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SCHEDULES

Regulations 6(2), 7(2), 8(1) and 18(1)

SCHEDULE 2E+W+SBasic information

PART 1E+W+SInformation to be given by occupational pension schemes that fall within paragraph 1 of Schedule 1

1.  The conditions persons must meet to become members of the scheme and a summary of the categories of persons who are eligible to become members of the scheme.E+W+S

2.  How persons who are eligible to be members of the scheme are admitted to it.E+W+S

3.  A summary of what can be done with a member's accrued rights where the member leaves pensionable service before normal pension age, including whether accrued rights can be transferred out of the scheme, converted into an annuity [F1, designated as available for the payment of drawdown pension] and commuted to a lump sum.E+W+S

Textual Amendments

4.  A statement relating to the matters mentioned in paragraph 3—E+W+S

(a)as to whether a charge may be made, and

(b)that further information is available on request.

[F24A.  Where the member has flexible benefits, a statement explaining the circumstances in which the member may transfer accrued rights to flexible benefits out of the scheme.E+W+S

Textual Amendments

4B.  [F3Subject to paragraph 4C] where the member has safeguarded benefits (which has the meaning given in section 48(8) of the Pension Schemes Act 2015 (independent advice in respect of conversions and transfers)), a statement that the member may be required to take independent advice before the member may—E+W+S

(a)convert any of the safeguarded benefits into different benefits that are flexible benefits under the scheme;

(b)transfer safeguarded benefits to another pension scheme with a view to acquiring a right or entitlement to flexible benefits; and

(c)withdraw an uncrystallised funds pension lump sum (which has the meaning given in paragraph 4A of Schedule 29 to the Finance Act 2004 (uncrystallised funds pension lump sum)).]

Textual Amendments

[F44C.  Paragraph 4B does not apply to a member of an occupational pension scheme that is an unfunded public service defined benefits scheme, unless it is a scheme in relation to which section 95(2A)(a)(i) of the 1993 Act has been disapplied, pursuant to section 95(2B) of that Act (ways of taking right to cash equivalent).]E+W+S

Textual Amendments

5.  Whether the scheme is a tax registered scheme or, if not, whether an application for the scheme to become a tax registered scheme is under consideration by the Commissioners for Her Majesty's Revenue and Customs.E+W+S

6.  A statement that explains whether transfers can be made into the scheme, including whether such transfers can be made in accordance with [F5Chapters 1 and 2 of Part 4ZA of the 1993 Act (transfers and contribution refunds)].E+W+S

Textual Amendments

7.  The arrangements, if any, for the payment by members of additional voluntary contributions.E+W+S

8.  A summary of how the contributions, if any, payable by the employer and the member are calculated.E+W+S

9.  Where the scheme is the National Employment Savings Trust Corporation established under section 75(1) of the Pensions Act 2008 M1, a statement of the maximum amount, if any, of contributions that may be paid in any tax year in relation to a member of the scheme.E+W+S

Marginal Citations

10.  A statement that—E+W+S

(a)the [F6Money and Pensions Service] is available at any time to assist members and beneficiaries with—

(i)pensions questions, and

(ii)issues they have been unable to resolve with the trustees or managers of the scheme,

(b)the Pensions Ombudsman M2 may investigate and determine certain complaints or disputes about pensions that are referred to the Ombudsman in accordance with the 1993 Act, and

(c)the Regulator may intervene in the running of schemes where trustees, managers, employers or professional advisers have failed in their duties.

Textual Amendments

Marginal Citations

M2The Pensions Ombudsman is appointed under section 145(2) of the 1993 Act.

11.  The postal and electronic address at which each of the bodies referred to in paragraph 10 may be contacted.E+W+S

F712.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S

Textual Amendments

13.  If a member of the scheme has to give a period of notice to terminate their pensionable service, the length of that period of notice.E+W+S

14.  Whether, and if so on what conditions (if any), a member of the scheme, whose pensionable service has terminated before normal pension age, may re-enter pensionable service.E+W+S

15.  The following information about benefits payable under the scheme (referred to in this paragraph as “benefits”)—E+W+S

(a)what the benefits are,

(b)how benefits are calculated,

(c)how the scheme defines pensionable earnings, if appropriate,

(d)how and when benefits in payment are increased [F8or decreased], if appropriate,

(e)the rate at which rights to benefits accrue, if appropriate,

(f)the conditions on which benefits are payable,

(g)when benefits (including survivor's benefits) are payable.

Textual Amendments

16.  Where the member has money purchase benefits, a statement that the value of the pension will depend on several factors including [F9where appropriate] the amount of the contributions paid[F10, any cost of exercising any right to transfer the benefits, any charges payable, the age at which the member accesses the benefits”], the performance of [F11investments and any] cost of converting the benefit into an annuity.E+W+S

Textual Amendments

[F1216A.  Where the member has rights to cash balance benefits, a statement that the value of the pension will depend on several factors including the amount of contributions paid[F13, any cost of exercising any right to transfer the benefits, any charges payable, the age at which the member accesses the benefits], any guaranteed interest or bonuses [F14applied and any] cost of converting the benefits into an annuity.]E+W+S

Textual Amendments

F12Sch. 2 para. 16A inserted (24.7.2014) by The Pensions Act 2011 (Transitional, Consequential and Supplementary Provisions) Regulations 2014 (S.I. 2014/1711), regs. 1(1), 79(6)(a) (with regs. 6, 41, 44(1), 47(1), 69(2), 72(1), 76(1)); coming into force immediately after s. 29 of 2011 c 19 - see S.I. 2014/1683, art. 2

17.  Except where the scheme is a public service pension scheme, a statement that the scheme annual report will be given on request.E+W+S

18.—(1) The scheme's internal dispute resolution arrangements.E+W+S

(2) The postal or electronic address and job title of the person who should be contacted to use those arrangements.

(3) This paragraph does not apply to a scheme within section 50(8) of the 1995 Act M3 (requirement for dispute resolution arrangements).

Marginal Citations

M3Section 50 was substituted by the 2004 Act, section 273 and there are no relevant amendments.

[F1518A.  In respect of a collective money purchase scheme, a statement that—E+W+S

(a)there is no promise or guarantee as to the rate or amount of benefit provided under the scheme, and

(b)the rate or amount of benefits may fluctuate, which may result in—

(i)reduced benefits before benefit becomes payable;

(ii)reduced benefits after benefit becomes payable.

Textual Amendments

18B.  In respect of a collective money purchase scheme, a summary of the rules governing how the rate or amount of benefits provided under the scheme is to be adjusted from time to time, including—E+W+S

(a)that annual benefit calculations and any adjustments of the rate or amount of benefits are applied to all the members of the scheme without variation,

(b)where relevant, an explanation of how any multi-annual reduction permitted under the scheme rules operates and the effect it may have on the rate or amount of benefits provided under the scheme, and

(c)the arrangements in place for making any adjustments to the rate or amount of benefits provided to pensioner members.]

Textual Amendments

PART 2E+W+SInformation to be given by occupational pension schemes not falling within paragraph 1 of Schedule 1 and schemes that are established under the Salvation Army Act 1963

19.  The following information about benefits payable under the scheme (referred to in this paragraph as “benefits”)—E+W+S

(a)what the benefits are,

(b)how benefits are calculated,

(c)how the scheme defines pensionable earnings, if appropriate,

(d)how and when benefits in payment are increased, if appropriate,

(e)the rate at which rights to benefits accrue, if appropriate,

(f)the conditions on which benefits are payable,

(g)when benefits (including survivor's benefits) are payable.

20.  A statement that explains whether transfers can be made into the scheme, including whether such transfers can be made in accordance with [F16Chapters 1 and 2 of Part 4ZA] of the 1993 Act.E+W+S

Textual Amendments

21.  A summary of what can be done with a member's accrued rights where the member leaves pensionable service before normal pension age, including whether the accrued rights can be transferred out of the scheme, converted into an annuity[F17, designated as available for the payment of drawdown pension] and commuted to a lump sum.E+W+S

Textual Amendments

22.  A statement relating to the matters mentioned in paragraph 21—E+W+S

(a)as to whether a charge may be made, and

(b)that further information is available.

[F1822A.  Where the member has flexible benefits, a statement explaining the circumstances in which the member may transfer accrued rights to flexible benefits out of the scheme.E+W+S

Textual Amendments

22B.  [F19Subject to paragraph 22C] where the member has safeguarded benefits (which has the meaning given in section 48(8) of the Pension Schemes Act 2015), a statement that the member may be required to take independent advice before the member may—E+W+S

(a)convert any of the safeguarded benefits into different benefits that are flexible benefits under the scheme;

(b)transfer safeguarded benefits to another pension scheme with a view to acquiring a right or entitlement to flexible benefits; and

(c)withdraw an uncrystallised funds pension lump sum (which has the meaning given in paragraph 4A of Schedule 29 to the Finance Act 2004).]

Textual Amendments

[F2022C.  Paragraph 22B does not apply to a member of an occupational pension scheme that is an unfunded public service defined benefits scheme, unless it is a scheme in relation to which section 95(2A)(a)(i) of the 1993 Act has been disapplied, pursuant to section 95(2B) of that Act.]E+W+S

Textual Amendments

23.—(1) The scheme's internal dispute resolution arrangements.E+W+S

(2) The postal or electronic address and job title of the person who should be contacted to use those arrangements.

(3) This paragraph does not apply to a scheme within section 50(8) of the 1995 Act.

24.  A statement that—E+W+S

(a)the [F21Money and Pensions Service] is available at any time to assist members and beneficiaries with—

(i)pensions questions, and

(ii)issues they have been unable to resolve with the trustees or managers of the scheme,

(b)the Pensions Ombudsman may investigate and determine certain complaints or disputes about pensions that are referred to the Ombudsman in accordance with the 1993 Act, and

(c)the Regulator may intervene in the running of schemes where trustees, managers, employers or professional advisers have failed in their duties.

Textual Amendments

25.  The postal address and electronic address at which each of the bodies referred to in paragraph 24 may be contacted.E+W+S

[F2226.  A statement setting out—E+W+S

(a)which benefits—

(i)are provided by means of the setting aside of resources (other than assets at the disposal of the employer of any person who is employed in relevant employment) for a benefit, before the benefit becomes payable, that are related to the intended rate or amount of benefit; and

(ii)are not provided by that means; and

(b)the manner in which any benefits mentioned in sub-paragraph (a)(i) are secured.]

Textual Amendments

27.  A statement that most of the provisions of the 1995 Act do not apply to the scheme.E+W+S

28.  Where the member has money purchase benefits, a statement that the value of the pension will depend on several factors including the amount of the contributions paid, the performance of investments and the cost of converting the benefit into an annuity.E+W+S

[F2328A.  Where the member has rights to cash balance benefits, a statement that the value of the pension will depend on several factors including the amount of contributions paid, any guaranteed interest or bonuses applied and the cost of converting the benefits into an annuity.]E+W+S

Textual Amendments

F23Sch. 2 para. 28A inserted (24.7.2014) by The Pensions Act 2011 (Transitional, Consequential and Supplementary Provisions) Regulations 2014 (S.I. 2014/1711), regs. 1(1), 79(6)(b) (with regs. 6, 41, 44(1), 47(1), 69(2), 72(1), 76(1)); coming into force immediately after s. 29 of 2011 c 19 - see S.I. 2014/1683, art. 2

PART 3E+W+SLifestyling

29.  A statement explaining lifestyling, its advantages and disadvantages, and either—E+W+S

(a)that lifestyling will be adopted, indicating when lifestyling is likely to be adopted, or

(b)that lifestyling has been adopted.

[F24PART 4E+W+SScheme closure: collective money purchase schemes

Textual Amendments

30.  A statement that a decision has been made to pursue continuity option 3.E+W+S

31.  A summary of the reasons for the decision in paragraph 30.E+W+S

32.  An estimate of when information will be provided in accordance with paragraphs 34 to 38.E+W+S

33.  A statement that the scheme will continue to operate in respect of its current members and beneficiaries.E+W+S

34.  A statement confirming that the scheme will be closed, which must include whether it will be closed to new contributions or new members (or both).E+W+S

35.  The date the scheme will begin to operate as a closed scheme.E+W+S

36.  A statement explaining any impact that the closure will have in relation to accrued rights to benefits under the scheme, including any differences in impact for active, deferred and pensioner members.E+W+S

37.  The arrangements for—E+W+S

(a)the future operation of the scheme, and

(b)where the scheme will be closed to new contributions, any scheme or section of a scheme to which future contributions may be made.]