The Pension Sharing (Contracting-out) (Consequential Amendments) Regulations 2000

Explanatory Note

(This note is not part of the Regulations)

These Regulations amend instruments which make provision in relation to occupational and personal pension schemes which are, or have been, contracted-out under Part III of the Pension Schemes Act 1993, in consequence of the coming into force of Part IV of the Welfare Reform and Pensions Act 1999 (which provides for the sharing of pensions as part of the financial arrangements made following divorce or nullity of marriage).

Regulations 2, 3 and 4 of these Regulations amend, respectively, the Occupational Pension Schemes (Contracting-out) Regulations 1996, the Occupational Pension Schemes (Mixed Benefit Contracted-out Schemes) Regulations 1996 and the Personal Pension Schemes (Appropriate Schemes) Regulations 1997 to ensure that those pension rights (“safeguarded rights”) which are conferred on any person under the pension sharing arrangements and are derived from the rights of a member which are protected under the contracting-out arrangements (“contracted-out rights”) receive similar protection to that accorded to contracted-out rights.

An assessment of the cost to business of the provisions of the Welfare Reform and Pensions Act 1999, including these Regulations, is detailed in the Regulatory Impact Assessment for that Act. A copy of this assessment has been placed in the libraries of both Houses of Parliament. Copies can be obtained by post from the Department of Social Security, Pensions on Divorce, 3rd Floor, The Adelphi, 1-11 John Adam Street, London WC2N 6HT.