The Contracting-Out (Protection of Pensions) Regulations 1991

Explanatory Note

(This note is not part of the Regulations)

These Regulations consolidate, with amendments, Regulations relating to the protection of pensions provisions (sometimes called the “anti-franking” provisions) of the Social Security Pensions Act 1975.

The protection of pensions provisions are contained in sections 41A to 41E of the Social Security Pensions Act 1975. They override any conflicting provision of a scheme, as described in section 41C(1) of that Act.

These Regulations modify the protection of pensions provisions in cases where retirement benefits are varied at state pension age (regulation 3), cases where pensions for widows and widowers are varied after commencement (regulation 4), cases where, before 1st January 1985, there was an enforceable agreement for the transfer of benefits from one scheme to another (regulation 7) and cases where part of a pension accrues after normal pension age under the scheme (regulation 8).

These Regulations also modify the protection of pensions provisions in their application to hybrid benefits (regulation 2) and benefits other than short service benefit (regulation 6).

In addition, regulation 5 prescribes the assumptions for the purpose of calculating “the relevant sum” for a widow or widower and regulation 9 deals with the persons who are competent to apply to the Occupational Pensions Board for advice on any question concerning the protection of pensions provisions.

The report of the Occupational Pensions Board on the draft of these Regulations which was referred to them, together with a statement by the Secretary of State showing that these Regulations give effect to the Board’s recommendations, is contained in Command Paper No. 1407, published by Her Majesty’s Stationery Office.