The Armed Forces Pension Scheme Order 2005

[F1 Chapter 3 U.K. Deferred choice decision for reformed scheme or legacy scheme benefits

Textual Amendments

F1 Sch. 3 inserted (1.10.2023) by The Armed Forces Pensions (Remediable Service) Regulations 2023 (S.I. 2023/998), reg. 1(b), Sch. 2

Application of Chapter 3 U.K.

12.   This Chapter applies in respect of the remediable service of a deferred choice member (“M”) who has not already made—

(a) an immediate choice decision under Chapter 2,

(b) an immediate choice decision under the Schedule to the EDP 2005 Order, or

(c) a deferred choice decision under the Schedule to the EDP 2005 Order

in relation to that service.

Deferred choice decision for reformed scheme or legacy scheme benefits: general U.K.

13.— (1) A decision (a “deferred choice decision”) may be made—

(a) to make an election (a “section 10 election”) by virtue of section 10 of PSPJOA 2022 in relation to M’s remediable service, or

(b) that no section 10 election is to be made in relation to that service.

(2) A deferred choice decision may be made—

(a) by M, or

(b) where M is deceased, by the eligible decision-maker specified in Part 10.

(3) A deferred choice decision—

(a) to be made by a person other than the Scheme manager is made when it is received by the Scheme manager in a form and manner determined by the Scheme manager;

(b) to be made by the Scheme manager is made at a time determined by the Scheme manager.

(4) A deferred choice decision may only be made before the end of the section 10 election period.

(5) A deferred choice decision to make a section 10 election takes effect as a section 10 election (see sections 10(4) and (5), 11(3)(b), (4) and (7) and 13 of PSPJOA 2022 about the effect of a section 10 election).

(6) Where the deferred choice decision is that no section 10 election is to be made, the benefits payable to or in respect of M, so far as they are determined by reference to M’s remediable service, are legacy scheme benefits.

(7) The following provisions of PSPJOA 2022 have effect in relation to a decision that no section 10 election is to be made as they have effect in relation to a section 10 election—

(a) section 10(5) (section 10 election has effect in respect of all remediable service in the employment or office);

(b) section 11(3)(b), (4) and (7) (provision about when a section 10 election take effect, and the effect of lapse or revocation of a section 10 election);

(c) section 13 (persons with remediable service in more than one Chapter 1 legacy scheme).

Deferred choice decision to be made by M U.K.

14.— (1) This paragraph applies where M is the deferred choice decision-maker.

(2) A deferred choice decision may only be made during the period—

(a) beginning on the date a remediable service statement is issued under paragraph 5(2)(c)(i), and

(b) ending—

(i) at the end of the day 6 months after the day the remediable service statement mentioned in paragraph (a) was issued, or

(ii) subject to sub-paragraph (4), at the end of such other day as the Scheme manager considers reasonable in all the circumstances.

(3) The end of the period during which a deferred choice decision may be made must not be more than one year before the day on which it is reasonably expected that legacy scheme benefits would become payable to or in respect of M.

(4) A deferred choice decision made by M may be revoked—

(a) at any time before the cancellation deadline, and

(b) by M communicating to the Scheme manager notice of the revocation in a form and manner determined by the Scheme manager.

(5) Where the Scheme manager receives, before the cancellation deadline, notice that M has died—

(a) any deferred choice decision made by M lapses, and

(b) any period that has begun (whether or not it has also ended) in accordance with sub-paragraph (2) is to be treated as if it had never begun (or ended).

(6) In sub-paragraphs (4) and (5), “the cancellation deadline” means—

(a) the beginning of the day one calendar month before the day (“the payment day”) on which the first payment under the Scheme is due to be made in relation to M’s remediable service, or

(b) such later time before the payment day as the Scheme manager considers reasonable in all the circumstances.

Deferred choice decision to be made by a person other than M U.K.

15.— (1) This paragraph applies where a person other than M is the deferred choice decision-maker.

(2) A deferred choice decision may only be made during the period—

(a) beginning on the date a remediable service statement is issued under paragraph 5(2)(c)(ii), and

(b) ending—

(i) at the end of the day 6 months after that date,

(ii) except where the Scheme manager is the deferred choice decision-maker, at such later time as the Scheme manager considers reasonable in all the circumstances, or

(iii) immediately after a deferred choice decision is made, if earlier than the time which applies under sub-paragraph (i) or (ii).

(3) A deferred choice decision made by a person other than M is irrevocable.

Deferred choice election: deemed section 10 election U.K.

16.   Where—

(a) the end of the section 10 election period in relation to M has passed, and

(b) no deferred choice decision has been made,

the Scheme manager may, if it seems reasonable in all the circumstances of the case, treat a section 10 election as having been made in relation to M’s remediable service immediately before the end of the section 10 election period.

Deferred choice decision: additional requirements U.K.

17.   Where the deferred choice decision-maker (“D”) is a person other than the Scheme manager, a deferred choice decision is to be treated as having been made only if D provides the information specified in any written request from the Scheme manager that is—

(a) information in D’s possession, or

(b) information which D can reasonably be expected to obtain.]