The National Health Service Pension Scheme Regulations 2015

1. Introductory Text

2. PART 1 Preliminary

   1. 1. Citation, extent and commencement

   2. 2. Establishment of the NHS Pension Scheme 2015

3. PART 2 Governance

   1. CHAPTER 1 Management

      1. 3. Scheme manager

      2. 4. Pension Board

      3. 5. Scheme Advisory Board

   2. CHAPTER 2 Actuary and valuation

      1. 6. Appointment of scheme actuary

      2. 7. Actuarial valuations

      3. 8. Employer cost cap

      4. 9. Cost of scheme exceeds margins

      5. 10. Procedure for agreeing steps to achieve target cost

      6. 11. No agreement reached

      7. 12. Approval mechanism

      8. 13. Target cost

   3. CHAPTER 3 General

      1. 14. Administrative matters

4. PART 3 Scheme membership

   1. CHAPTER 1 Joining and leaving

      1. 15. Joining and leaving the scheme

      2. 16. Re-joining the scheme

      3. 17. Automatic enrolment legislation

   2. CHAPTER 2 Membership

      1. 18. Membership

      2. 19. Restrictions on membership

   3. CHAPTER 3 Pensionable service

      1. 20. Pensionable service

      2. 21. Absence from work

      3. 22. Qualifying service

      4. 23. Effect of break in pensionable service

   4. CHAPTER 4 Pension accounts

      1. 24. Establishment of pension accounts

      2. 25. Closure of pension accounts on transfer out or repayment of balance of contributions

      3. 26. Calculation of amount of accrued pension

5. PART 4 Contributions

   1. CHAPTER 1 Determination and payment

      1. 27. Pensionable earnings

      2. 28. Pensionable earnings: break in service

      3. 29. Pensionable earnings: more than one employment

      4. 30. Members’ contributions: employees

      5. 31. Members’ contributions: practitioners and non-GP providers

      6. 32. Members’ contributions: redundancy

      7. 33. Contributions by employing authorities

      8. 34. Employing authority contributions: interests of efficiency

      9. 35. Employing authority contributions: redundancy

      10. 36. Interest and administration charges: late paid contributions

      11. 37. Members’ contributions: records and estimates

      12. 38. Members’ contributions: supplementary: medical practitioners and non-GP providers

      13. 39. Members’ contributions: supplementary: dental practitioners

   2. CHAPTER 2 Refund: short service

      1. 40. Eligibility for refund

      2. 41. Amount of refund

      3. 42. Effect of refund

   3. CHAPTER 3 Buy-out: actuarial reduction

      1. 43. Eligibility to make buy-out election

      2. 44. Making and varying a buy-out election

      3. 45. Accepting a buy-out election

      4. 46. Overall limit on extra pension

      5. 47. Determination of contributions payable

      6. 48. Payment of buy-out contributions

      7. 49. Suspension of buy-out: hardship

      8. 50. Revoking a buy-out election

   4. CHAPTER 4 Allocation

      1. 51. Election to allocate pension

      2. 52. Amount of allocation

      3. 53. Procedure for election under regulation 51

      4. 54. Effect of allocation

   5. CHAPTER 5 Additional pension

      1. 55. Election to pay contributions for additional pension

      2. 56. Annual rate of additional (self only) pension

      3. 57. Lump sum or periodic payments

      4. 58. Making an additional pension election

      5. 59. Accepting an additional pension election

      6. 60. Determination of contribution payable

      7. 61. Overall limit on extra pension

      8. 62. Lump sum contributions: payment of contributions and credit of additional pension

      9. 63. Repayment of lump sum contribution

      10. 64. Periodic contributions

      11. 65. Retirement pension (other than ill-health pension) becomes payable before the end of the contributions payment period

      12. 66. Revoking an additional pension election (periodic payments)

      13. 67. Revocation of election by scheme manager (lump sum)

      14. 68. Effect of being absent or leaving and rejoining scheme during contributions payment period

      15. 69. Death in service before end of contributions payment period

      16. 70. Ill-health pension becomes payable before end of contributions payment period

      17. 71. Effect of part payment of contributions

6. PART 5 Members’ benefits

   1. CHAPTER 1 Qualification

      1. 72. Qualifying for retirement benefits

   2. CHAPTER 2 Age retirement

      1. 73. Entitlement to age retirement pension

      2. 74. Annual rate of age retirement pension

      3. 75. Late payment of pension with actuarial increase

      4. 76. Pension credit member

      5. 77. Conversion of part of pension into lump sum

      6. 78. Entitlement day

   3. CHAPTER 3 Early and premature retirement

      1. 79. Early retirement

      2. 80. Entitlement day

      3. 81. Premature retirement in the interests of efficiency

      4. 82. Premature retirement on grounds of redundancy

      5. 83. Premature retirement entitlement day

   4. CHAPTER 4 Partial retirement

      1. 84. Election for partial retirement (members over normal minimum pension age)

      2. 85. Effect of election

      3. 86. Terms of employment improve after election

      4. 87. Member becomes subject to reduction following abatement

      5. 88. Payment of pension after abatement

      6. 89. Application of regulations 84 to 88: concurrent employments

   5. CHAPTER 5 Ill-health pension

      1. 90. Entitlement to ill-health pension

      2. 91. Member’s incapacity

      3. 92. Annual rate of ill-health pension

      4. 93. Re-assessment of entitlement

      5. 94. Early retirement on ill-health (deferred members)

      6. 95. Effect of re-employment on Tier 2 IHP

      7. 96. Renewed entitlement to Tier 2 IHP

      8. 97. Re-employed Tier 1 IHP members

   6. CHAPTER 6 Dual capacity and multiple employment

      1. 98. Dual capacity membership: pension benefits

      2. 99. Deferred pension becomes payable during NHS re-employment following transfer of undertaking

      3. 100. Retirement benefits for members with more than one employment

   7. CHAPTER 7 Abatement on re-employment

      1. 101. Application of Chapter

      2. 102. Information

      3. 103. Reduction of pension

      4. 104. Relevant income and enhancement amount

      5. 105. Previous earnings: general

      6. 106. Previous earnings: continuing and concurrent employments

      7. 107. Multiple pensions

      8. 108. Adjustment of reductions

   8. CHAPTER 8 Serious ill health option

      1. 109. Option for members in serious ill health to exchange pension for lump sum

   9. CHAPTER 9 Contracting out obligations

      1. 110. Guaranteed minimum pension etc.

   10. CHAPTER 10 Pension debit members

       1. 111. Reduction in pension debit member’s benefits

7. PART 6 Survivor benefits

   1. CHAPTER 1 Adult survivor

      1. 112. Lump sum on death

      2. 113. Surviving adult dependant pension

      3. 114. Surviving nominated partner

      4. 115. Amount of pension: survivor of active member

      5. 116. Amount of pension: survivor of pensioner member

      6. 117. Amount of pension: deferred members

      7. 118. Recent leavers

      8. 119. Re-employed pensioners: adult survivor pensions in initial period

      9. 120. Polygamous marriage

   2. CHAPTER 2 Child survivor

      1. 121. Surviving child’s pension

      2. 122. Eligible child

      3. 123. Amount of child pension: deceased active member

      4. 124. Amount of child pension: deceased pensioner member

      5. 125. Amount of child pension: deceased deferred member

      6. 126. Amount of child pension: recent leavers

      7. 127. Power to increase pension for children not maintained by surviving parent etc.

      8. 128. Amount of child pension: re-employed pensioners

      9. 129. Provisional awards of eligible child’s pensions: later adjustments

   3. CHAPTER 3 General

      1. 130. Suspension and recovery of pensions paid under this Part

8. PART 7 Transfers

   1. CHAPTER 1 Preliminary

      1. 131. Application of Part

      2. 132. Interpretation of Part

   2. CHAPTER 2 Transfers values

      1. SECTION 1 Application of Chapter

         1. 133. Application of Chapter

      2. SECTION 2 Transfers out

         1. 134. Right to transfer value payment

         2. 135. Application for statement of entitlement

         3. 136. Application for transfer value payment

         4. 137. Transfer value payments: time limits

         5. 138. How transfer value payments may be applied

         6. 139. Calculating amounts of transfer value or club transfer value

         7. 140. Effect of transfer-out

      3. SECTION 3 Transfers in

         1. 141. Right to apply for acceptance of transfer value payment

         2. 142. Application procedure

         3. 143. Acceptance of transfer value payment

         4. 144. Calculation of increase to pensionable earnings

         5. 145. Transfer from 1995 or 2008 Section

         6. 146. Transfers from corresponding 1995 and 2008 schemes

      4. SECTION 4 Bulk transfers

         1. 147. Bulk transfers out

         2. 148. Bulk transfers in

   3. CHAPTER 3 Miscellaneous transfers

      1. 149. EU and overseas transfers

9. PART 8 Independent providers

   1. 150. Interpretation

   2. 151. Application for employing authority status

   3. 152. Grant of employing authority status

   4. 153. Extension of employing authority status

   5. 154. IP guarantees

   6. 155. 75% threshold and contribution surcharge

   7. 156. Default notice

   8. 157. Pension returns

   9. 158. Provision of information

   10. 159. Termination of employing authority status

   11. 160. Withdrawal from employing authority status in this scheme

   12. 161. Change from open approval to closed approval basis

   13. 162. Change from closed approval basis to open approval basis

10. PART 9 General

    1. 163. Definitions

    2. 164. OOH provider

    3. 165. Guarantees, bonds and indemnities

    4. 166. Medical practitioner

11. Signature

12. SCHEDULES

    1. SCHEDULE 1

       Pension Board

       1. 1. Composition of the pension board

       2. 2. Terms of office of members

       3. 3. Disqualification from appointment as a member

       4. 4. Appointment, term of office and cessation of office of the chair

       5. 5. Voting and quorum

       6. 6. Conflicts of interest

       7. 7. Information

    2. SCHEDULE 2

       Scheme Advisory Board

       1. 1. Composition of the Scheme Advisory Board

       2. 2. Disqualification from appointment as a member

       3. 3. Appointment, term of office and cessation of office of the chair

       4. 4. Quorum of the Board

       5. 5. Conflicts of interest

    3. SCHEDULE 3

       Administrative matters

       1. PART 1 Accounts and information

          1. 1. Scheme accounts and actuarial valuations

          2. 2. Scheme information

          3. 3. Benefit information statements

       2. PART 2 Claims and payments

          1. 4. Claims for benefits

          2. 5. Provision of information: continuing entitlement to benefits

          3. 6. Trivial commutation lump sum

          4. 7. Beneficiaries who are incapable of looking after their affairs

          5. 8. Power to extend time limits

       3. PART 3 Interest

          1. 9. Interest on late payment of benefits and refunds of member contributions

       4. PART 4 Assignment, offset and forfeiture, etc.

          1. 10. Prohibition on assignment or charging of benefits

          2. 11. Offset of benefits

          3. 12. Forfeiture of rights to benefits

       5. PART 5 Insolvency

          1. 13. Bankruptcy of person entitled to benefits

       6. PART 6 Determinations

          1. 14. Determination of questions

          2. 15. Determinations by medical practitioners

       7. PART 7 Taxation

          1. 16. Deduction of tax

          2. 17. Prohibition on unauthorised payments

          3. 18. Scheme administrator

    4. SCHEDULE 4

       Opting out and re-joining

       1. 1. Opting out of the scheme

       2. 2. Re-joining the scheme

    5. SCHEDULE 5

       Membership gateways

       1. PART 1 NHS organisations

          1. 1. The following are NHS organisations for the purposes of these...

          2. 2. The Secretary of State may agree to treat any other...

       2. PART 2 Medical contractors, dental contractors and independent providers

          1. 3. The following are medical contractors for the purposes of these...

          2. 4. The following are dental contractors for the purposes of these...

          3. 5. An independent provider, for the purposes of these Regulations, is...

       3. PART 3 Medical practitioners and dental practitioners

          1. 6. The following are medical practitioners for the purposes of these...

          2. 7. The following are dental practitioners for the purposes of these...

       4. PART 4 Determination employers

          1. 8. A determination employer is a person who is the employer...

    6. SCHEDULE 6

       Persons to whom the scheme may be extended

       1. 1. (1) The categories or descriptions of persons to whom the...

    7. SCHEDULE 7

       Restrictions on eligibility: Former members and TUPE transfers

       1. 1. Introduction

       2. 2. Condition A

       3. 3. Condition B

       4. 4. Exception

       5. 5. Broadly equivalent to TUPE transfer

       6. 6. TUPE expressions

    8. SCHEDULE 8

       Restrictions on eligibility: Secondments relating to qualifying contracts

       1. 1. Retention arrangement

       2. 2. Persons subject to retention arrangements

       3. 3. Exceptions

       4. 4. Other body saving

       5. 5. Qualifying contract

    9. SCHEDULE 9

       Pension accounts

       1. PART 1 Interpretation

          1. 1. Interpretation

          2. 2. Pensionable service

          3. 3. Meaning of “leaver index adjustment”

          4. 4. Meaning of “leaver AP index adjustment”

          5. 5. Meaning of “full retirement earned pension”

          6. 6. Meaning of “full retirement additional pension”

          7. 7. Meaning of “partial retirement earned pension”

          8. 8. Meaning of “partial retirement additional pension”

          9. 9. Meaning of “actuarial reduction”

          10. 10. Meaning of “conversion amount^”

       2. PART 2 Active member’s account

          1. 11. Establishment of active member’s account

          2. 12. Receipt of club transfer values

          3. 13. Amount of pension for a scheme year

          4. 14. Account to specify opening balance and index adjustment

          5. 15. Actuarial reduction buy-out

       3. PART 3 Deferred member’s account

          1. 16. Establishment of deferred member’s account

          2. 17. Account to specify amount of accrued earned pension and leaver index adjustment

          3. 18. Deferred member’s account closed after break not exceeding 5 years

          4. 19. Deferred member’s account remains open after a break in service of more than 5 years

       4. PART 4 Pensioner member’s account

          1. 20. Pension accounts for active or deferred members who become pensioner members

          2. 21. Pension accounts for partial retirement members

       5. PART 5 Additional pension account

          1. 22. Establishment of additional pension account

          2. 23. Account to specify amount of additional pension

          3. 24. Account to specify opening balance and AP index adjustment

          4. 25. Partial retirement pension abated to zero

       6. PART 6 Pension credit member’s account

          1. 26. Pension credit member’s pension account

          2. 27. Separate account for each capacity of membership

       7. PART 7 Calculation of accrued pension

          1. 28. Calculation of amount of accrued pension for purposes of full retirement

          2. 29. Calculation of amount of accrued pension for purpose of partial retirement

          3. 30. Calculation of amount of accrued pension for purposes of deferment

    10. SCHEDULE 10

        Practitioner Income

        1. 1. Interpretation

        2. 2. Medical practitioner

        3. 3. Dental practitioner

        4. 4. Allocation of practice income

        5. 5. Partners’ NHS employment earnings

        6. 6. Paragraph 4 and 5 election and calculation

        7. 7. Locum practitioner

    11. SCHEDULE 11

        Determination of pensionable earnings: setting contribution rates

        1. 1. Introduction

        2. 2. Continuous employment spanning two scheme years

        3. 3. Change to employment or rate of pensionable earnings or allowances

        4. 4. Small payments: changed circumstances

        5. 5. Payments for unsocial hours

    12. SCHEDULE 12

        Practitioner Contribution Payments

        1. PART 1 Accounts

           1. 1. Medical practitioners and non-GP providers

           2. 2. Medical practitioners not members of a practice

           3. 3. Dentists

           4. 4. Information to be provided to scheme manager

           5. 5. Failure of member to comply with this Schedule

           6. 6. Certificates, notices and statements

        2. PART 2 Payment arrangements

           1. 7. Medical practitioners and non-GP providers

           2. 8. Dentists

           3. 9. Payment of contributions to host Board

           4. 10. Recovery of unpaid contributions

    13. SCHEDULE 13

        Calculation of pension

        1. PART 1 Age retirement pension

           1. 1. Annual rate of age retirement pension

           2. 2. Late payment of pension with actuarial increase

        2. PART 2 Conversion of part of pension into lump sum

           1. 3. Conversion of part of pension

           2. 4. Member declaration

           3. 5. Protection of guaranteed minimum pension

        3. PART 3 Early retirement pension

           1. 6. Calculation of amount of early retirement pension

        4. PART 4 Premature retirement pension

           1. 7. Calculation of amount of premature retirement pension

    14. SCHEDULE 14

        Lump sum on death

        1. 1. Interpretation

        2. 2. Death of active member

        3. 3. Death of deferred member

        4. 4. Death of pensioner member

        5. 5. Death of recent leaver

        6. 6. Death of re-employed pensioner

        7. 7. Death of partial retirement pensioner

        8. 8. Death of pension credit member

        9. 9. Payment of lump sums on death

    15. SCHEDULE 15

        Definitions

13. Explanatory Note