SCHEDULE 7Collective money purchase benefits: amendments to secondary legislation
Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015I18
1
Regulation 4 (restrictions on charges)75 is amended as follows.
2
In paragraph (1)—
a
after “relevant scheme” insert “, that is not a collective money purchase scheme,”
;
b
in sub-paragraph (a), after “this Chapter” insert “, with the exception of regulation 6A”
;
c
in sub-paragraph (b), for “regulation” substitute “regulations 5A and”
.
3
After paragraph (1), insert—
1ZA
Subject to regulation 9, the trustees of a relevant scheme that is a qualifying collective money purchase scheme must not impose or permit to be imposed on the members of that scheme, in respect of members’ rights under the scheme, charges which—
a
exceed the limits specified in this Chapter, with the exception of regulation 6; or
b
are of a description prohibited by this Chapter, with the exception of regulations 5, 11 and 11A.
4
In paragraph (2)—
a
after “regulations” insert “5A, 6A, 7A, 8A,”
;
b
in sub-paragraph (a), after “relevant scheme” insert “, that is not a collective money purchase scheme,”
.
5
In paragraph (3)—
a
at the beginning of the paragraph omit “The” and insert “For the purposes of paragraph (2), the”
;
b
for “5 to 9” substitute “5, 6, 7, 8 and 9”
;
c
in sub-paragraph (a), after “another” insert “(unless the receiving scheme is a qualifying collective money purchase scheme)”
.
6
After paragraph (3), insert—
3A
If the receiving scheme referred to in paragraph (3) is a collective money purchase scheme (other than a qualifying collective money purchase scheme), this regulation and regulations 5, 6, 7, 8 and 9 apply in respect of the value of a member’s rights, following any such transfer, as if the person was a member of a relevant scheme within the meaning of regulation 2(2)(a) or (b) to whom this Chapter applies in accordance with paragraph (2) (unless the person is a pensioner member of the receiving scheme, including a person who has become a pensioner member of the receiving scheme after the transfer).
3B
Subject to paragraph (3C), the application of this regulation and regulations 5A, 6A, 7A, 8A and 9 in respect of a member of a relevant scheme that is a qualifying collective money purchase scheme is not affected by a transfer of the member’s rights to a relevant scheme, where the member has not given consent to the transfer.
3C
Paragraph (3B) does not apply in respect of the transfer of a member’s rights from a qualifying collective money purchase scheme to a relevant scheme (within the meaning of regulation 2(2)(a) or (b))—
a
if this Chapter (with the exception of regulations 5A, 6A, 7A, 8A, 11 and 11A) would otherwise apply to the member by virtue of paragraph (2) upon their rights being transferred; or
b
if the member is a pensioner member of the qualifying collective money purchase scheme.
3D
If a member’s rights are transferred from a relevant scheme that is a qualifying collective money purchase scheme to a relevant scheme that is not a qualifying collective money purchase scheme (and paragraph (3B) applies in respect of the transfer of that member’s rights)—
a
this regulation and regulations 5A, 6A, 7A, 8A and 9 apply in respect of that member (and any other members whose rights have been transferred at the same time) as if the person was a member, or as if the persons were members, of a qualifying collective money purchase scheme (unless the relevant scheme to which the rights are transferred is not a collective money purchase scheme and any such person is a pensioner member of the scheme, including a person who has become a pensioner member of the scheme after the transfer); and
b
references in this regulation and in regulations 5A, 6A, 7A, 8A and 9 to members of a qualifying collective money purchase scheme are to be read as references to those members subject to the transfer.
7
In paragraph (4), for “This Chapter does not apply to a member of a relevant scheme” substitute “This Chapter does not apply to a member of a relevant scheme that is not a collective money purchase scheme”
.
8
After paragraph (4), insert—
5
In this regulation, “pensioner member” has the meaning given in section 124(1) of the 1995 Act76.