The National Health Service (Superannuation Scheme, Pension Scheme, Injury Benefits and Additional Voluntary Contributions) (Scotland) Amendment (No. 2) Regulations 2010
In accordance with section 10(4) of that Act, the Scottish Ministers have consulted with such representatives of persons likely to be affected by these Regulations as appear to them to be appropriate.
PART 1Introductory
Citation, commencement and effect1.
(1)
These Regulations may be cited as the National Health Service (Superannuation Scheme, Pension Scheme, Injury Benefits and Additional Voluntary Contributions) (Scotland) Amendment (No. 2) Regulations 2010.
(2)
(3)
The following regulations have effect from 1st April 2008:—
(a)
(b)
(c)
regulation 54 in respect of the addition of sub-paragraphs (h) and (i) in regulation 3.B.1(5) of the National Health Service Pension Scheme (Scotland) Regulations 2008.
(4)
The following regulations have effect from 1st October 2009:—
(a)
regulation 49;
(b)
regulations 50 and 51;
(c)
regulation 73; and
(d)
regulations 74 and 75.
(5)
Regulation 14 has effect from 6th April 2010.
PART 2Amendment of the National Health Service Superannuation Scheme (Scotland) Regulations 1995
Amendment of the National Health Service Superannuation Scheme (Scotland) Regulations 19952.
Amendment of regulation A23.
(1)
Regulation A2 (interpretation) is amended as follows.
(2)
In paragraph 2(b), omit “this Section of”.
(3)
“(c)
any reference to this Section of the scheme, except where the context otherwise requires, means these Regulations.”.
(4)
In the definition of “GMS practice”—
(a)
in paragraph (a), after “registered medical practitioner” insert “who is a principal practitioner”; and
(b)
in paragraph (b), after “or more” insert “such”.
(5)
““Waiting Period Joiner” has the meaning given in regulation 2.L.1, or as the case may be, 3.L.1 of the 2008 Section;”.
Amendment of regulation B24.
(1)
Regulation B2 (age limits and restrictions on membership) is amended as follows.
(2)
In paragraph (1)—
(a)
“(e)
that person enters NHS employment for the first time on or after 1st April 2008 and has not previously been a member of this Section of the scheme or a health service scheme corresponding to this Section;”;
(b)
in sub-paragraph (f)—
(i)
after “returns to” insert “or commences”;
(ii)
after “last left” insert “pensionable”;
(c)
in sub-paragraph (g)(ii) after “returning to”, insert “or commencing”;
(d)
“(iii)
returns to, or commences for the first time, NHS employment on or after 1st October 2008 and before that employment starts (whether it is employment that has been returned to or commenced for the first time) exercises the member’s right to transfer out all of that person’s benefits in accordance with regulation M1;”;
(e)
in sub-paragraph (i)(ii), after “returns to” insert “or commences”; and
(f)
“(j)
that person’s pension under a health service scheme is payable and in the opinion of the Scottish Ministers that person would not be eligible to—
(i)
join this Section of the scheme, or
(ii)
where appropriate, accrue further pensionable service under this Section of the scheme,
if the pensionable employment to which that health service scheme applied, and in respect of which that pension is being paid, had been pensionable employment in this Section of the Scheme;
(k)
that person is a person who—
(i)
is entitled to a preserved pension in accordance with regulation E6;
(ii)
has given notice in accordance with paragraphs (1) or (1A) of regulation B4 that the person does not wish to, or no longer wishes to, participate in this Section of the Scheme;
(iii)
as a result of that notice has been treated as having left pensionable employment; and
(iv)
pursuant to that notice remains opted out of this Section of the scheme for any one period of five years or more beginning on the date that notice takes effect;
(l)
that person is a person who—
(i)
is entitled to a preserved pension in accordance with regulation E6;
(ii)
has given notice in accordance with paragraph (1) or (1A) of regulation B4 that the person does not wish to, or no longer wishes to, participate in this Section of the Scheme;
(iii)
following that notice, has had a break in pensionable employment for any one period of five years or more, comprising the aggregate of—
(aa)
any period during which the person leaves NHS employment, and
(bb)
any period during which the person is treated as never having been included in this Section of the scheme in accordance with paragraph (3) of regulation B4 in respect of one or more later periods of NHS employment entered into after having given the notice referred to in (ii);
(m)
that person is a person who—
(i)
enters NHS employment before 1st April 2008;
(ii)
has given notice in respect of that employment (and all other such employments with an employing authority) that that person does not wish to participate in the Scheme in accordance with paragraph (1) or (1A) of regulation B4; and
(iii)
as a result of that notice on 1st April 2008 is treated as never having been in pensionable employment with any employing authority in accordance with paragraph (3) of regulation B4;
(n)
that person is a person who—
(i)
enters NHS employment before 1st April 2008;
(ii)
has given notice in respect of that employment (and all other such employments with an employing authority) that that person does not wish to, or no longer wishes to, participate in the Scheme in accordance with paragraph (1) or (1A) of regulation B4;
(iii)
as a result of that notice has been treated as having left pensionable employment with all employing authorities for a period of 12 months or more; and
(iv)
is not entitled to a preserved pension in accordance with regulation E6; or
(o)
that person is a person who—
(i)
enters pensionable employment before 1st April 2008;
(ii)
has given notice in respect of that employment (and all other such employments with an employing authority) that that person does not wish to, or no longer wishes to, participate in the Scheme in accordance with paragraph (1) or (1A) of regulation B4;
(iii)
is not entitled to a preserved pension in accordance with regulation E6; and
(iv)
has, in respect of that pensionable employment, either received a repayment of contributions or exercised the right to a transfer payment under Part M.”.
(3)
In paragraph (2)(b), for “regulations E6, E9” substitute “regulations E2, E2A, E6, E9, L1,”.
Amendment of regulation D15.
(1)
Regulation D1 (contributions by members) is amended as follows.
(2)
“(1A)
A member whose pensionable pay falls into a pay band specified in column 1 of the relevant table must contribute the percentage of the member’s pensionable pay specified in column 2 of that table in respect of that amount.”.
(3)
“(2)
The Scottish Ministers shall, with the consent of the Treasury, determine the pensionable pay bands and contribution percentage rates specified in the relevant table in respect of each scheme year.”.
(4)
In paragraph (2A), for “making a determination” substitute “determining those pensionable pay bands or contribution percentage rates”.
(5)
“(c)
“the relevant table” means—
(i)
in respect of the 2010-2011 scheme year, table 1 where paragraph (2C) applies and table 2 if paragraph (2Q), (2R) or (2V) applies;
(ii)
in respect of the 2011-2012 scheme year, table 2.
Table 1
Column 1
Column 2
Pay band
Contribution percentage rate
Up to £20,709
5%
£20,710 to £68,392
6.5%
£68,393 to £107,846
7.5%
£107,847 to any higher amount
8.5%
Table 2
Column 1
Column 2
Pay band
Contribution percentage rate
Up to £21,175
5%
£21,176 to £69,931
6.5%
£69,932 to £110,273
7.5%
£110,274 to any higher amount
8.5%”
(6)
In paragraphs (2E) to (2R) and (2V) for “the table in paragraph (1A)” substitute “the relevant table”.
Amendment of regulation D26.
“(1)
Each employing authority must contribute to the scheme, in respect of the pensionable pay of each member in pensionable employment with the authority, at the rate determined by the Scottish Ministers and specified in paragraph (2) (“the employer’s standard rate”).
(1A)
The employer’s standard rate shall include the cost of providing any increases in pensions which are payable by virtue of Part 1 of the Pensions (Increase) Act 19717.(1B)
In determining the employer’s standard rate, the Scottish Ministers must take the advice of the Scheme Actuary and obtain the Treasury’s consent.
(2)
The employer’s standard rate is 13.5 per cent”.
Amendment of regulation E2B7.
“(e)
the member is not—
(i)
a 2008 Section Optant within the meaning of regulation 2.K.1 or 3.K.1 of the 2008 Section of the Scheme, or
(ii)
a Waiting Period Joiner within the meaning of regulation 2.L.1 or 3.L.1 of the 2008 Section of the Scheme,
who has become entitled to an upper tier ill-health pension under regulation 2.D.8 or 3.D.7 of that Section.”.
Amendment of regulation E58.
In paragraph (2) of regulation E5 (early retirement pension (with actuarial reduction)), for “but” substitute “, and except for any pension in respect of service calculated as a result of exercising the right to buy additional service under regulation Q1 or the right to buy an unreduced retirement lump sum under regulation Q2,”.
Amendment of regulation E89.
In paragraph (7)(b) of regulation E8 (deductions from lump sum), after “will” insert “, except for any lump sum in respect of service calculated as a result of exercising the right to buy additional service under regulation Q1 or the right to buy an unreduced retirement lump sum under regulation Q2,”.
Amendment of regulation F510.
“(13)
In the case of a Waiting Period Joiner, a notice given by a member for the purposes of regulation 2.E.21 or 3.E.21 of the 2008 Section of the Scheme shall be treated as a nomination or notice given by the member for the purposes of this regulation.”.
Amendment of regulation G311.
“(a)
the member is—
(i)
a 2008 Section Optant within the meaning of regulation 2.K.1 or regulation 3.K.1 of the 2008 Section of the Scheme, or
(ii)
a Waiting Period Joiner within the meaning of regulation 2.L.1 or 3.L.1 of that Section, and”.
Amendment of regulation G1412.
“(10)
In the case of a Waiting Period Joiner, a declaration or notice given by a member for the purposes of regulation 2.E.2 or 3.E.2 of the 2008 Section of the Scheme shall be treated as a declaration or notice given by that member for the purposes of this regulation.”.
Amendment of regulation H413.
In paragraph (2) of regulation H4 (child allowance when member dies after pension becomes payable)—
(a)
in sub-paragraph (b)(i), after “regulation 3.K.1 (application of chapter 3.K)” insert “or a Waiting Period Joiner within the meaning of regulation 2.L.1 or 3.L.1”;
(b)
in sub-paragraph (b)(ii), after “2008 Section Optant” insert “or Waiting Period Joiner”.
Amendment of Part K14.
(1)
Part K (contracting-out and guaranteed minimum pensions) is amended as follows.
(2)
“(ca)
“guaranteed minimum pension age” means age 65 in the case of a man or age 60 in the case of a woman”.
(3)
For “state pension age” substitute “guaranteed minimum pension age”, in—
(a)
paragraphs (2) where it occurs twice and (6A)(a) of regulation K2 (guaranteed minimum pensions);
(b)
regulation K3 (late retirement);
(c)
paragraph (1) of regulation K4 (early leavers) where it occurs three times; and
(d)
paragraphs (1), (2) and (3) of regulation K5 (guaranteed minimum pensions transferred to this Section of the scheme).
Amendment of regulation M6A15.
In paragraph (3)(b) of regulation M6A (member’s right to transfer a preserved pension to the 2008 section), for “B2(1)(i)” substitute “B2(1)(i), (k) or (l)”.
Amendment of regulation Q716.
“(6)
If the member becomes entitled to receive benefits before the chosen date under regulation Q5(3), the proportion of additional service or unreduced retirement lump sum to be credited to the member will be—
(a)
calculated as described in paragraph (5), and
(b)
then reduced by reason of the payment of the pension and the lump sum by such amounts as the Scottish Ministers, after taking the advice of the Scheme Actuary, shall determine.”.
Substitution of regulation Q1717.
“Q17—Revaluation of increases bought under options: members’ pensions
(1)
Where an option under regulation Q8, Q10 or Q11 has been exercised, the final amount of the increase in a member’s pension immediately before the beginning date for that pension shall be determined in accordance with this regulation.
(2)
Where the increase in pension is in respect of an option that was exercised less than 2 months before the increase becomes payable, the final amount is calculated in accordance with paragraph (4).
(3)
Where the increase in pension is in respect of an option that was exercised 2 or more months before the increase in pension becomes payable, the final amount is calculated in accordance with paragraph (5).
(4)
The calculation referred to in paragraph (2) is as follows—
Step 1 –
Calculate the basic amount of the increase in accordance with regulations Q14 to Q16, to find the Step 1 amount.
Step 2 –
Step 3 –
Divide the Step 2 amount by the Step 1 amount, to find the Step 3 factor.
Step 4 –
Divide the Step 1 amount by the Step 3 factor to find the final amount referred to in paragraph (1).
(5)
The calculation referred to in paragraph (3) is as follows—
Step 1 –
Calculate the basic amount of the increase in accordance with regulations Q14 to Q16, to find the Step 1 amount.
Step 2 –
Multiply the Step 1 amount by the retail prices index for the second month before the month in which the increase in pension will become payable, to find the Step 2 amount.
Step 3 –
Divide the Step 2 amount by the retail prices index for the month in which the option was exercised, to find the Step 3 amount.
Step 4 –
Take the greater of the Step 1 amount and Step 3 amount, to find the Step 4 amount.
Step 5 –
Add to the Step 4 amount an amount that is equal to any increases that would be due under the Pensions (Increase) Act 1971 on a pension of the same amount as the Step 4 amount when it first falls into payment, to find the Step 5 amount.
Step 6 –
Divide the Step 5 amount by the Step 4 amount, to find the Step 6 factor.
Step 7 –
Divide the Step 4 amount by the Step 6 factor to find the final amount referred to in paragraph (1).
(6)
In this regulation, “the beginning date”, in relation to a pension, means the date on which it is treated as beginning for the purposes of the Pensions (Increase) Act 19719 (see section 8(2) of that Act).”.
Amendment of regulation U318.
(1)
Regulation U3 (accounts and actuarial reports) is amended as follows.
(2)
In paragraph (3) before “The scheme actuary”, insert “Subject to paragraph (3A),”.
(3)
“(3A)
The actuarial report referred to in paragraph (3) shall be based on actuarial assumptions determined by the Scottish Ministers with the consent of the Treasury.
(3B)
Before determining the assumptions referred to in paragraph (3A) the Scottish Ministers may consult—
(a)
such representatives of employees and employing authorities as appear to the Scottish Ministers to be appropriate, and
(b)
the scheme actuary.”.
Amendment of Part W19.
Part W (pension sharing on divorce or nullity of marriage or on dissolution or nullity of a civil partnership) is amended as follows—
(a)
“(7)
A pension credit member is entitled to a lump sum calculated on the same basis as if the pension was a deferred pension under the Scheme.
(8)
Except where the member opts to exchange part of his pension under paragraph (9) the lump sum shall be equal to three times the annual rate of pension except that no lump sum on retirement shall be paid to the credit member if the corresponding pension debit member has already received a lump sum on retirement from the Scheme before the date of the implementation of the pension sharing order.
(9)
If a pension credit member opts to exchange part of a pension to which the pension credit member would otherwise be entitled for a lump sum, for every £1 by which the pension credit member’s annual pension is reduced, the pension credit member is to be paid a lump sum of £12.
(10)
An option under paragraph (9) must relate to an annual amount of pension that is a whole number of pounds (and accordingly the lump sum will be exactly divisible by 12).
(11)
In paragraph (10) “annual amount” in relation to a pension means the amount of the annual pension to which the pension credit member would be entitled under these Regulations apart from the option, together with any increases payable under the Pensions (Increase) Act 1971, calculated as at the time the payment would be first due.
(12)
A pension credit member may not exchange pension for lump sum under this regulation to the extent that it would result in a scheme chargeable payment for the purposes of Part 4 of the 2004 Act.
(13)
The option under paragraph (9) may only be exercised by giving notice in writing to the scheme administrator in the form required by the Scottish Ministers—
(a)
at the time of claiming the pension; or
(b)
before a later time specified in writing by the scheme administrator.”;
(b)
“W11A. Pension credit benefit before attaining normal benefit age (with actuarial reduction)
(1)
Subject to paragraph (2), a pension credit member shall be entitled to the payment of the pension credit benefit described in regulation W11 on or after attaining normal minimum pension age but before attaining normal benefit age.
(2)
The pension and the lump sum (if any) described in regulation W11 paragraph (1) will be reduced by such amount as the Scottish Ministers, after taking the advice of the Scheme Actuary, may determine.”;
(c)
“(3)
The maximum payment under this regulation shall not exceed an amount calculated in accordance with paragraph (3A) less the aggregate of—
(a)
the amount of any lump sum paid to the pension credit member in accordance with regulation W11 (8); and
(b)
the amount of any lump sum paid to the pension credit member in accordance with regulation W11(9).
(3A)
An amount calculated in accordance with this sub-paragraph is an amount equal to twice the amount on the valuation day of the final year’s pensionable pay of the member from whose rights the pension credit is derived.”; and
(d)
in regulation W16 (commutation: exceptional ill-health), in paragraph (3), after “regulation W11(7)”, insert “, (8) and (9)”.
Amendment of Schedule 120.
(1)
Paragraph 10 (contributions to this Section of the scheme) of Schedule 1 (medical and dental practitioners) is amended as follows.
(2)
“(1A)
For the purposes of this paragraph, “the relevant table” means—
(a)
in respect of the 2009-2010 scheme year, table 1;
(b)
in respect of the 2010-2011 and any later scheme year, table 2.
Table 1
Column 1
Column 2
Pensionable earnings band
Contribution percentage rate
Up to £20,709
5%
£20,710 to £68,392
6.5%
£68,393 to £107,846
7.5%
£107,847 to any higher amount
8.5%
Table 2
Column 1
Column 2
Pensionable earnings band
Contribution percentage rate
Up to £21,175
5%
£21,176 to £69,931
6.5%
£69,932 to £110,273
7.5%
£110,274 to any higher amount
8.5%”
(3)
“(2)
Subject to sub-paragraph (2A), a member whose pensionable earnings fall into a pensionable earnings band specified in column 1 of the relevant table must contribute the percentage of the member’s pensionable earnings specified in column 2 of that table in respect of that amount.
(2A)
The Scottish Ministers shall, with the consent of the Treasury, determine the pensionable earnings bands and contribution rates specified in the relevant table in respect of each scheme year.
(2B)
Before determining those pensionable earnings bands or contribution rates, the Scottish Ministers must consider—
(a)
the advice of the scheme actuary; and
(b)
in accordance with regulation U4, advice from such employee and employer representatives as the Scottish Ministers consider appropriate.”.
(4)
In sub-paragraphs (2F) and (2G) for “the table in sub-paragraph (2)” substitute “the relevant table”.
(5)
In sub-paragraph (8)(b), after “contributions” insert “payable under regulation D2(1)”.
(6)
“(18)
For the purposes of this paragraph—
(a)
“contributions payable under regulation D1” means contributions payable under regulation D1 by a practitioner or, as the case may be, a non-GP provider under this Section of the scheme;
(b)
“contributions payable under regulation D2(1)” means contributions payable under regulation D2(1) by an employing authority in respect of a practitioner or, as the case may be, a non-GP provider.”.
Amendment of references to “2008 scheme” to “2008 section”21.
The amendments specified in the Schedule to these Regulations have effect.
PART 3Amendment of the National Health Service Pension Scheme (Scotland) Regulations 2008
Amendment of the National Health Service Pension Scheme (Scotland) Regulations 2008F122.
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Amendment of regulation 1.B.1F123.
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Amendment of regulation 2.A.1F124.
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Amendment of regulation 2.A.10F125.
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Amendment of regulation 2.B.1F126.
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Substitution of regulation 2.B.1AF127.
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Amendment of regulation 2.B.2F128.
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Substitution of regulation 2.C.1F129.
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Substitution of regulation 2.C.2F130.
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Amendment of regulation 2.C.3F131.
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Substitution of regulation 2.C.4F132.
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Substitution of regulation 2.C.5F133.
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Amendment of regulation 2.C.6F134.
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Substitution of regulation 2.C.17F135.
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Amendment of regulation 2.D.2F136.
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Amendment of regulation 2.D.8F137.
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Amendment of regulation 2.D.14F138.
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Amendment of regulation 2.D.15F139.
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Omission of regulation 2.D.17F140.
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Amendment of regulation 2.E.2F141.
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Amendment of regulation 2.E.3F142.
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Amendment of regulation 2.E.10F143.
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Amendment of regulation 2.E.11F144.
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Amendment of regulation 2.E.12F145.
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Amendment of regulation 2.E.17F146.
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Amendment of regulation 2.E.21F147.
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Amendment of regulation 2.H.4F148.
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Amendment of regulation 2.K.1F149.
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Amendment of regulation 2.K.2F150.
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Amendment of regulation 2.K.12F151.
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New Chapter 2.LF152.
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Amendment of regulation 3.A.1F153.
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Amendment of regulation 3.B.1F154.
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Substitution of regulation 3.B.1AF155.
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Amendment of regulation 3.B.2F156.
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Amendment of regulation 3.C.1F157.
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Amendment of regulation 3.C.2F158.
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Amendment of regulation 3.C.3F159.
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Substitution of regulation 3.C.15F160.
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Amendment of regulation 3.D.2F161.
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Amendment of regulation 3.D.7F162.
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Amendment of regulation 3.D.10F163.
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Amendment of regulation 3.D.11F164.
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Omission of regulation 3.D.13F165.
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Amendment of regulation 3.E.2F166.
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Amendment of regulation 3.E.10F167.
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Amendment of regulation 3.E.11F168.
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Amendment of regulation 3.E.12F169.
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Amendment of regulation 3.E.17F170.
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Amendment of regulation 3.E.21F171.
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Amendment of regulation 3.H.4F172.
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Amendment of regulation 3.K.1F173.
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Amendment of regulation 3.K.2F174.
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Amendment of regulation 3.K.8F175.
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New Chapter 3.LF176.
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PART 4Amendment of the National Health Service (Superannuation Scheme, Pension Scheme, Inquiry Benefits and Additional Voluntary Contributions) (Scotland) Amendment Regulations 2010
Amendment of Schedule 177.
PART 5Amendment of the National Health Service (Scotland) (Injury Benefits) Regulations 1998
Amendment of Regulation 278.
(1)
(2)
““GMS contract” has the meaning given in regulation A2 of the Superannuation Scheme Regulations or, as the case may be, regulation 3.A.1 of the 2008 Regulations;”;
““GP performer” has the meaning given in regulation A2 of the Superannuation Scheme Regulations or, as the case may be, regulation 3.A.1 of the 2008 Regulations;”;
““GP provider” has the meaning given in regulation A2 of the Superannuation Scheme Regulations or, as the case may be, regulation 3.A.1 of the 2008 Regulations;”;
““HBPMS contract” has the meaning given in regulation A2 of the Superannuation Scheme Regulations or, as the case may be, regulation 3.A.1 of the 2008 Regulations;”; and
““practitioner” means, in relation to a person who is or is eligible to be a member of the scheme set out in the Superannuation Scheme Regulations or 2008 Regulations, a person, other than a locum practitioner—
- (i)
to whom regulation R1(1) or (2) of the 1995 Regulations applies (or would apply if he had been a member of the Scheme at the date he sustains an injury, or contracts a disease, to which these Regulations apply);
- (ii)
who in the case of a medical practitioner, is a GP provider or a GP performer under a GMS contract, a Section 17C agreement or an HBPMS contract or arrangements to provide services under Section 2C of the 1978 Act;”.
PART 6Amendment of the National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 1998
Amendment of the National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 199879.
(1)
(2)
At the end of paragraph (1) of regulation 3 (making and acceptance of elections), insert (as full out words) “Paragraph (1)(a) is subject to regulation 11(1A).”.
(3)
In paragraph (1) of regulation 9 (inward transfers: mis-sold pensions), after “opting into” insert “this Section of”.
(4)
In regulation 11 (retirement and dependants’ pensions)—
(a)
in paragraph (1), after “Subject to paragraph”, insert “(1A) and”;
(b)
“(1A)
Paragraphs (1B) to (1E) apply where the proceeds of any investment made under regulation 7(1), 8(2) or 9(4) are insufficient for the authorised fund to provide benefits in accordance with paragraph (1), and the participator is unwilling or unable to secure benefits in accordance with that paragraph from another insurer.
(1B)
In the case of a single authorised fund, that fund may discharge its liability for the payment of the benefits described in paragraph (1) by the payment of a lump sum that complies with the conditions in paragraph (1E).
(1C)
In the case of more than one authorised fund, each such fund may discharge its liability for the payment of the benefits described in paragraph (1), by the payment of a lump sum.
(1D)
Where paragraph (1C) applies, the lump sums referred to in that paragraph must (in aggregate) comply with the conditions in paragraph (1E).
(1E)
Those conditions are that the lump sum or sums—
(a)
represent the capital value of the benefits referred to in paragraph (1); and
(b)
meet the requirements of regulation 12 of the Registered Pension Schemes (Authorised Payments) Regulations 200917 (payments by larger pension schemes).”;
(c)
at the beginning of paragraph (3), insert “Subject to paragraph (1A),”;
(d)
at the beginning of paragraph (5), insert “Subject to paragraph (1A),”; and
(e)
in paragraph (7), omit “and paragraph 19 of the Schedule 1.”.
(5)
In regulation 15 (payments by Secretary of State)—
(a)
“(1)
Subject to paragraph (2), where an authorised provider fails to pay any amount due by way of—
(a)
an annuity;
(b)
a pension commencement lump sum;
(c)
a lump sum death benefit; or
(d)
a lump sum payment referred to in regulation 11(1B) or (1C),
the Scottish Ministers shall be liable to pay that amount.”;
(b)
in paragraph (3), for “regulation 11(4), or under regulations” substitute “regulations 11(1B), 11(1C), 11(4)”; and
(c)
in paragraph (4), before “11(8)” insert “11(1B), 11(1C)”.
(6)
“(9)
This paragraph is subject to regulation 11(1A).”.
PART 7Miscellaneous
Option to persons detrimentally affected by these Regulations80.
(1)
This regulation applies in relation to any benefit which is being paid or may become payable under the regulations amended by these Regulations to or in respect of a person who, having served in an employment or office, service in which qualified the person to participate in the benefits provided under the regulations amended by these Regulations, ceased to serve therein before these Regulations came into force.
(2)
Where, in a case to which this regulation applies, any provision of these Regulations would operate in relation to any person so as to place that person in a worse position than that person would have been if that provision had not applied, that person may elect that the provision shall not apply by giving notice in accordance with paragraph (3).
(3)
A notice given pursuant to paragraph (2) shall be in writing and shall be delivered to the Scottish Ministers within 6 months of the coming into force of these Regulations or such longer period as the Scottish Ministers may allow.
(4)
An election pursuant to paragraph (2) shall have effect in relation to the benefit referred to in paragraph (1) only to the extent that such benefit has accrued by virtue of periods of service rendered prior to the cessation referred to in paragraph (1) (or, if there has been more than one such cessation, the last of them before the coming into force of these Regulations) and in determining entitlement to, and the amount of, the benefit to that extent, such person shall be treated as if that person had never recommenced service at any time after that cessation (or, as the case may be, the last such cessation).
St Andrew’s House,
Edinburgh
We consent
SCHEDULEAMENDMENTS
In the following provisions of the National Health Service Superannuation Scheme (Scotland) Regulations 1995, for “2008 scheme” substitute “2008 Section”—
regulation |
|---|
A2 in the definition of “2008 scheme”. |
B2(1)(g)(iii) and (2) |
E6(14)(c) in the definition of “NHS employment” |
M6A cross heading |
M6A(1), (3)(c), (7)(a), (12), (14)(a) (twice) and (14)(b) |
These Regulations further amend the National Health Service Superannuation Scheme (Scotland) Regulations 1995 (S.I. 1995/365) (“the 1995 Regulations”), the National Health Service Pension Scheme (Scotland ) Regulations 2008 (S.S.I. 2008/224) (“the 2008 Regulations”), the National Health Services (Scotland) (Injury Benefits) Regulations 1998 (S.I. 1998/1594) (“the Injury Benefits Regulations”) and the National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 1998 (S.I. 1998/1451) (“the AVC Regulations”).
Regulation 1 (contained in Part 1) provides for citation, commencement and effect, including that certain provisions of this instrument are to take effect from various dates before the date of commencement. Section 12(1) of the Superannuation Act 1972 (c.11) provides authority for the regulations specified in regulation 1(2), (3), (4) and (5) to take effect as from a date earlier than the making of these Regulations.
The remainder of the Regulations is divided into five Parts, with Parts 2 to 5 amending the 1995 Regulations, the 2008 Regulations, the Injury Benefits Regulations and the AVC Regulations respectively and Part 6 providing that certain persons detrimentally affected by these Regulations may elect for the provisions not to apply to them.
Parts 2 and 3 make similar amendments in respect of both the 1995 Regulations and the 2008 Regulations. They also introduce amendments specific to either the 1995 Regulations or the 2008 Regulations.
The changes dealing with similar issues in Parts 2 and 3 (amending the 1995 and 2008 Regulations)—
introduce new provisions covering the arrangements for certain re-employed pensioner members of the 1995 Regulations to join the 2008 Regulations once a specified period of time has passed since retirement (regulations 3(5), 7, 10, 11, 12, 13, 24(b), 27, 28, 37, 41, 43, 44, 45, 46, 47, 52, 53(b), 55, 56, 62, 66, 67, 68, 69, 70, 71 and 76);
clarify that in certain circumstances persons who have opted out of the 1995 Regulations and pensioner members of other Health Service schemes (England and Wales, Northern Ireland and the Isle of Man) will not be permitted to join or re-join that Section (regulations 4(2)(a) to (f), 15, 26 and 54). The changes relating to persons who have opted out and who cannot count any service in the 1995 Regulations are made with retrospective effect from 1st April 2008 (see regulation 1);
introduce uprated pay/earnings bands for the purpose of assessing tiered contribution rates for members and remove the provisions which permit the Scottish Ministers to change the bands and tiered contribution rates by making a determination (regulations 5, 20, 30, 31, 32, 57 and 58);
specify that the current employer contribution rate is 13.5% (regulations 6 and 33);
provide for an adjustment to the method of revaluing ‘Additional Pension’ purchased to allow for negative inflation (regulations 17, 35 and 60);
reflect the respective roles of the Scottish Ministers, the Treasury, the scheme actuary and representatives of employees and employing authorities in the setting of assumptions on which actuarial reports of the scheme’s liabilities are based (regulations 18 and 23);
allow “pension credit members” to take their benefits early on an actuarially reduced basis and to commute pension on serious ill-health (regulations 19, 36, 38, 61, 63 and 64).
The changes specific to Part 2 (amending the 1995 Regulations)—
clarify the way in which benefits resulting from a contract to purchase additional service are reduced when the member retires before normal pension age and claims actuarially reduced benefits (regulations 8, 9 and 16);
provide for the scheme’s obligations in respect of guaranteed minimum pensions to remain linked to age 60 for women and age 65 for men (regulation 14);
clarify the type of contributions to be paid by a Health Board (regulation 20(5) and (6));
correct references to reflect the fact there is one NHS Pension Scheme consisting of two sections (the 1995 Regulations and the 2008 Regulations) (regulation 21 and the Schedule).
The changes specific to Part 3 (amending the 2008 Regulations)—
amend the definitions associated with the formulae used for calculating reckonable pay (regulation 25);
regroup regulations that deal with the member and employer contributions due in respect of members who are non-GP providers (regulations 29, 32 and 33);
provide for employing authorities to pay a contribution to cover the cost of the early payment of the mandatory retirement lump sum paid to an Optant who retires from that authority on grounds of redundancy (regulation 34);
adjust the income used to assess the abatement of a pension on a pensioner’s re-employment to take account of the mandatory lump sum that must be taken by a 2008 Section Optant (regulations 48 and 72);
permit the acceptance of an option to join the 2008 Regulations made by 1995 Regulations members in certain circumstances with retrospective effect from 1st October 2009 (regulations 49, 50, 73 and 74);
corrects the drafting of certain provisions (regulations 50(d), 51 and 75).
Part 4 amends the National Health Service (Superannuation Scheme, Pension Scheme, Inquiry Benefits and Additional Voluntary Contributions) (Scotland) Amendment Regulations 2010 which contained an error (regulation 77).
Part 5 amends the Injury Benefits Regulations to insert and update definitions of practitioners (regulation 78).
Part 6 (regulation 79) amends the AVC Regulations to—
enable AVC arrangements to take advantage of HMRC easements under the Registered Pension Schemes (Authorized Payments) Regulations 2009;
provide that a person with AVC proceeds totalling less than £2000 who is unable to secure an annuity, will be able to take payment in the form of a lump sum;
incorporate references to the 1995 Regulations and 2008 Regulations.
Part 7 provides that deferred members, or members in receipt of a relevant benefit, who are detrimentally affected by these Regulations may elect for the provisions not to apply to them by giving notice within six months of the coming into force of these Regulations (regulation 80).