The Teachers’ Pension Scheme (Remediable Service) Regulations (Northern Ireland) 2023

Made

Coming into operation: 1st October 2023

In accordance with section 21(1) of the 2014 Act, the Department of Education has consulted the representatives of such persons as appear to the Department likely to be affected by these Regulations.

PART 1 — Introductory provisions

Citation and commencement

1

– These Regulations may be cited as the Teachers’ Pension Scheme (Remediable Service) Regulations (Northern Ireland) 2023 and come into operation on 1st October 2023.

Interpretation

2

• (1) In these Regulations—

• “PSPJOA 2022” means the Public Service Pensions and Judicial Offices Act 2022;

• “the 1998 Regulations” means the Teachers’ Superannuation Regulations (Northern Ireland) 1998[^f00003];

• “the 2014 Regulations” means the Teachers’ Pension Scheme Regulations (Northern Ireland) 2014[^f00004];

• “the PSP (NI) Directions 2023” means the Public Service Pensions (Exercise of Powers, Compensation and Information) Directions (Northern Ireland) 2023;

• “deferred choice decision” has the meaning given in regulation 12(1);

• “deferred choice decision-maker” means the person who may make a deferred choice election decision under regulation 12(2);

• “deferred choice member” means a member with remediable teacher service who is not an immediate choice member;

• “deferred choice pension” means a pension the rate of which— is not determined (by any extent) by reference to the member’s remediable service, and is not affected by the coming into force of section 2(1) of PSPJOA 2022;

• “end of the section 10 election period”, in relation to a deferred choice member, means the end of the day determined in accordance with— where the member is the deferred choice decision-maker, regulation 13(2) (b); where a person other than the member is the deferred choice decision-maker, regulation 14(2)(b);

• “immediate choice decision” has the meaning given in regulation 8(1);

• “immediate choice decision-maker” means the person who may make an immediate choice decision under regulation 8(2);

• “immediate choice member” means a member with remediable teacher service who, immediately before 1st October 2023, was deceased or entitled to the present payment of a pension, other than a deferred choice pension, under the legacy scheme or reformed scheme;

• the “legacy scheme”, in relation to a remedy member’s remediable teacher service, means the relevant Chapter 1 legacy scheme[^f00005] for that service under the 1998 Regulations, and “legacy scheme benefits” means benefits under that scheme;

• “member” means an active, deferred, deceased or pensioner, but not a pension credit member of a teachers’ pension scheme;

• “opted-out service election” has the meaning given in regulation 6(1);

• the “reformed scheme” means the pension scheme established by the 2014 Regulations, and

• “reformed scheme benefits” means new scheme benefits[^f00006] under the reformed scheme;

• “remediable teacher service”, in relation to a remedy member, means the member’s remediable service[^f00007] in an employment or office that is pensionable service under a teachers’ pension scheme;

• “remedy member” means a deferred choice member or an immediate choice member;

• “section 6 election” has the meaning given in regulation 8(1)(a);

• “section 10 election” has the meaning given in regulation 12(1)(a);

• “surviving adult” means— surviving spouse; surviving civil partner; surviving qualifying partner;

• “teachers’ pension scheme” means the legacy scheme or the reformed scheme.

• (2) For the purposes of these Regulations, a reference in PSPJOA 2022 to section 2(1) of that Act coming into force is to be understood as a reference to that section coming into force in relation to members of a teachers’ pension scheme.

• (3) A term used in these Regulations which—

• (a) is defined in, or for the purposes of, a provision in Chapter 1 of Part 1 of PSPJOA 2022, and

• (b) is not defined differently in these Regulations,

has the meaning given in, or for the purposes of, that provision.

• (4) A term used in these Regulations which—

• (a) is defined in the 1998 Regulations or the 2014 Regulations (“the relevant Regulations”), and

• (b) is not defined differently—

• (i) in these Regulations, or

• (ii) in, or for the purposes of, a provision in Chapter 1 of Part 1 of PSPJOA 2022,

has, in relation to the scheme established by the relevant Regulations, the meaning given in those Regulations.

• (5) In these Regulations, a reference to a provision of the PSP(NI) Directions 2023 is a reference to that provision as amended from time to time.

• (6) The Interpretation Act (Northern Ireland) 1954[^f00008]shall apply to these Regulations as it applies to an Act of the Assembly.

Delegation

3

The scheme manager may delegate any functions of the scheme manager under these Regulations, including this power to delegate.

PART 2 — Remediable service statements

Requirements relating to remediable service statements

4

• (1) The scheme manager must provide a remediable service statement in respect of each remedy member (“M”) in accordance with—

• (a) section 29 of PSPJOA 2022,

• (b) any Department of Finance directions made under section 29(6) of that Act, and

• (c) this regulation.

• (2) A remediable service statement must be provided in respect of M—

• (a) before the relevant date[^f00009],

• (b) where M is, in relation to their remediable teacher service, for the time being—

• (i) an active member, at least once in each year ending with the anniversary of the relevant date;

• (ii) a deferred member, within three months of receipt of a written request by the member[^f00010], and

• (c) where M is a deferred choice member, as soon as is reasonably practicable following receipt of notification—

• (i) that M intends to claim benefits in relation to their remediable teacher service, or

• (ii) that M has died.

• (3) The remediable service statement must be provided—

• (a) to M, or

• (b) where –

• (i) M is deceased, and

• (ii) the eligible decision-maker is a person other than the scheme manager,

to the person who is for the time being the eligible decision-maker determined in accordance with the Schedule in relation to M’s remediable teacher service.

• (4) The remediable service statement must include—

• (a) where the scheme manager has determined that any information to be provided in connection with M’s remediable service must be communicated in a particular form and manner, information about that form and manner;

• (b) where M is an immediate choice member, information about the irrevocability of an immediate choice decision;

• (c) where M is a deferred choice member, information about the circumstances in which a deferred choice decision is revocable, and the circumstances in which it is irrevocable.

• (5) For further provision about—

• (a) what a remediable service statement must include, see—

• (i) section 29(5) of PSPJOA 2022;

• (ii) direction 20(1) of the PSP(NI) Directions 2023;

• (b) when a remediable service statement must be combined with a benefit information statement provided under section 14 of the Public Service Pensions Act 2014, (see direction 20(2) of the PSP(NI) Directions 2023).

PART 3 — Decisions about the treatment of remediable service

CHAPTER 1 — Opted-out service elections

Application and interpretation of Chapter 1

5

• (1) This Chapter applies to and in respect of a member (“M”) with opted-out service[^f00011] in an employment or office in relation to the legacy scheme.

• (2) In this Chapter—

• “opted-out service decision-maker” means the person who may make an opted-out service election under regulation 6(2);

• “relevant opted-out service” means the service referred to in paragraph (1).

Election in relation to relevant opted-out service

6

• (1) An election (an “opted-out service election”) may be made in relation to M’s relevant opted-out service in accordance with this Part and section 5 of PSPJOA 2022.

• (2) An opted-out service election may be made—

• (a) by M, or

• (b) where M is deceased, by the eligible decision-maker determined in accordance with the Schedule.

• (3) Where a person (“P”) other than the scheme manager is the opted-out service decision-maker, an opted-out service election may only be made after the scheme manager determines an application which is—

• (a) made by or behalf of M,

• (b) in a form and manner determined by the scheme manager,

• (c) received by the scheme manager during the period beginning on 1st October 2023 and ending at the end of 30th September 2024, and

• (d) accompanied by such information—

• (i) which is within P’s possession, or

• (ii) which P may reasonably be expected to obtain,

that the scheme manager may by written notice require P to provide in relation to the decision which caused the service in question to become opted-out service.

• (4) As soon as is reasonably practicable after receipt of an application, the scheme manager must—

• (a) determine whether an opted-out service election may be made in relation to M, and

• (b) notify the person who made the application whether such an opted-out service election may be made.

• (5) Where the scheme manager is the opted-out service decision-maker, the scheme manager must, as soon as is reasonably practicable after determining that they are the opted-out service decision-maker, determine whether to make an opted-out service election in relation to M.

• (6) The scheme manager must refuse an application where either of the following conditions is not met—

• (a) the decision by virtue of which the member’s service became opted-out service was communicated to the scheme manager on or after 10th March 2012;

• (b) the decision by virtue of which the member’s service became opted-out service was made pursuant to a relevant breach of a non-discrimination rule[^f00012].

• (7) An opted-out service election to be made by—

• (a) a person other than the scheme manager is made when the person confirms that an opted-out service election is to be made following receipt of the notification mentioned in paragraph (4)(b);

• (b) the scheme manager is made at the time determined by the scheme manager.

• (8) See section 5(2) to (4) of PSPJOA 2022 about the effect, timing and irrevocability of an opted-out service election.

CHAPTER 2 — Immediate choice decision for reformed scheme or legacy scheme benefits

Application and interpretation of Chapter 2

7

This Chapter applies in respect of the remediable teacher service of an immediate choice member (“M”).

Immediate choice decision for reformed scheme or legacy scheme benefits: general

8

• (1) A decision (an “immediate choice decision”) may be made in accordance with this Chapter—

• (a) to make an election (a “section 6 election”) by virtue of section 6 of PSPJOA 2022 in relation to M’s remediable teacher service, or

• (b) that no section 6 election is to be made in relation to that service.

• (2) An immediate choice decision may be made—

• (a) by M, or

• (b) where M is deceased, by the eligible decision-maker determined in accordance with the Schedule.

• (3) An immediate choice decision made by—

• (a) 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) the scheme manager is made at a time determined by the scheme manager.

• (4) An immediate choice decision may only be made before the end of the section 6 election period[^f00013].

• (5) An immediate choice decision is irrevocable.

• (6) An immediate choice decision to make a section 6 election takes effect as a section 6 election (see sections 6(5) and (7), 7(1)(b) and 9 of PSPJOA 2022 about the effect of a section 6 election).

• (7) Paragraph (8) applies where—

• (a) immediately before 1st October 2023, M has remediable teacher service in the reformed scheme (“reformed scheme service”), and

• (b) an immediate choice decision is made that no section 6 election is to be made in relation to M’s remediable teacher service.

• (8) Where this paragraph applies, section 6(4) of PSPJOA 2022 does not apply in relation to M’s reformed scheme service (and, accordingly, section 2(1) of PSPJOA 2022 has effect in relation to M’s reformed scheme service for the purposes mentioned in section 2(3)(b) of that Act from the time the immediate choice decision mentioned in paragraph (7)(b) is made).

• (9) The following provisions of PSPJOA 2022 have effect in relation to an immediate choice decision that no section 6 election is to be made as they have effect in relation to a section 6 election—

• (a) section 6(7) (section 6 election has effect in respect of all remediable service in the employment or office);

• (b) section 7(1)(b) (provision about when a section 6 election is to be treated as having taken effect);

• (c) section 9 (provision about persons with remediable service in more than one Chapter 1 legacy scheme).

Immediate choice decision: additional requirements

9

• (1) This regulation applies where the immediate choice decision-maker (“D”) is a person other than the scheme manager.

• (2) An immediate choice decision may not be made unless a remediable service statement has been provided to D in accordance with regulation 4(2)(a).

• (3) An immediate choice decision is to be treated as having been made only if D provides any information specified in a 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.

Immediate choice decision: deemed section 6 election

10

• (1) Where—

• (a) the end of the section 6 election period in relation to M has passed,

• (b) no immediate choice decision has been made, and

• (c) it appears to the scheme manager that the monetary value of the remediable benefits would be higher if they were treated as benefits in the reformed scheme compared with if they were treated as benefits in the legacy scheme,

the scheme manager may treat a section 6 election as having been made in relation to M’s remediable teacher service immediately before the end of the section 6 election period.

• (2) In this regulation—

• “monetary value of the remediable benefits” means the amount that would be crystallised in relation to the remediable benefits immediately before they became payable in accordance with section 216 of the Finance Act 2004[^f00014] as it had effect immediately before 1st October 2023;

• “remediable benefits” means rights to benefits secured by virtue of M’s remediable teacher service.

CHAPTER 3 — Deferred choice decision for reformed scheme or legacy scheme benefits

Application and interpretation of Chapter 3

11

This Chapter applies in respect of the remediable teacher service of a deferred choice member (“M”).

Deferred choice decision for reformed scheme or legacy scheme benefits: general

12

• (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 teacher 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 determined in accordance with the Schedule.

• (3) A deferred choice decision is made by—

• (a) a person other than the scheme manager when it is received by the scheme manager in a form and manner determined by the scheme manager;

• (b) the scheme manager 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 teacher 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 takes effect, and the effect of lapse or revocation of a section 10 election);