The Occupational Pension Schemes (Contracting-out) Regulations (Northern Ireland) 1996

Further contracting-out requirements for money purchase contracted-out schemes

30.—(1) For the purpose of section 5(3) of the Act(1) (money purchase schemes) the prescribed requirements are—

(a) restrictions imposed under Article 40 of the Order (restriction on employer-related investments) apply to the scheme and the scheme complies with those restrictions;

(b) in a case where the rules of the scheme provide for a member to make payments in addition (“additional payments”) to the minimum payments that are made to that scheme, those payments shall, subject to paragraph (2), be invested so as to provide money purchase benefits;

(c) the rules of the scheme require—

(i) in the case of an insured scheme, the insurance company to be notified of any alteration in the membership of the scheme and the amount of earnings of any member;

(ii) minimum payments to be invested on behalf of the member within one month of the end of the income tax month to which they relate and age-related payments to be invested on behalf of the member within one month of the date of payment by the Department.

(2) The requirement referred to in paragraph (1)(b) shall not apply in a case where the rules of the scheme provide that the additional payments made shall entitle the member to benefits which are not money purchase benefits and such benefits are paid in addition to the benefits derived from minimum payments.

(1)

Section 5(3) was amended by Article 133(4) of the Pensions (Northern Ireland) Order 1995 and is amended by paragraph 17 of Schedule 3 to that Order