The Pensions Regulator (Contribution Notices and Restoration Orders) Regulations (Northern Ireland) 2005
Citation, commencement and interpretation1.
(1)
These Regulations may be cited as the Pensions Regulator (Contribution Notices and Restoration Orders) Regulations (Northern Ireland) 2005 and shall come into operation on 6th April 2005.
(2)
In these Regulations –
“the Order” means the Pensions (Northern Ireland) Order 2005;
“relevant public authority” has the meaning given in Article 280(4) (modification of the Order in relation to certain categories of schemes);
(3)
In these Regulations any reference to a numbered Article is a reference to the Article of the Order bearing that number.
Prescribed schemes2.
F1(1)
For the purposes of Articles 34(1)(b) and 48(1)(b) (schemes to which Articles 34 (contribution notices) and 48 (restoration orders) do not apply), a prescribed scheme or a scheme of a prescribed description is –
F2(a)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b)
a public service pension scheme under the provisions of which there is no requirement for assets related to the intended rate or amount of benefit under the scheme to be set aside in advance (disregarding requirements relating to voluntary contributions);
(c)
(d)
(e)
a scheme in respect of which a relevant public authority has given a guarantee or made any other arrangements for the purpose of securing that the assets of the scheme are sufficient to meet its liabilities;
(f)
a scheme which provides relevant benefits within the meaning of section 612(1) of the 1988 Act (interpretation) but F3which –
(i)
has never been a tax approved scheme or registered for tax purposes, and
(ii)
is not a relevant statutory scheme within the meaning of section 611A of the 1988 Act (definition of relevant statutory scheme);
(g)
a scheme –
(i)
which has been categorised by the Commissioners of Inland Revenue for the purposes of its approval, or registration, as a centralised scheme for non-associated employers;
(ii)
which F4was not contracted-out at any time before the second abolition date, and
(iii)
under the provisions of which the only benefits that may be provided on or after retirement (other than money purchase benefits derived from the payment of voluntary contributions by any person) are lump sum benefits which are not calculated by reference to a member’s salary;
(h)
a scheme –
(i)
the only benefits provided by which (other than money purchase benefits) are death benefits, and
(ii)
under the provisions of which no member has accrued rights (other than rights to money purchase benefits);
F5(i)
a scheme—
(i)
which has such a superannuation fund as is mentioned in section 615(6) of the 1988 Act (exemption from tax in respect of certain pensions), F6...
F6(ii)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(j)
F7(2)
In this regulation—
“contracted-out” is to be construed in accordance with section 3B(2) of the Pension Schemes Act;
“the second abolition date” has the meaning given in section 176(1) of the Pension Schemes Act.
Person of a prescribed description3.
A person who is prescribed for the purposes of Article 48(7)(a) is any person whom the trustees or managers of the scheme have authorised to enter into transactions involving the assets of that scheme.
Sealed with the Official Seal of the Department for Social Development on 25th March 2005.
These Regulations make further provision relating to the “moral hazard” provisions in Articles 34 and 48 of the Pensions (Northern Ireland) Order 2005 (“the Order”). These Articles provide for two of the powers of the Pensions Regulator known as the “moral hazard” provisions, that is, the Regulator’s power to issue contribution notices and to make restoration orders.
Regulation 2 prescribes those schemes to which Articles 34 and 48 of the Order do not apply.
Regulation 3 prescribes “appropriate persons” who may be involved in a transaction involving scheme assets which is at an undervalue.
The Pensions (2005 Order) (Commencement No. 1 and Consequential and Transitional Provisions) Order (Northern Ireland) 2005 (S.R. 2005 No. 48 (C. 5)) provides for the coming into operation of Article 34(1)(b), 48(1)(b) and (7)(a), some of the enabling provisions under which these Regulations are made, on 25th February 2005 for the purpose only of authorising the making of regulations and on 6th April 2005 for all other purposes.
As these Regulations are made before the end of the period of six months beginning with the coming into operation of the provisions of the Order by virtue of which they are made, the requirement to consult under Article 289(1) of the Order does not apply by virtue of paragraph (2)(c) of that Article.