The Financial Assistance Scheme (Miscellaneous Amendments) Regulations 2006

Amendment of Part 5

6.—(1) In regulation 17 (annual payments), for paragraph (5A) substitute—

“(5A) In determining the amount of annual payment that is payable to, or in respect of, a beneficiary for any previous year or years (“arrears payable”)—

(a) the total of all monthly instalments of an initial payment that have been made to, or in respect of, the beneficiary for any previous year or years is to be deducted from the amount of arrears payable to that beneficiary; and

(b) if the total of all such monthly instalments is greater than that amount of arrears payable—

(i) the amount to be paid in respect of arrears payable is nil, and

(ii) the difference between that total and the amount of arrears payable is recoverable from the beneficiary in accordance with regulation 7 of the FAS Information and Payments Regulations (recovery of overpayments).”.

(2) In regulation 18 (initial payments)—

(a) in paragraph (1), at the beginning, insert “Subject to paragraph (4A),”;

(b) in paragraph (2)(a), after “or his survivor” insert “, and on account of such a payment”;

(c) after paragraph (4) insert—

“(4A) Paragraphs (1)(a)(i) and (4)(a)(ii)(aa) do not apply in relation to Group 2 qualifying members or Group 3 qualifying members.”;

(d) after paragraph (5) insert—

“(5A) Where the trustees or managers have determined the amount of interim pension that would be paid to the qualifying member or the survivor of that qualifying member, but do not propose to pay that interim pension for administrative reasons, the scheme manager may, in exercising his discretion under paragraph (4) and in determining the amount of initial payment under Schedule 2, deem that member or that survivor to be receiving that interim pension, if in the scheme manager’s opinion it is reasonable to do so.”;

(e) after paragraph (9) insert—

“(9A) If, having determined that an initial payment may be made under paragraph (4), the scheme manager subsequently determines, in accordance with Schedule 2, that no annual payment is payable to or in respect of that qualifying member or his survivor, then the total of all monthly instalments of an initial payment made to or in respect of that qualifying member or his survivor is recoverable in accordance with regulation 7 of the FAS Information and Payments Regulations.”; and

(f) for paragraph (10) substitute—

“(10) In this regulation—

“Group 2 qualifying member” and “Group 3 qualifying member” have the meanings given in paragraph 1(2) of Schedule 2; and

“interim pension” has the meaning given in paragraph 2 of Schedule 2(1).”.

(1)

Paragraph 2 is modified by paragraph 10(a) of Schedule 2.