask the scheme manager to provide a statement of the value of the enhanced effective pension age option before an added pension option may be exercised in relation to the member.
CHAPTER 3 Making enhanced effective pension age payments
Amount of periodical payments
42 (1) Periodical payments for an enhanced effective pension age are payable by deduction by the member’s employer from the member’s pensionable earnings for every pay period during the periodical payment period.
(2) The member’s employer must pay a proportion of the periodical payments as determined by the scheme manager which relate to the years after the member would reach 65 and before the member would reach normal pension age.
(3) The member’s employer is not required to pay any proportion of the periodical payments which relate to the years after the member would reach 60 and before the member would reach 65.
(4) The amount of the periodical payments is an amount—
(a) determined by the scheme manager; and
(b) set out in a notice to the member and the member’s employer.
(5) The scheme manager must determine the amount by reference to published actuarial tables having regard to—
(a) the member’s age and gender; and
(b) the number of years before the member will reach normal pension age.
(6) Before the start of every scheme year, the scheme manager must—
(a) review the amount of the periodical payments; and
(b) if the scheme manager re-determines the amount, send the member and, if applicable, the member’s employer notice of the amount payable from the start of the next scheme year.
Periodical payment period
43 The periodical payment period—
(a) begins with—
(i) if the member exercises the option within 3 months after joining this scheme, the beginning of the first appropriate pay period beginning on or after the date on which the scheme manager receives the option notice; or
(ii) in any other case, the beginning of the first appropriate pay period of the scheme year beginning on or after the date on which the scheme manager receives the option notice; and
(b) ends on the earlier of—
(i) the date on which the member ceases to be in pensionable service in the eligible employment to which the option relates; and
(ii) the date on which the member reaches the enhanced effective pension age.
Making periodical payments during period of assumed pay
44 (1) Subject to sub-paragraph (2), during a period of assumed pay, the member may—
(a) stop the periodical payments payable under an enhanced effective pension age option; or
(b) continue the periodical payments as if the member were receiving pensionable earnings at the full rate.
(2) During any period in which the member is receiving statutory maternity pay within the meaning of the Social Security Contributions and Benefits Act 1992 or is on paid ordinary maternity leave, paid adoption leave , paid shared parental leave or paid paternity leave, the member may—
(a) stop the periodical payments; or
(b) make periodical payments of an amount determined by reference to the member’s actual pay during that period.
(3) A member may stop that part of the periodical payments which relates to the years after the member would reach 60 and before the member would reach 65 without stopping that part of the periodical payments which relates to the years after the member would reach 65 and before the member would reach normal pension age.
(4) If a member stops the periodical payments during a period of assumed pay, the member may, with the approval of the Minister, resume the periodical payments at the beginning of the next pay period after the period of assumed pay ends.
Regulation 182
PART 1 General
Interpretation - general
1 In this Schedule—
“closing date”, in relation to a transition member, means—
if the member is a full protection member of the PCSPS, 31st March 2022;
if the member is a tapered protection member of the PCSPS, the tapered protection closing date for that member; or
if the member is not a protected member of that scheme, the scheme closing date;
“existing public body pension scheme” means a public body pension scheme specified on a list published by the Minister for the purpose of this Schedule;
“full protection member”, in relation to the PCSPS, has the meaning given in paragraph 9;
“protected member”, in relation to the PCSPS, means a full protection member or tapered protection member of that scheme;
“protection period”—
for a full protection member of the PCSPS, has the meaning given in paragraph10;
for a tapered protection member of the PCSPS, has the meaning given in paragraph 20;
“section 1(4A) eligible person” means a person who is eligible to be an active member of the PCSPS by virtue of being a person who is in service in an office or employment specified in a list produced for the purposes of section 1(4A) (superannuation schemes as respects civil servants, etc) of SA 1972;
“tapered protection closing date”, in relation to a tapered protection member of the PCSPS, has the meaning given in paragraph 3;
“tapered protection member”, in relation to the PCSPS, has the meaning given in paragraph 19;
“transition date”, in relation to a transition member, means—
if the member is a full protection member of the PCSPS, 1st April 2022;
if the member is a tapered protection member of the PCSPS, the day after the tapered protection closing date for that member;
if the member is not a protected member of that scheme, the day after the scheme closing date or, if later, the day the person ceased to be a protected member of the scheme;
“transition member” means a person—
who is a member of the PCSPS by virtue of the person’s pensionable service under that scheme before the transition date; and
who is a member of this scheme by virtue of the person’s pensionable service under this scheme.
Meaning of “continuity of service”
2 (1) For the purposes of this Schedule, a transition member (T) has continuity of service between pensionable service in the PCSPS and pensionable service in this scheme (“continuity of service”) unless T has a gap in service exceeding 5 years which—
(a) begins on or before T’s closing date; and
(b) ends on the day on which T becomes an active member of this scheme.
(2) For the purpose of sub-paragraph (1), after the scheme closing date T is not on a gap in service while T is in service which is pensionable under an existing scheme, an existing public body pension scheme, a scheme under section 1 of the Act or a new public body pension scheme.
Meaning of “tapered protection closing date”
3 (1) The tapered protection closing date for a tapered protection member of the PCSPS other than a member to whom paragraph 9(5) or 27 applies is—
(a) if the member exercises the option under Part 4 of this Schedule, the scheme closing date; or
(b) if the member does not exercise that option, a date between 31stMay2015 and 31stJanuary2022 (inclusive) determined by the scheme manager by reference to a table published for that purpose.
(2) A tapered protection closing date determined under sub-paragraph (1)(b) must fall on the last day of a month.
(3) The tapered protection closing date for a tapered protection member of the PCSPS to whom paragraph 9(5) or 27 applies is a date before 1st April 2022 determined by the scheme manager.
Meaning of “active member of the PCSPS”
4 (1) This paragraph applies to a person (P) who is an active member of the PCSPS other than as a section 1(4A) eligible person.
(2) For the purpose of Parts 2 and 3 of this Schedule, P is an active member of the PCSPS on a given date if on that date—
(a) P is in pensionable service under that scheme; or
(b) if P is on a gap in service not exceeding 5 years.
(3) For the purpose of sub-paragraph (2)(b), after the scheme closing date P is not on a gap in service while P is in pensionable public service.
Meaning of “active member of an existing scheme”
5 (1) For the purpose of Parts 2 and 3 of this Schedule, a person (P) is an active member of an existing scheme (other than the PCSPS) on a given date if on that date—
(a) P is in pensionable service under that scheme; or
(b) P is on a gap in service not exceeding 5 years.
(2) For the purpose of sub-paragraph (1)(b), after the closing date for the existing scheme P is not on a gap in service while P is in pensionable public service.
(3) In sub-paragraph (2), “the closing date for the existing scheme” means the date referred to in section 18(4)(a) or (b) of the Act, as applicable.
Meaning of “active member of an existing public body pension scheme”
6 (1) For the purpose of Parts 2 and 3 of this Schedule, a person (P) is an active member of an existing public body pension scheme on a given date if on that date—
(a) P is in pensionable service under that scheme; or
(b) P is on a gap in service not exceeding 5 years.
(2) For the purpose of sub-paragraph (1)(b), after the closing date for the existing public body pension scheme, P is not on a gap in service while P is in pensionable public service.
(3) In sub-paragraph (2), “the closing date for the existing public body pension scheme” means the date determined under section31(2) of the Act by the public authority responsible for that scheme.
Commencement of active membership of this scheme
7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
PART 2 Exceptions to section 18(1) of the Act: full protection members of the PCSPS
Interpretation of Part
8 In this Part—
“active member of an existing public body pension scheme” has the meaning given in paragraph 6;
“active member of an existing scheme” has the meaning given in paragraph 5; and
“active member of the PCSPS” has the meaning given in paragraph 4.
Full protection members of the PCSPS
9 (1) A person (P) to whom any of paragraphs 12 to 17 applies is a full protection member of the PCSPS.
(2) P ceases to be a full protection member of the PCSPS on whichever of the following days occurs first—
(a) the day on which P ceases to be in pensionable service under the PCSPS unless sub-paragraph (3) or (4) applies; or
(b) 31st March 2022.
(3) This sub-paragraph applies if—
(a) P returns to service which is pensionable under the PCSPS from service which is pensionable under an existing scheme or an existing public body pension scheme; and
(b) P would have been a fully protected member of that existing scheme or existing public body pension scheme had P re-entered service which is pensionable under that scheme on the date P returns to service which is pensionable under the PCSPS.
(4) This sub-paragraph applies if—
(a) P returns to service which is pensionable under the PCSPS otherwise than from service which is pensionable under an existing scheme or an existing public body pension scheme; and
(b) P returns to service which is pensionable under the PCSPS after a gap in service not exceeding 5 years.
(5) If P returns to service which is pensionable under the PCSPS in circumstances where sub-paragraph (6) applies, P is a tapered protection member of the PCSPS when P returns to that service.
(6) This sub-paragraph applies if—
(a) P returns to service which is pensionable under the PCSPS from service which is pensionable under an existing scheme or an existing public body pension scheme; and
(b) P would have been a protected member of the existing scheme or existing public body pension scheme by virtue of an exception to which section 18(7)(a) and (b) of the Act (or that section as applied by section 31(4)) applies had P re-entered service which is pensionable under that scheme on the date P returns to service which is pensionable under the PCSPS.
(7) In this paragraph—
“exception” means–
in relation to an existing scheme, an exception under section 18(5) of the Act provided for in scheme regulations in relation to that scheme;
in relation to an existing public body pension scheme, an exception under section 31(4) of the Act provided for by the public authority responsible for that scheme;
“fully protected member” of an existing scheme or an existing public body scheme means a person in respect of whom an exception applies, which exception is one to which section 18(6) of the Act (or that section as applied by section 31(4)) applies for the purposes of that scheme.
(8) For the purpose of paragraph (4)(b), after the scheme closing date P is not on a gap in service while P is in pensionable public service.
Exception for full protection members during protection period
10 (1) The protection period for a person (P) who is a full protection member of the PCSPS is the period which—
(a) begins on the day after the scheme closing date (or if paragraph 15(3) applies, the day after the existing public body pension scheme closed to all members); and
(b) ends when P ceases to be a full protection member of the PCSPS (unless P is a tapered protection member by virtue of paragraph 9(5)).
(2) During the protection period—
(a) P is eligible to be in pensionable service under the PCSPS;
(b) section 18(1) of the Act does not apply in respect of that pensionable service; and
(c) benefits are to be provided under the PCSPS to or in respect of P in relation to that pensionable service.
Full protection member not eligible to join this scheme
11 While a person (P) is a full protection member of the PCSPS, P is not eligible to be an active member of this scheme.
Members of the PCSPS on scheme closing date
12 (1) This paragraph applies if sub-paragraph (2) or sub-paragraph (3) applies.
(2) This sub-paragraph applies if—
(a) P was an active member of the PCSPS on the scheme closing date and on 31stMarch2012; and
(b) P would, unless P dies, reach normal pension age under that scheme on or before 1stApril2022.
(3) This sub-paragraph applies if—
(a) P was an active member of an existing scheme other than the PCSPS or an existing public body pension scheme (“P’s transitional scheme”) on 31stMarch2012;
(b) P was an active member of the PCSPS on the scheme closing date; and
(c) P would, unless P dies, reach normal pension age under the PCSPS and P’s transitional scheme on or before 1stApril2022.
Pre-fresh start prison officers
13 (1) This paragraph applies if P was in service as a pre-fresh start prison officer under Section II of the PCSPS on—
(a) 31stMarch2012;
(b) the scheme closing date; and
(c) 1stApril 2015.
(2) For the purposes of this paragraph, P is in service as a pre-fresh start prison officer if P is in service as a prison officer to whom rule 2.27 of Section II of the PCSPS applies.
(3) In sub-paragraph (2), “in service as a prison officer” has the meaning given in rule 2.26 of Section II of the PCSPS.
Members of an existing scheme
14 (1) This paragraph applies if—
(a) P was an active member of an existing scheme other than the PCSPS or an existing public body pension scheme on the closing date for that scheme;
(b) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31st March 2012;
(c) P begins service which is pensionable under the PCSPS not more than 5 years after leaving pensionable service under an existing scheme other than the PCSPS;
(d) P would have been a fully protected member of the existing scheme referred to in paragraph (c) had P re-entered service which is pensionable under that scheme on the date P begins service which is pensionable under the PCSPS; and
(e) P would, unless P dies, reach normal pension age under the PCSPS and P’s transitional scheme on or before 1stApril2022.
(2) For the purposes of this paragraph—
(a) the closing date for an existing scheme is the date referred to in section 18(4)(a) or (b) of the Act, as applicable;
(b) the closing date for an existing public body pension scheme is the date determined under section31(2) of the Act by the public authority responsible for that scheme;
(c) “exception”, in relation to an existing scheme, means an exception under section 18(5) of the Act provided for in scheme regulations in relation to that scheme; and
(d) “fully protected member” of an existing scheme means a person in respect of whom an exception applies, which exception is one to which section 18(6) of the Act applies for the purposes of that scheme.
Members of an existing public body pension scheme
15 This paragraph applies if—
(a) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31st March 2012;
(b) P begins service which is pensionable under the PCSPS not more than 5 years after leaving pensionable service under an existing public body pension scheme; and
(c) P would, unless P dies, reach normal pension age under the PCSPS and P’s transitional scheme on or before 1st April 2022.
Fair Deal eligible persons transferred out on or before 31st March 2012
16 (1) This paragraph applies if—
(a) in the case of a person who is a section 1(4A) eligible person, sub-paragraphs (2), (3), (4) and (5) apply; or
(b) in the case of a person who is a civil servant or a person serving in an employment or office listed in Schedule 1 of the SA 1972, sub-paragraphs (2), (3) and (5) apply.
(2) This sub-paragraph applies if—
(a) P ceased to be an active member of the PCSPS on a date (P’s transfer date) on or before 31stMarch2012;
(b) P begins service which is pensionable under the PCSPS as—
(i) a section 1(4A) eligible person;
(ii) a civil servant; or
(iii) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
on a date (P’s re-joining date) after 31st March 2012; and
(c) Between P’s transfer date and P’s re-joining date—
(i) P was not eligible to be in pensionable service under the PCSPS and was continuously employed to carry out functions or services related to P’s pensionable service under the PCSPS before P’s transfer date; or
(ii) P was only eligible to be in pensionable service under the PCSPS as a result of a transfer of the transferred services, and during such period that P would have been eligible to be in pensionable service under the PCSPS as a result of the transfer P was–
(aa) an active member of the PCSPS; and
(bb) continuously employed to carry out the transferred services whilst P was eligible to be in pensionable service under the PCSPS.
(3) This sub-paragraph applies if P is an active member of the PCSPS as—
(a) a section 1(4A) eligible person;
(b) a civil servant; or
(c) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
continuously after P’s re-joining date.
(4) This sub-paragraph applies if P is a Fair Deal eligible person.
(5) This sub-paragraph applies if P would, unless P dies, reach normal pension age under the PCSPS before 2ndApril2022.
(6) In this paragraph—
“continuously” means without a gap of any period;
“the transferred services” has the meaning given in regulation 16 (Fair Deal eligible persons).
Fair Deal eligible persons transferred out after 31st March 2012
17 (1) This paragraph applies if—
(a) in the case of a person who is a section 1(4A) eligible person, sub-paragraphs (2), (3), (4) and (5) apply; or
(b) in the case of a person who is a civil servant or a person serving in an employment or office listed in Schedule 1 of the SA 1972, sub-paragraphs (2), (3) and (5) apply.
(2) This sub-paragraph applies if—
(a) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31stMarch2012;
(b) P ceased to be an active member of the PCSPS or of this scheme on a date (P’s transfer date) after 31st March 2012;
(c) P was an active member of an existing scheme or an existing public body pension scheme throughout the period between 31st March 2012 and P’s transfer date;
(d) P begins service which is pensionable under the PCSPS as—
(i) a section 1(4A) eligible person;
(ii) a civil servant; or
(iii) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
on a date (P’s re-joining date) after P’s transfer date; and
(e) Between P’s transfer date and P’s re-joining date—
(i) P was not eligible to be in pensionable service under the PCSPS and was continuously employed to carry out functions or services related to P’s pensionable service under the PCSPS before P’s transfer date; or
(ii) P was only eligible to be in pensionable service under the PCSPS as a result of a transfer of the transferred services, and during such period that P would have been eligible to be in pensionable service under the PCSPS as a result of the transfer P was–
(aa) an active member of the PCSPS; and
(bb) continuously employed to carry out the transferred services whilst P was eligible to be an active member of the PCSPS.
(3) This sub-paragraph applies if P is an active member of the PCSPS as—
(a) a section 1(4A) eligible person;
(b) a civil servant; or
(c) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
continuously after P’s re-joining date.
(4) This sub-paragraph applies if P is a Fair Deal eligible person.
(5) This sub-paragraph applies if P would, unless P dies, reach normal pension age under the PCSPS and P’s transitional scheme before 2ndApril2022.
(6) In this paragraph—
“continuously” means without a gap of any period;
“the transferred services” has the meaning given in regulation 16 (Fair Deal eligible persons).
PART 3 Exceptions to section 18(1) of the Act: tapered protection members of the PCSPS
Interpretation of Part
18 In this Part—
“active member of an existing public body pension scheme” has the meaning given in paragraph 6;
“active member of an existing scheme” has the meaning given in paragraph 5; and
“active member of the PCSPS” has the meaning given in paragraph 4.
Tapered protection members of the PCSPS
19 (1) A person (P) to whom any of paragraphs 22 to 27 applies is a tapered protection member of the PCSPS.
(2) P ceases to be a tapered protection member of the PCSPS on whichever of the following days occurs first—
(a) P’s tapered protection closing date; or
(b) the day on which P ceases to be in pensionable service under the PCSPS, unless sub-paragraph (3) or sub-paragraph (4) applies.
(3) This sub-paragraph applies if—
(a) Before P’s transition date P returns to service which is pensionable under the PCSPS from service which is pensionable under an existing scheme or an existing public body pension scheme; and
(b) P would have been a protected member of that existing scheme or existing public body pension scheme had P re-entered service which is pensionable under that scheme on the date P returns to service which is pensionable under the PCSPS.
(4) This sub-paragraph applies if—
(a) Before P’s transition date P returns to service which is pensionable under the PCSPS otherwise than from service which is pensionable under an existing scheme or an existing public body pension scheme; and
(b) P returns to service which is pensionable under the PCSPS after a gap in service not exceeding 5 years.
(5) In this paragraph—
“exception” means–
in relation to an existing scheme, an exception under section 18(5) of the Act provided for in scheme regulations in relation to that scheme;
in relation to an existing public body pension scheme, an exception under section 31(4) of the Act provided for by the public authority responsible for that scheme; and
(6) “protected member” of an existing scheme or an existing public body scheme means a person in respect of whom an exception applies for the purposes of that scheme.
(7) For the purpose of paragraph (4)(b), after the scheme closing date P is not on a gap in service while P is in pensionable public service.
Exception for tapered protection members during protection period
20 (1) The protection period for a tapered protection member of the PCSPS is the period which—
(a) begins on the day after the scheme closing date (or if paragraph 24(3) applies, the day after the day that the existing public body pension scheme closed to any further accrual by members of benefits under the scheme); and
(b) ends when P ceases to be a tapered protection member of the PCSPS.
(2) During the protection period—
(a) P is eligible to be in pensionable service under the PCSPS;
(b) section 18(1) of the Act does not apply in respect of that pensionable service; and
(c) benefits are to be provided under the PCSPS to or in respect of P in relation to that pensionable service.
Tapered protection member not eligible to join this scheme
21 While a person (P) is a tapered protection member of the PCSPS, P is not eligible to be an active member of this scheme.
Members of the PCSPS on scheme closing date
22 (1) This paragraph applies if sub-paragraph (2) or sub-paragraph (3) applies.
(2) This sub-paragraph applies if—
(a) P was an active member of the PCSPS on the scheme closing date and on 31stMarch2012; and
(b) P would, unless P dies, reach normal pension age under the PCSPS between 2ndApril2022 and 1stSeptember2025 (inclusive).
(3) This sub-paragraph applies if—
(a) P was an active member of an existing scheme other than the PCSPS, or of an existing public body pension scheme, (“P’s transitional scheme”) on 31stMarch2012;
(b) P was an active member of the PCSPS on the scheme closing date; and
(c) P would, unless P dies, reach normal pension age under—
(i) the PCSPS during the period beginning with 2ndApril2022 and ending with 1stSeptember2025; and
(ii) P’s transitional scheme on or before 1st September 2025.
Members of an existing scheme
23 (1) This paragraph applies if—
(a) P was an active member of an existing scheme other than the PCSPS or an existing public body pension scheme on the closing date for that scheme;
(b) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31st March 2012;
(c) P begins service which is pensionable under the PCSPS not more than 5 years after leaving pensionable service under an existing scheme other than the PCSPS;
(d) P would have been a protected member of the existing scheme referred to in paragraph (c) had P re-entered service which is pensionable under that scheme on the date P begins service which is pensionable under the PCSPS; and
(e) P would, unless P dies, reach normal pension age under—
(i) the PCSPS during the period beginning with 2nd April 2022 and ending with 1st September 2025; and
(ii) P’s transitional scheme on or before 1st September 2025.
(2) For the purposes of this paragraph—
(a) the closing date for an existing scheme is the date referred to in section 18(4)(a) or (b) of the Act, as applicable;
(b) the closing date for an existing public body pension scheme is the date determined under section 31(2) of the Act by the public authority responsible for that scheme;
(c) “exception”, in relation to an existing scheme, means an exception under section 18(5) of the Act provided for in scheme regulations in relation to that scheme; and
(d) “protected member of the existing scheme” means a person in respect of whom an exception applies for the purposes of that scheme.
Members of an existing public body pension scheme
24 This paragraph applies if—
(a) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31st March 2012;
(b) P begins service which is pensionable under the PCSPS not more than 5 years after leaving pensionable service under an existing public body pension scheme; and
(c) P would, unless P dies, reach normal pension age under—
(i) the PCSPS during the period beginning with 2nd April 2022 and ending with 1st September 2025; and
(ii) P’s transitional scheme on or before 1st September 2025.
Fair Deal eligible persons transferred out on or before 31st March 2012
25 (1) This paragraph applies if—
(a) in the case of a person who is a section 1(4A) eligible person, sub-paragraphs (2), (3), (4) and (5) apply; or
(b) in the case of a person who is a civil servant or a person serving in an employment or office listed in Schedule 1 of the SA 1972, sub-paragraphs (2), (3) and (5) apply.
(2) This sub-paragraph applies if—
(a) P ceased to be an active member of the PCSPS on a date (P’s transfer date) on or before 31stMarch2012;
(b) P begins service which is pensionable under the PCSPS as—
(i) a section 1(4A) eligible person;
(ii) a civil servant; or
(iii) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
on a date (P’s re-joining date) after 31st March 2012; and
(c) Between P’s transfer date and P’s re-joining date—
(i) P was not eligible to be in pensionable service under the PCSPS and was continuously employed to carry out functions or services related to P’s pensionable service under the PCSPS before P’s transfer date; or
(ii) P was only eligible to be in pensionable service under the PCSPS as a result of a transfer of the transferred services, and during such period that P would have been eligible to be in pensionable service under the PCSPS as a result of the transfer P was–
(aa) an active member of the PCSPS; and
(bb) continuously employed to carry out the transferred services whilst P was eligible to be in pensionable service under the PCSPS.
(3) This sub-paragraph applies if P is an active member of the PCSPS as—
(a) a section 1(4A) eligible person;
(b) a civil servant; or
(c) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
continuously after P’s re-joining date.
(4) This sub-paragraph applies if P is a Fair Deal eligible person.
(5) This sub-paragraph applies if P would, unless P dies, reach normal pension age under the PCSPS during the period beginning with 2ndApril2022 and ending with 1stSeptember2025.
(6) In this paragraph—
“continuously” means without a gap of any period;
“the transferred services” has the meaning given in regulation 16 (Fair Deal eligible persons).
Fair Deal eligible persons transferred out after 31st March 2012
26 (1) This paragraph applies if—
(a) in the case of a person who is a section 1(4A) eligible person, sub-paragraphs (2), (3), (4) and (5) apply; or
(b) in the case of a person who is a civil servant or a person serving in an employment or office listed in Schedule 1 of the SA 1972, sub-paragraphs (2), (3) and (5) apply.
(2) This sub-paragraph applies if—
(a) P was an active member of an existing scheme or an existing public body pension scheme (“P’s transitional scheme”) on 31stMarch2012;
(b) P ceased to be an active member of the PCSPS or of this scheme on a date (P’s transfer date) after 31st March 2012;
(c) P was an active member of an existing scheme or an existing public body pension scheme throughout the period between 31st March 2012 and P’s transfer date;
(d) P begins service which is pensionable under the PCSPS as—
(i) a section 1(4A) eligible person;
(ii) a civil servant; or
(iii) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
on a date (P’s re-joining date) after P’s transfer date; and
(e) Between P’s transfer date and P’s re-joining date—
(i) P was not eligible to be in pensionable service under the PCSPS and was continuously employed to carry out functions or services related to P’s pensionable service under the PCSPS before P’s transfer date; or
(ii) P was only eligible to be in pensionable service under the PCSPS as a result of a transfer of the transferred services, and during such period that P would have been eligible to be in pensionable service under the PCSPS as a result of the transfer P was–
(aa) an active member of the PCSPS; and
(bb) continuously employed to carry out the transferred services whilst P was eligible to be in pensionable service under the PCSPS.
(3) This sub-paragraph applies if P is an active member of the PCSPS as—
(a) a section 1(4A) eligible person;
(b) a civil servant; or
(c) a person serving in an employment or office listed in Schedule 1 of the SA 1972,
continuously after P’s re-joining date.
(4) This sub-paragraph applies if P is a Fair Deal eligible person.
(5) This sub-paragraph applies if, P would, unless P dies, reach normal pension age under—
(i) the PCSPS during the period beginning with 2ndApril2022 and ending with 1stSeptember2025; and
(ii) P’s transitional scheme on or before 1stSeptember2025.
(6) In this paragraph—
“continuously” means without a gap of any period;
“the transferred services” has the meaning given in regulation 16 (Fair Deal eligible persons).
Tapered protection members of an existing scheme or an existing public body pension scheme
27 (1) This paragraph applies if—
(a) paragraph 14 or 15 of this Schedule would have applied but for the fact that P would not have been a fully protected member of the existing scheme or existing public body pension scheme referred to in paragraph 14(1)(c) or 15(2)(c), as applicable (“the transferring scheme”) on the date P begins service which is pensionable under the PCSPS; and
(b) P would have been a protected member of the transferring scheme by virtue of an exception to which section 18(7)(a) and (b) of the Act (or that section as applied by section 31(4)) applies had P re-entered service which is pensionable under the transferring scheme on the date P returns to service which is pensionable under the PCSPS.
(2) In this paragraph—
“exception” means–
in relation to an existing scheme, an exception under section 18(5) of the Act provided for in scheme regulations in relation to that scheme;
in relation to an existing public body pension scheme, an exception under section 31(4) of the Act provided for by the public authority responsible for that scheme; and
“fully protected member” of an existing scheme or an existing public body scheme means a person in respect of whom an exception applies, which exception is one to which section 18(6) of the Act (or that section as applied by section 31(4)) applies for the purposes of that scheme.
PART 4 Option for tapered protection members of the PCSPS
Option to begin pensionable service before the transition date
28 (1) This paragraph applies in relation to a tapered protection member (P) of the PCSPS who is in pensionable service in the PCSPS at any time during—
(a) the period beginning with 15th August 2014 and ending with 30th September 2014; or
(b) any other period determined by the scheme manager.
(2) Not later than 31stOctober2014 (or within any longer period determined by the scheme manager), the scheme manager may offer P the option to begin pensionable service under this scheme on the day after the scheme closing date.
(3) If P does not exercise the option within 2 months after the date of the offer (or within any longer period determined by the scheme manager), P begins pensionable service under this scheme on P’s transition date.
PART 5 Payment of ill-health benefits to transition members with continuity of service
Transition member who has not reached normal pension age under the PCSPS
29 (1) This paragraph applies in relation to a transition member with continuity of service who—
(za) is not a person in relation to whom paragraph 29B applies;
(a) becomes entitled to an ill-health pension under this scheme; and
(b) has not reached normal pension age under the PCSPS.
(2) If this paragraph applies—
(a) an ill-health pension and lump sum are not payable under the PCSPS;
(b) an ill-health pension is payable under this scheme in accordance with this paragraph; and
(c) the member becomes a deferred member of the PCSPS.
(3) If the member meets the lower tier payment threshold only—
(a) the annual rate of ill-health pension payable under this scheme is the sum of–
(i) the annual rate of a lower tier earned pension payable under this scheme; and
(ii) the annual rate of full retirement earned pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member at normal pension age under the PCSPS; and
(b) the member (“M”) is entitled to payment of a lump sum of the amount of the lump sum that would, had M been entitled to payment of an ill-health pension under the PCSPS, been payable to M under the rules of the PCSPS applicable to M.
(4) Subject to sub-paragraphs (4A) and (4B) and paragraph 29A, if the member meets the upper tier payment threshold—
(a) the annual rate of ill-health pension payable under this scheme is the sum of–
(i) the annual rate of a lower tier earned pension payable under this scheme;
(ii) the annual rate of an upper tier top up earned pension payable under this scheme; and
(iii) the annual rate of full retirement earned pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member at normal pension age under the PCSPS; and
(b) the member (“M”) is entitled to payment of a lump sum of the amount of the lump sum that would, had M been entitled to payment of an ill-health pension under the PCSPS, been payable to M under the rules of the PCSPS applicable to M.
(4A) Where the conditions in sub-paragraph (4B) are met, the annual rate of an upper tier top up earned pension payable under this scheme is determined in accordance with paragraph 29A.
(4B) The conditions are—
(a) In the period of 12 months beginning with the day on which M became an active member of this scheme—
(i) M was on a period of unpaid sick leave; or
(ii) M was on a period of sick leave on reduced pay in respect of which M was paid at a rate determined by M’s employer to be appropriate because it is equivalent to the annual rate of an ill-health pension;
(b) The latest period of leave mentioned in sub-paragraph (a) ended less than 12 months before M became entitled to an ill-health pension under this scheme.
(5) If, after the ill-health pension becomes payable under this paragraph, a transfer payment is made from the PCSPS in respect of the member’s rights under that scheme, the scheme manager must deduct from the amount of ill-health pension payable under this paragraph in respect of service in the PCSPS an amount which is equal to the value of the pension represented by that transfer payment.
(6) If the full retirement account specifies an amount of full retirement added pension of any description, the following pensions are payable with the lower tier earned pension—
(a) the annual rate of full retirement added pension of that description payable under this scheme; and
(b) the annual rate of full retirement added pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member with that pension under the PCSPS.
(7) The amount of pension payable under this paragraph which represents the amount that would have been payable under the PCSPS is subject to the same conditions, and ceases to be payable in the same circumstances, as the pension to which the member would have been entitled under the PCSPS in accordance with the rules of that scheme.
(8) In this paragraph—
(a) a reference to the annual rate of a full retirement earned pension payable under the PCSPS means the annual pension payable under the following provisions–
(i) if the member was an active member of Section I of the PCSPS before becoming an active member of this scheme, rule D1 of that Section;
(ii) if the member was an active member of Section II of the PCSPS before becoming an active member of this scheme, rules 3.1 to 3.3a of that Section;
(iii) if the member was an active member of Section III of the PCSPS before becoming an active member of this scheme, rule E.2 of that Section;
(b) a reference to full retirement added pension payable under the PCSPS means added pension payable under the following provisions–
(i) if the member was an active member of Section I of the PCSPS before becoming an active member of this scheme, rule C1.11 of that Section;
(ii) if the member was an active member of Section II of the PCSPS before becoming an active member of this scheme, rule 14.13 of that Section;
(iii) if the member was an active member of Section III of the PCSPS before becoming an active member of this scheme, rule E.2 of that Section; and
(c) a reference to an ill-health pension payable under the PCSPS means a pension payable under the following provisions–
(i) if the member was an active member of Section I of the PCSPS before becoming an active member of this scheme, rule D4 of that Section;
(ii) if the member was an active member of Section II of the PCSPS before becoming an active member of this scheme, rules 3.4 to 3.7 of that Section;
(iii) if the member was an active member of Section III of the PCSPS before becoming an active member of this scheme, rules E.7 to E.9 of that Section.
29A. (1) Where this paragraph applies, the annual rate of upper tier top up earned pension payable under this scheme is the greater of the annual rates of upper tier top up earned pension calculated in accordance with—
(a) regulation 76; and
(b) sub-paragraph (2).
(2) The annual rate of upper tier top up earned pension calculated in accordance with this sub-paragraph is calculated in the same way as the annual rate of full retirement earned pension is calculated under regulation 61, but—
(a) the references to the member’s full retirement earned pension are taken to be references to the enhancement fraction of the deemed pension; and
(b) the early payment reduction is not subtracted.
(3) In this paragraph—
“deemed pension” means the amount of earned pension the member would have accrued in the member’s deemed period of pensionable service if the circumstances in paragraph 29(4B)(a) had not applied;
“the enhancement fraction” is—
A/B
where—
A is the member’s assumed period of pensionable service; and
B is the shorter of—
the member’s deemed period of pensionable service;
the number of scheme years in relation to which an amount of earned pension was specified in the active member’s account, or would have been if the circumstances in paragraph 29(4B)(a) had not applied;
“the member’s assumed period of pensionable service” means the period (expressed in years)—
beginning with the day after the member’s period of service ceased; and
ending with—
for a member employed for a fixed term, the day with which that term ends; or
for a member otherwise employed, the day before the day on which the member will reach prospective normal pension age (assuming that the member lives until that age);
“the member’s deemed period of pensionable service” means the period (expressed in years)—
beginning with the day the member became an active member of this scheme; and
ending with the day on which the member became entitled to an ill-health pension under this scheme.
Transition member who made an application for ill-health pension under the PCSPS on or before 31st March 2022 which is determined after that date
29B. (1) This paragraph applies in relation to a transition member (“M”)—
(a) with continuity of service;
(b) who before 1st April 2022—
(i) had made an application for an ill-health pension under the PCSPS or this scheme (their “ill-health pension application”); and
(ii) had not reached normal pension age under that scheme;
(c) whose ill-health pension application is determined on or after 1st April 2022; and
(d) who either—
(i) would have been entitled to payment of an ill-health pension under the PCSPS if their ill-health pension application had been determined on 31st March 2022, or
(ii) made the application during a period of remediable service within the meaning given in section 1 of PSPJOA 2022.
(2) Where this paragraph applies—
(a) an ill-health pension and lump sum are not payable under the PCSPS;
(b) an ill-health pension is payable under this scheme in accordance with this paragraph;
(c) M becomes a deferred member of the PCSPS;
(d) M is entitled to payment of a lump sum of the amount which would have been payable to M under the PCSPS.
(3) Where M was not a member of Section II of the PCSPS immediately before 1st April 2022 and—
(a) M would have met a payment threshold in the PCSPS and M meets the equivalent payment threshold in this scheme, the annual rate of ill-health pension payable under this scheme in respect of the payment threshold is the greater of—
(i) the rate calculated in accordance with paragraph 29(3) (in respect of the lower tier payment threshold) or, if it applies, (4) (in respect of the upper tier payment threshold); and
(ii) the rate which would have been payable to M under the PCSPS in respect of that payment threshold; or
(b) M would have met a payment threshold in the PCSPS and M does not meet the equivalent payment threshold in this scheme, the annual rate of ill-health pension payable under this scheme in respect of the payment threshold is the rate which would have been payable to M under the PCSPS in respect of that payment threshold.
(4) Where M was a member of Section II of the PCSPS immediately before 1st April 2022, the annual rate of ill-health pension payable under this scheme is—
(a) where M meets a payment threshold in this scheme, the greater of—
(i) the rate calculated in accordance with paragraph 29(3) (in respect of the lower tier payment threshold) or, if it applies, (4) (in respect of the upper tier payment threshold); and
(ii) the rate which would have been payable to M under the PCSPS; or
(b) where M does not meet a payment threshold in this scheme, the rate which would have been payable to M under the PCSPS.
(5) If the full retirement account specifies an amount of full retirement added pension of any description, the rate payable is the annual rate of full retirement added pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member with that pension under the PCSPS.
(6) Any rate or amount payable under this paragraph which is determined by reference to a rate or an amount that would have been payable under the PCSPS is subject to the same conditions, and ceases to be payable in the same circumstances, as the rate or amount which would have been payable under the PCSPS in accordance with the rules of that scheme.
(7) The following provisions of the PCSPS apply in relation to a transition member with continuity of service who is receiving payment of an ill-health pension in accordance with this paragraph as they apply in relation to such a member who is receiving payment of an ill-health pension in accordance with paragraph 29—
(a) rule N.9 of Section I;
(b) rule 18.13 of Section II;
(c) rule M.9 of Section III.
(8) In this paragraph—
(a) the question of whether M would have met a payment threshold in the PCSPS is the question of whether M would have met the lower tier payment threshold or the upper tier payment threshold in the PCSPS if their ill-health pension application had been determined on 31st March 2022;
(b) M only meets a payment threshold in this scheme if, in addition to meeting the criteria for that threshold, M would be entitled to payment of an ill-health pension under this scheme (disregarding this paragraph);
(c) a reference to an amount or a rate which would have been payable to M under the PCSPS is a reference to the amount or the rate which would have been payable to M under the PCSPS if their ill health application had been determined on 31st March 2022;
(d) terms which are defined for the purpose of paragraph 29 have the same meaning as in that paragraph;
(e) “PSPJOA 2022” means the Public Service Pensions and Judicial Offices Act 2022.
Transition member who has reached normal pension age under the PCSPS
30 (1) This paragraph applies in relation to a transition member with continuity of service who is receiving payment of an ill-health pension in accordance with paragraph 29.
(2) When the member reaches normal pension age under the PCSPS—
(a) the benefits payable under paragraph 29 in respect of service in the PCSPS cease to be payable under this scheme; ...
(b) the member becomes entitled under the PCSPS to the immediate payment of a full retirement earned pension within the meaning of paragraph 29, in accordance with the rules of that scheme ; and
(c) no lump sum is payable to the member under the PCSPS.
(3) In calculating the annual rate of full retirement earned pension payable under the PCSPS for the purposes of sub-paragraph (2)(b), the following are subtracted—
(a) the commutation amount (if any) , to the extent that it relates to pension payable under paragraph 29(3)(a)(ii) and 29(4)(a)(iii)
(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .; and
(c) an amount equal to any transfer payment made to another scheme before the member reached normal pension age under the PCSPS.
(4) Before the amounts in sub-paragraph (3)(a) and (b) are subtracted they must be increased by the amount by which the annual rate of a pension of that amount would have been increased under PIA1971 if—
(a) that pension was eligible to be so increased; and
(b) the beginning date for that pension was the date that ill-health pension became payable under this scheme.
PART 6 Payment of death benefits in respect of transition members with continuity of service
Annual rate of surviving adult’s pensions payable under this scheme when a transition member dies in service
31 (1) This paragraph applies in relation to a transition member with continuity of service—
(a) who dies as an active member of this scheme; and
(b) whose period of service is at least 12 months.
(2) Benefits for surviving spouses, surviving civil partners or other adult dependants are not payable under the PCSPS in respect of the member.
(3) The annual rate of dependant’s earned pension payable under regulation 107(3)(a) is the sum of—
(a) the amount calculated under regulation 110 including the additional amount under regulation110(5)(b) for a transition member with continuity of service; and
(b) the amount of annual pension which would have been payable under the PCSPS to the member’s surviving spouse, surviving civil partner or other adult dependant had those benefits been payable under the PCSPS in respect of the member.
(4) The amount of pension payable in accordance with sub-paragraph (3) which represents the amount that would have been payable under the PCSPS is subject to the same conditions, and ceases to be payable in the same circumstances, as the pension to which the member’s surviving spouse, surviving civil partner or other adult dependant would have been entitled under the PCSPS in accordance with the rules of that scheme.
(5) In this paragraph, “period of service” means—
(a) the member’s continuous period of pensionable service under this scheme; and
(b) the member’s pensionable service under the PCSPS before the transition date for that member.
Annual rate of eligible child’s pension payable under this scheme when a transition member dies in service
32 (1) This paragraph applies in relation to a transition member with continuity of service—
(a) who dies as an active member of this scheme; and
(b) whose period of service is at least 12 months.
(2) Benefits for eligible children are not payable under the PCSPS in respect of the member.
(3) The annual rate of child’s earned pension payable under regulation 114(4)(a) is the sum of—
(a) the annual rate of child’s earned pension calculated under regulation 115 (annual rate of eligible child’s pension); and
(b) the amount of annual pension which would have been payable under the PCSPS to any eligible children of the member had those benefits been payable under the PCSPS in respect of the member.
(4) The amount of pension payable in accordance with sub- paragraph (3) which represents the amount that would have been payable under the PCSPS is subject to the same conditions, and ceases to be payable in the same circumstances, as the pension to which the eligible child would have been entitled under the PCSPS in accordance with the rules of that scheme.
(5) In this paragraph, “period of service” means—
(a) the member’s continuous period of pensionable service under this scheme; and
(b) the member’s pensionable service under the PCSPS before the transition date for that member.
Death in service lump sum
33 (1) This paragraph applies in relation to a transition member with continuity of service who dies in service within the meaning of regulation 130 (death in service).
(2) On the death of the member—
(a) a lump sum death benefit is payable under regulation 130; but
(b) a death in service lump sum death benefit is not payable under the PCSPS.
(3) Where the member was an active member of Section I of the PCSPS before becoming an active member of this scheme, the member is entitled to an additional payment calculated in accordance with the table.
(4) In the table, “final pay” means the member’s final pay calculated under regulation 128 (meaning of “final pay”).
Member dies in scheme year beginning on | Additional payment
1stApril 2015 | 1 x final pay
1stApril 2016 | 0.9 x final pay
1stApril 2017 | 0.8 x final pay
1stApril 2018 | 0.7 x final pay
1stApril 2019 | 0.6 x final pay
1stApril 2020 | 0.5x final pay
1stApril 2021 | 0.4 x final pay
1stApril 2022 | 0.3 x final pay
1stApril 2023 | 0.2 x final pay
1stApril 2024 | 0.1 x final pay
1stApril 2025 or any subsequent 1stApril | 0 x final pay
Death out of service lump sum
34 (1) For the purpose of payment of death benefits, a transition member with continuity of service who dies as a deferred member or pensioner member of this scheme dies out of service under this scheme and the PCSPS.
(2) On the death of a deferred member or pensioner member of this scheme—
(a) if regulation 131 (death out of service) applies to the member, a lump sum death benefit is payable under that regulation; and
(b) if the member is a deferred member or pensioner member of the PCSPS and the conditions for payment of a death out of service lump sum death benefit under the rules of the PCSPS are met, a death out of service lump sum death benefit is payable under the PCSPS.
PART 7 Transitional provisions relating to the PCSPS
Pensionable service under the PCSPS
35 (1) This paragraph applies in relation to a transition member with continuity of service (T) who is in pensionable service under this scheme.
(2) The following provisions of the PCSPS continue to apply after the closing date as if T continued in pensionable service under that scheme—
(a) the provisions relating to payment of contributions for added pension and added years; and
(b) if T is a member of Section III of the PCSPS, the provisions in that Section relating to the indexation of pension accounts for an active member.
(3) In determining whether T qualifies under the PCSPS for retirement benefits (other than an ill-health pension), T’s pensionable service under that scheme terminates when T’s pensionable service under this scheme terminates.
(4) in determining T’s final salary for any purposes of the PCSPS under Schedule 7 (final salary link) to the Act, pensionable earnings derived from service under this scheme are to be regarded as derived from service under the PCSPS.
Ill-health retirement certificate not given
36 (1) This paragraph applies if a member of the PCSPS (or the member’s employer on behalf of the member)—
(a) claimed payment of an ill-health pension under that scheme before the member’s transition date; and
(b) the pension does not become payable before the member’s transition date.
(2) If the member is not entitled to immediate payment of an ill-health pension under the PCSPS, the member joins this scheme on whichever is the later of—
(a) the member’s transition date; and
(b) the day after all relevant appeal rights in relation to the scheme medical adviser’s decision not to give an ill-health retirement certificate are exhausted.
(3) In this paragraph—
“all relevant appeal rights” includes the member’s appeal rights under section 11.10 of the Civil Service Management Code issued under Part 1 of the Constitutional Reform and Governance Act2010; and
“ill-health retirement certificate” means a certificate given by the scheme medical adviser under the PCSPS stating that, in the opinion of the scheme medical adviser, the member has suffered a permanent breakdown in health involving incapacity for employment or total incapacity for employment.
Deferred membership of the PCSPS
37 (1) A transition member with continuity of service (T) does not become a deferred member of the PCSPS unless T becomes a deferred member of this scheme.
(2) If T opts out of this scheme in relation to service in a scheme employment and T has at least 2 years’ qualifying service—
(a) T becomes a deferred member of the PCSPS in relation to that service; and
(b) any periodical payments for added pension or added years paid under the PCSPS cease to be payable.
(3) If T re-enters pensionable service under this scheme after a gap in service not exceeding 5 years, T ceases to be a deferred member of the PCSPS.
(4) After the scheme closing date T is not on a gap in service while T is in service which is pensionable under an existing scheme, an existing public body pension scheme, a scheme under section 1 of the Act or a new public body pension scheme.
Repayment of contributions under the PCSPS
38 If a transition member with continuity of service (T) opts out of this scheme and T has less than 2 years’ qualifying service—
(a) T must be repaid members’ contributions paid under the PCSPS; and
(b) any periodical payments for added pension or added years paid under the PCSPS cease to be payable.
Qualifying for retirement benefits under the PCSPS
39 In determining whether a transition member with continuity of service qualifies for retirement benefits under the PCSPS, the member’s qualifying service includes the total of—
(a) the member’s qualifying service under the PCSPS; and
(b) the member’s qualifying service under this scheme.
Final salary link not to apply again to a pension in payment
40 Where any element of a pension under the PCSPS which is in payment has been calculated by reference to Schedule 7 (final salary link) to the Act, that element of the pension is not recalculated by reference to Schedule 7 in consequence of a subsequent period of pensionable public service (within the meaning of paragraph 3 of Schedule 7 to the Act) unless the further period of pension is aggregated under the rules of the PCSPS applicable to the member.
PART 8 Miscellaneous transitional provisions
Declaration continues to have effect
41 (1) This paragraph applies if a transition member with continuity of service has not made a declaration under these Regulations that another adult is the dependant of the member for the purpose of death benefits under this scheme.
(2) An existing declaration has effect as if made under these Regulations until the transition member makes a declaration under these Regulations.
(3) In this paragraph, “existing declaration” means a declaration which—
(a) was made for the purpose of the PCSPS; and
(b) as at the closing date, had effect under that scheme.
Nomination under the PCSPS continues to have effect
42 (1) This paragraph applies if a transition member with continuity of service has not nominated a person under these Regulations to receive a lump sum death benefit under this scheme.
(2) An existing nomination has effect as if made under these Regulations until the transition member makes a nomination under these Regulations.
(3) In this paragraph, “existing nomination” means a nomination which—
(a) was made for the purpose of the PCSPS; and
(b) as at the closing date, had effect under that scheme.
PART 9 Transfer of final salary benefits
Meaning of “final salary benefit”
43 (1) In this Part, “final salary benefit” means benefit accrued under a final salary scheme, subject to sub-paragraph (2).
(2) Where only part of the pension entitlement payable under a final salary scheme to or in respect of a person which is based on the pensionable service of that person is or may be determined by reference to the person’s final salary, “final salary benefit” means the benefit in respect of which the pension entitlement is so determined.
Acceptance of club transfer value payments and bulk transfers
44 (1) If, in circumstances where regulation 156 applies, the special terms agreed for the acceptance of transfer payments require such part of a transfer value payment as relates to a member’s final salary benefit to be paid into the PCSPS, that part of the transfer value payment must be paid into the PCSPS.
(2) Any part of a club transfer value payment from another scheme that relates to a member’s final salary benefit must be paid into the PCSPS.
Member of this scheme or the PCSPS
45 (1) This paragraph applies to a person who transfers final salary benefits into the PCSPS.
(2) Unless the person is a protected member of the PCSPS, the person’s service which has been transferred into the PCSPS is taken to be qualifying service for the purposes of this scheme and the person—
(a) becomes a member of this scheme; and
(b) is taken to be a transition member with continuity of service.
(3) If the person is a protected member of the PCSPS, the scheme manager must determine, by reference to the rules of the PCSPS, which Section of the PCSPS the person joins.
PART 10 Civil Service Compensation Scheme
Quarantine
46 (1) This paragraph applies if—
(a) a member (P) left service in an employment to which the Civil Service Compensation Scheme applies in circumstances where P received benefits under rule 2.2, 2A.3, 3.1, 3.2A or 7.2 of the Civil Service Compensation Scheme which were enhanced to take account of a period after P left service (“the period of prospective service”);
(b) P subsequently begins service in a scheme employment; and
(c) the period beginning with the day after P’s last day of service as referred to in paragraph (a) and ending with the day before P subsequently begins service as referred to in paragraph (b) is less than the period of prospective service.
(2) During the period of prospective service—
(a) P does not accrue any earned pension under this scheme; and
(b) the rules of the PCSPS apply, with the exception of rules relating to payment of contributions by the employer and the member.
(3) Despite sub-paragraph (2)—
(a) P is treated as an active member of this scheme during the period of prospective service; and
(b) the period of prospective service counts as qualifying service.
SCHEDULE 3 The Partnership Pension Account Ill-Health Benefits Arrangements
Regulation 183
PART 1 Preliminary
Interpretation - general
1. In this Schedule—
“the 2002 Section” means Section I of the PCSPS;
“the 2007 Section” means Section III of the PCSPS;
“alpha” means the scheme established by regulation 3;
“eligible service” has the meaning given in paragraph 2;
“final pensionable earnings” has the meaning given in paragraph 3;
“ill-health benefits” in relation to a person means benefits payable in the event of the person’s ill-health;
“incapacity for employment” has the meaning given in paragraph 4;
“partnership ill-health benefits arrangements” means the arrangements for payment of ill-health benefits set out in this Schedule or in the scheme made under section 1 of SA 1972 which provided for ill-health benefits for persons who have a partnership pension account;
“permanent breakdown in health” has the meaning given in paragraph 5; and
“qualifying partnership service” has the meaning given in paragraph 6.
Meaning of “eligible service”
2. (1) In this Schedule, “eligible service” in relation to a person to whom this Schedule applies (P) means the aggregate of the periods of service (expressed in years) referred to in sub-paragraph (2) which fall within P’s current period of scheme employment to which sub-paragraph (3) applies.
(2) The periods referred to in this sub-paragraph are—
(a) any period of service during which P has a partnership pension account to which P’s employer is paying contributions;
(b) any period which counts as qualifying service under the 2002 Section or the 2007 Section which is qualifying partnership service in relation to P; and
(c) any period during which P is in pensionable service under alpha which is qualifying partnership service in relation to P.
(3) This sub-paragraph applies to a period of service in scheme employment in respect of which P—
(a) receives pensionable earnings; or
(b) is treated as receiving assumed pay.
(4) If a person (P) to whom this Schedule applies is in part-time service at any time during the periods referred to in sub-paragraph (2), the eligible service in respect of the period during which P is in part-time service is—
A(N×52.2)years
where–
A is the number of hours of P’s part-time service in the period in question (excluding meal breaks, unless they are paid for part-time staff); and
N is the number of weekly full-time conditioned hours in the period in question for a person in the same grade as P (excluding meal breaks unless they are paid for part-time staff).
(5) If the number of weekly full-time conditioned hours varies during the period in question, the calculation in sub-paragraph (4) must be made separately for each period within the period of part-time service in question during which that number remains the same.
Meaning of “final pensionable earnings”
3. (1) In this Schedule, “final pensionable earnings” in relation to a person (P) to whom this Schedule applies means the greater of—
(a) P’s permanent pensionable earnings in the 12 months ending on the last day of P’s eligible service; and
(b) P’s permanent pensionable earnings in one of the last two complete scheme years ending on or before the last day on which P was in scheme employment.
(2) This sub-paragraph applies where—
(a) P’s last day of eligible service is after 29th July 2007;
(b) P returned from unpaid leave or unpaid absence during the 12 months ending with P’s last day of eligible service;
(c) P was in scheme employment during the whole of the period of 12 months ending with P’s last day of eligible service; and
(d) during the period of unpaid leave or unpaid absence referred to in paragraph (b) P did not have a partnership pension account to which P’s employer was paying contributions.
(3) Where sub-paragraph (2) applies, the period of 12 months referred to in sub-paragraph (1)(a) shall be taken as being the period of 365 days plus the number of days during the period of unpaid leave or unpaid absence referred to in sub-paragraph (2)(b).
(4) If the period of 365 days referred to in sub-paragraph (3) includes 29th February, that sub-paragraph has effect with the substitution for “365” of “366”.
(5) For the purpose of sub-paragraph (1), P’s permanent pensionable earnings for any period include any assumed pay which P is treated as receiving during that period.
(6) If P was in part-time service during any period which is relevant for the purpose of sub-paragraph (1), P’s final pensionable earnings are calculated as if P received the full-time rate during that period.
(7) If P was not in scheme employment during the whole of the 12 month period referred to in sub-paragraph (1)(a), that sub-paragraph applies as if it referred to P’s annualised permanent pensionable earnings in P’s latest period of scheme employment ending with P’s last day of eligible service.
(8) For the purposes of sub-paragraph (7), P’s annualised permanent pensionable earnings for a period are—
PPE×365N
where–
PPE is P’s permanent pensionable earnings for the period; and
N is the number of days in the period.
(9) If the period referred to in sub-paragraph (8) includes 29th February, sub-paragraph (8) has effect with the substitution for “365” of “366”.
(10) Only pensionable earnings in P’s latest continuous period of service in scheme employment are to be taken into account for the purposes of sub-paragraph (1)(a) and (b).
(11) In sub-paragraph (10), “continuous period of service in scheme employment” means a period of service in scheme employment disregarding any gap in service in scheme employment not exceeding 6 months.
Meaning of “incapacity for employment”
4. In this Schedule, a person’s breakdown in health involves “incapacity for employment” if the scheme medical adviser is of the opinion that as a result of the breakdown the person is incapable of doing the person’s own or a comparable job.
Meaning of “permanent breakdown in health”
5. In this Schedule, a person’s breakdown in health is “permanent” if the scheme medical adviser is of the opinion that the breakdown will continue until the person reaches pension age.
Meaning of “qualifying partnership service”
6. In this Schedule, “qualifying partnership service” means the aggregate of the following periods—
(a) any period beginning on or after 1st October 2002 falling within a person’s latest period of scheme employment during which the person has a partnership pension account (regardless of whether the person’s employer pays contributions);
(b) any period which counts as qualifying service under the 2002 Section or the 2007 Section provided that the last day of such period was immediately before the person held a partnership pension account;
(c) where a person (P) was in pensionable service under alpha immediately before P held a partnership pension account—
(i) any period during which P was in pensionable service under alpha provided that the last day of such period was immediately before P held a partnership pension account; and
(ii) any period which counts as qualifying service under the 2002 Section or the 2007 Section provided that the last day of such period was immediately before P’s period of qualifying partnership service within paragraph (i); and
(d) in the case of a person who is transferred to scheme employment without the person’s consent and who has a partnership pension account immediately after that transfer, the whole of the period during which that person was an active member of an occupational pension scheme in the person’s employment immediately prior to the transfer.
Calculation of periods of service
7. Where this Schedule provides for a period of service to be expressed in years, regulation 176 applies for the purposes of this Schedule.
PART 2 Application
Persons to whom this Schedule applies
8. Subject to paragraph 9, this Schedule applies to any person who—
(a) has a partnership pension account;
(b) has at least two years’ qualifying partnership service;
(c) is under normal pension age; and
(d) is in service in a scheme employment immediately prior to the termination of the person’s service in accordance with paragraph 11(2)(b).
Exclusions from Schedule application
9. This Schedule does not apply to a person (P) if—
(a) the terms of P’s employment provide that the partnership ill-health benefits arrangements do not apply to P;
(b) P’s employer has made alternative provision for ill-health benefits for P;
(c) P’s employer is not making payments to the scheme manager for the arrangements for payment of ill-health benefits set out in this Schedule to apply to P; or
(d) P opts for the partnership ill-health benefits arrangements not to apply to P.
Application of Schedule following transfer of employment
10. Where a person (P) becomes a person to whom this Schedule applies as a result of a transfer of employment, the scheme manager may apply the rules of this Schedule to P with any modifications the scheme manager considers necessary to reflect—
(a) any terms and conditions of P’s employment relating to ill-health benefits which continue to have effect after the transfer; or
(b) any undertaking given by a Minister of the Crown about the ill-health benefits payable to P.
PART 3 Ill-health benefits
Entitlement to ill-health benefits
11. (1) A person to whom this Schedule applies is entitled to a lump sum calculated in accordance with paragraph 12 if the conditions in sub-paragraph (2) are met.
(2) The conditions are—
(a) the person or the person’s employer has claimed payment of a lump sum under this scheme;
(b) the person’s employment has been terminated due to a breakdown in health; and
(c) the scheme medical adviser is of the opinion that the person has suffered a permanent breakdown in health involving incapacity for employment.
Calculation of ill-health benefits
12. The amount of the lump sum is equal to the lesser of the following amounts—
(a) 20% of the person’s final pensionable earnings multiplied by the length of the person’s eligible service (expressed in years);
(b) the person’s final pensionable earnings multiplied by 3; and
(c) for any person who is within 3 years of the person’s normal pension age, the person’s final pensionable earnings multiplied by 3 and reduced by 1/36 for each complete month of the person’s eligible service within that 3-year period.
False statements about ill-health
13. (1) Sub-paragraph (2) applies where—
(a) a lump sum has been awarded to a person (P) under this Schedule; and
(b) it subsequently appears to the scheme manager that P made a false declaration about P’s health or deliberately suppressed a material fact that was relevant to the award.
(2) The scheme manager may withhold the whole or part of the lump sum or recover any payment of the lump sum that has been made.
SCHEDULE 4 The Partnership Death Benefits Arrangements
Regulation 184
PART 1 Preliminary
Interpretation
1. In this Schedule—
“the 1972 Section” means Section II of the PCSPS;
“the 2002 Section” means Section I of the PCSPS;
“the 2007 Section” means Section III of the PCSPS;
“alpha” means the scheme established by regulation 3;
“death benefits” in relation to a person means benefits payable in the event of the person’s death;
“final pensionable earnings” has the meaning given in paragraph 2;
“last day of eligible service” in relation to a person (P) means the last day, during P’s current period of service in scheme employment, of P’s latest period of service during which P has a partnership pension account to which P’s employer is paying contributions; and
“partnership death benefits arrangements” means the arrangements for payment of death benefits set out in this Schedule or in the scheme made under section 1 of SA 1972 which provided for death benefits for persons who have a partnership pension account.
Meaning of “final pensionable earnings”
2. (1) In this Schedule, “final pensionable earnings” in relation to a person (P) to whom this Schedule applies means the greater of—
(a) P’s permanent pensionable earnings in the 12 months ending on P’s last day of eligible service; and
(b) P’s permanent pensionable earnings in one of the last 2 complete scheme years ending on or before the last day on which P was in scheme employment.
(2) This sub-paragraph applies where—
(a) P’s last day of eligible service is after 29th July 2007;
(b) P returned from unpaid leave or unpaid absence during the 12 months ending with P’s last day of eligible service;
(c) P was in scheme employment during the whole of the period of 12 months ending with P’s last day of eligible service; and
(d) during the period of unpaid leave or unpaid absence referred to in paragraph (b) P did not have a partnership pension account to which P’s employer was paying contributions.
(3) Where sub-paragraph (2) applies, the period of 12 months referred to in sub-paragraph (1)(a) shall be taken as being the period of 365 days plus the number of days during the period of unpaid leave or unpaid absence referred to in sub-paragraph (2)(b).
(4) If the period of 365 days referred to in sub-paragraph (3) includes 29th February, that paragraph has effect with the substitution for “365” of “366”.
(5) For the purpose of sub-paragraph (1), P’s permanent pensionable earnings for any period include any assumed pay which P is treated as receiving during that period.
(6) If P was in part-time service during any period which is relevant for the purpose of sub-paragraph (1), P’s final pensionable earnings are calculated by reference to P’s actual rate of pensionable earnings during that period.
(7) If P was not in scheme employment during the whole of the 12 month period referred to in sub-paragraph (1)(a), that sub-paragraph applies as if it referred to P’s annualised permanent pensionable earnings in P’s latest period of scheme employment ending with P’s last day of eligible service.
(8) For the purposes of sub-paragraph (7), P’s annualised permanent pensionable earnings for a period are—
PPE×365N
where–
PPE is P’s permanent pensionable earnings for the period; and
N is the number of days in the period.
(9) If the period referred to in sub-paragraph (8) includes 29th February, sub-paragraph (8) has effect with the substitution for “365” of “366”.
(10) Only pensionable earnings in P’s latest continuous period of service in scheme employment are to be taken into account for the purposes of sub-paragraph (1)(a) and (b).
(11) In sub-paragraph (10), “continuous period of service in scheme employment” means a period of service in scheme employment disregarding any gap in service in scheme employment not exceeding 6 months.
PART 2 Application
Persons to whom this Schedule applies
3. Subject to paragraph 4, this Schedule applies to any person who—
(a) has a partnership pension account; and
(b) is in service in a scheme employment immediately prior to the person’s death.
Exclusions from Schedule application
4. This Schedule does not apply to a person (P) if—
(a) the terms of P’s employment provide that the partnership death benefits arrangements do not apply to P;
(b) P’s employer has made alternative provision for death benefits in respect of P;
(c) P’s employer is not making payments to the scheme manager for the arrangements for payment of death benefits set out in this Schedule to apply to P; or
(d) P opts for the partnership death benefits arrangements not to apply to P.
PART 3 Lump sum death benefits
Payment of lump sum death benefits
5. A lump sum death benefit is payable if a person to whom this Schedule applies dies before reaching the age of 75.
Nominations for lump sum death benefits
6. (1) A person to whom this Schedule applies (P) may nominate a person or persons to receive a lump sum death benefit.
(2) P may nominate—
(a) one or more individuals, or
(b) one incorporated or unincorporated body.
(3) If P nominates two or more individuals, P may indicate in the nomination how P wishes the payments to be apportioned between them.
(4) A nomination may only be made by notice in writing to the administrator of this scheme in such form as the scheme manager requires or is willing to accept.
(5) P may revoke or alter a nomination by a further notice in writing to the administrator of this scheme in such form as the scheme manager requires or is willing to accept.
Invalid nominations of individuals
7. (1) The nomination of an individual by a person to whom this Schedule applies (P) is invalid if—
(a) the individual nominated is P’s spouse or civil partner and the individual is not P’s spouse or civil partner when P dies;
(b) the individual predeceases P; or
(c) the individual is convicted of the offence of murder or manslaughter of P.
(2) The scheme manager may determine that the nomination of an individual is invalid if the individual is convicted of any offence (apart from those mentioned in sub-paragraph (1)(c)) of which the unlawful killing of P is an element.
Payment of lump sum death benefit to nominees or personal representatives
8. (1) The scheme manager may pay the lump sum death benefit payable in respect of a person to whom this Schedule applies (P) to—
(a) the person or persons nominated by P under paragraph 6 (“the nominees”);
(b) P’s personal representatives; or
(c) both the nominees and P’s personal representatives.
(2) If the scheme manager decides to pay all or part of the lump sum death benefit to the nominees and more than one individual has been nominated, the payment is to be made to them in such proportions as the scheme manager considers appropriate.
(3) If the scheme manager decides to pay the lump sum death benefit to the nominees and to P’s personal representatives, the payment is to be made to them in such proportions as the scheme manager considers appropriate.
Amount of lump sum death benefits
9. (1) Subject to sub-paragraphs (2) to (6), the amount of the lump sum death benefit payable in respect of a person to whom this Schedule applies (P) is equal to the amount of P’s final pensionable earnings multiplied by 3.
(2) If, in respect of P, a lump sum is payable under rule E.16 of the 2002 Section (amount of lump sum benefit under rule E.14: deferred members), the amount specified in sub-paragraph (1) is only payable if and to the extent that it exceeds the aggregate amount of any lump sum payments made in respect of P under rule E.16 of the 2002 Section.
(3) If, in respect of P, a lump sum is payable under rule 3.16 of the 1972 Section (preserved benefits), the amount specified in sub-paragraph (1) is only payable if and to the extent that it exceeds the aggregate amount of any lump sum payments made in respect of P under rule 3.16 of the 1972 Section.
(4) If, in respect of P, a lump sum is payable under rule F.13 of the 2007 Section (amount of lump sum benefit under rule F.11: deferred members and pensioner members) as it applies to a deceased deferred member of Section III (within the meaning of that Section), the amount specified in sub-paragraph (1) is only payable if and to the extent that it exceeds the aggregate amount of any lump sum payments made in respect of P under rule F.13 of the 2007 Section.
(5) If, in respect of P, a lump sum is payable under regulation 131 (amount payable on death of deferred member or pensioner member of alpha (death out of service)) as it applies to a deceased deferred member of alpha (within the meaning of that scheme), the amount specified in sub-paragraph (1) is only payable if and to the extent that it exceeds the aggregate amount of any lump sum payments made in respect of P under regulation 131.
(6) If, in respect of P, lump sums are payable under two or more of the provisions of the PCSPS or alpha referred to in sub-paragraphs (2) to (5), the amount specified in sub-paragraph (1) is only payable if and to the extent that it exceeds the aggregate amount of the lump sums that are payable.