- Latest available (Revised)
- Original (As made)
This is the original version (as it was originally made). This item of legislation is currently only available in its original format.
(This note is not part of the Regulations.)
These Regulations replace the Occupational Pension Schemes (Transfer Values) Regulations (Northern Ireland) 1985 (“the 1985 Regulations”) which are, subject to transitional provisions, now revoked. The Regulations supplement the changes introduced by the Pensions (Northern Ireland) Order 1995 (“the Order”) to Chapter IV of Part IV of the Pension Schemes (Northern Ireland) Act 1993 (“the Act”). They also consolidate and amend the 1985 Regulations. Provisions carried forward from the 1985 Regulations are amended to take into account new provisions introduced by the Order and changes made by the Order to the Act other than to Chapter IV of Part IV. Provisions carried forward from the 1985 Regulations which have been amended substantively for other reasons are contained in regulation 8(3) (requirement to obtain actuary’s report before directing that cash equivalents shall not take account of discretionary benefits), regulation 10 (requirement to increase cash equivalent if paid late) and regulation 11 (disclosure requirements and penalties).
Part I contains general provisions relating to citation, commencement and interpretation.
Part II provides restrictions on the right to take a cash equivalent if the member’s pensionable service terminated before 1st January 1986 or if the member terminates pensionable service while still in employment to which the scheme applies.
Part III concerns the new requirements relating to guaranteed statements of entitlement for members of salary related occupational pension schemes. Part III also deals with the way in which cash equivalents are to be calculated. Regulation 6 sets out the time limits within which the guarantee date in respect of a guaranteed statement of entitlement must fall and within which the statement must be provided to the member. Regulations 7 to 10 provide how cash equivalents are to be calculated and the circumstances in which they can be increased or reduced. Regulation 11 consolidates (with minor amendments) provisions relating to estimates of cash equivalents which were previously contained in the Occupational Pension Schemes (Disclosure of Information) Regulations (Northern Ireland) 1986. Regulation 11 also contains further disclosure requirements. Penalties are imposed for breaches of any of the requirements of regulation 11.
Part IV sets out the requirements which a pension scheme must satisfy if a cash equivalent is to be used for acquiring transfer credits in it or rights under it, the requirements which an annuity must satisfy if a cash equivalent is to be used for purchasing it and the requirements which an overseas arrangement or a self-employed pension arrangement must satisfy if a cash equivalent is to be used for subscribing to it.
Part V provides for the extension by the Occupational Pensions Regulatory Authority of the statutory time limits for payment of cash equivalents on the application of the trustees or managers of the scheme in question.
Part VI modifies the Act in certain circumstances. Regulation 14 modifies section 90(1)(aa) of the Act to extend the period within which a member may apply to take a guaranteed cash equivalent where that member has been informed that that guaranteed cash equivalent is to be increased or reduced or where the member has disputed the amount of the cash equivalent. Regulation 19 modifies certain provisions of Chapter IV of Part IV of the Act in relation to a scheme which provides or may provide both salary related and money purchase benefits. Regulations 15 to 18 carry forward provisions previously contained in the 1985 Regulations.
Part VII sets out the penalties that apply for breaches of obligations imposed by section 89A (obligation to provide guaranteed statements of entitlement within certain time limits) and section 95(2) (obligation to pay cash equivalent within certain time limits) of the Act.
Part VIII contains consequential revocations and transitional provisions.
Some of the enabling provisions of the Act under which these Regulations are made were amended, or inserted by, Articles 148 to 151 of, and paragraphs 6, 7 and 8(c) and (e) of Schedule 4 to, the Order.
The Pensions (1995 Order) (Commencement No. 2) Order (Northern Ireland) 1996 (S.R. 1996 No. 91 (C. 4)) provides for the coming into operation of Article 10(2) of the Order and Articles 148 to 150 of, and paragraphs 6, 7 and 8(c) and (e) of Schedule 4 to, the Order, for the purpose only of authorising the making of regulations, on 6th April 1996. The Pensions (1995 Order) (Commencement No. 4) Order (Northern Ireland) 1996 (S.R. 1996 No. 307 (C. 18)) provides for the coming into operation of Article 151 of the Order, for the purpose of authorising the making of regulations, on 23rd July 1996.
As these Regulations make in relation to Northern Ireland only provision corresponding to provision contained in regulations made by the Secretary of State for Social Security in relation to Great Britain, the requirement for consultation under Article 117(1) of the Order does not apply by virtue of paragraph (2)(e) of that Article.
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include: