(This note is not part of the Order)
This Order amends the Equality Act (Age Exceptions for Pension Schemes) Order 2010 (S.I. 2010/2133) (“the 2010 Order”).
Article 2(2) amends an exception in the 2010 Order relating to an occupational pension scheme’s age related equality obligations under the Equality Act 2010 (c.15). The effect of the amendment is to update the age related exception so that occupational pension schemes can continue to reduce a pensioner member’s pension benefits by an amount not exceeding the relevant state retirement pension rate with effect from any time between age 60 and the date they reach their state pension age.
Article 2(3) amends the definition of “relevant state retirement pension rate”. The term was defined in accordance with the meaning given in paragraph 2(5) of Schedule 28 to the Finance Act 2004 (c.12). Paragraph 2(5) was repealed by section 20(1) of the Finance Act 2016 (c.24). The term was re-defined in the Registered Pension Schemes (Bridging Pensions) and Appointed Day Regulations 2016 (S.I. 2016/1005) (“the 2016 Regulations”). Article 2(3) updates the definition in the 2010 Order so it refers to the relevant part of the definition in the 2016 Regulations.
An impact assessment of the effect that this instrument will have on the costs of business and the voluntary sector is published with the Explanatory Memorandum alongside this instrument on www.legislation.gov.uk.