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The Welfare Reform and Pensions (Northern Ireland) Order 1999

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  • art. 69(3)(e) inserted by S.R. 2016/236 reg. 11(c) (This amendement comes into operation on the day on which the Universal Credit Regulations come into operation.)

IndexationN.I.

Public service pension schemesN.I.

36.—(1) The [1971 c. 35 (N.I.).] Pensions (Increase) Act (Northern Ireland) 1971 shall be amended as follows.

(2) In section 3 (qualifying conditions), after subsection (2) there shall be inserted—

(2A) A pension attributable to the pensioner having become entitled to a pension credit shall not be increased unless the pensioner has attained the age of fifty-five years. .

(3) In section 8—

(a)in subsection (1) (definition of “pension”), in paragraph (a), the words from “(either” to “person)” shall be omitted;

(b)in subsection (2) (when pension deemed for purposes of the Act to begin), after “pension”, in the first place where that word occurs, there shall be inserted “ which is not attributable to a pension credit ”; and

(c)after that subsection there shall be inserted—

(2A) A pension which is attributable to a pension credit shall be deemed for purposes of this Act to begin on the day on which the order or provision on which the credit depends takes effect. .

(4) In section 15(1) (interpretation)—

(a)for the definitions of “derivative pension” and “principal pension” there shall be substituted—

“ derivative pension ” means a pension which—

(a)is not payable in respect of the pensioner's own services, and

(b)is not attributable to the pensioner having become entitled to a pension credit; ,

(b)after the definition of “pension” there shall be inserted—

“ pension credit ” means a credit under Article 26(1)(b) of the Welfare Reform and Pensions (Northern Ireland) Order 1999 or under section 29(1)(b) of the Welfare Reform and Pensions Act 1999;

“principal pension” means a pension which—

(a)is payable in respect of the pensioner's own services; or

(b)is attributable to the pensioner having become entitled to a pension credit; , and

(c)for the definition of “widow's pension” there shall be substituted—

“ widow's pension ” means a pension payable—

(a)in respect of the services of the pensioner's deceased husband, or

(b)by virtue of the pensioner's deceased husband having become entitled to a pension credit. .

Other pension schemesN.I.

37.—(1) The Department may by regulations make provision for a pension to which paragraph (2) applies to be increased, as a minimum, by reference to [F1relevant percentage increases] , so far as not exceeding[F2 the maximum percentage] per annum.

(2) [F2Subject to paragraph (2A), this] paragraph applies to—

(a)a pension provided to give effect to eligible pension credit rights of a member under a qualifying occupational pension scheme, F3. . .

(b)F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F2(2A) Paragraph (2) does not apply to pensions which—

(a)are money purchase benefits, and

(b)become pensions in payment on or after the commencement day.

[F5(2AA) In paragraph (1) “relevant percentage increases” means percentage increases estimated by the Secretary of State from time to time for the purposes of paragraph 2(3)(a) of Schedule 3 to the Pension Schemes Act 1993 for revaluation periods of 12 months.]

(2B) For the purposes of paragraph (1) the “maximum percentage” means—

(a)5 per cent. in a case where—

(i)the pension is in payment before the commencement day, or

(ii)the pension is not in payment before the commencement day but the entitlement to the relevant pension credit arose before that day, and

(b)2.5 per cent. in a case where the entitlement to the relevant pension credit arises on or after the commencement day.]

(3) In this Article—

  • [F2“commencement day” means the day appointed for the coming into operation of Article 257 of the Pensions (Northern Ireland) Order 2005 (amendments to Article 37);]

  • “eligible”, in relation to pension credit rights, means of a description prescribed by regulations made by the Department;

  • [F2“money purchase benefit” has the meaning given by section 176(1) of the Pension Schemes Act;]

  • “pension credit rights”, in relation to an occupational pension scheme, means rights to future benefits under the scheme which are attributable (directly or indirectly) to a credit under Article 26(1)(b) or under section 29(1)(b) of the Welfare Reform Act;

  • “qualifying occupational pension scheme” means an occupational pension scheme which is not a public service pension scheme;

  • [F2“relevant pension credit” means the pension credit to which the eligible pension credit rights F6. . . are (directly or indirectly) attributable;]

  • F7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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