The Local Government Pension Scheme (Amendment No. 2) Regulations (Northern Ireland) 2023

Regulation 5 makes provision in relation to members who retired or died before 1st October 2023. It is to be determined whether the person should be entitled to a final guarantee amount. If so, the amount is to be paid to the member’s pension account or personal representatives.

Regulation 6 makes provision in relation to death grants in respect of members who died before 1st October 2023. Provisional assumed benefits and a provisional underpin amount are to be calculated in respect of the member and regulation 46 (death grants: deferred members and pension credit members) of the 2014 regulations is to be applied to recalculate the death grant, with any excess being paid to the original recipients of the death grant.

Regulation 7 makes provision in relation to pensioner member death grants in respect of members who died before 1st October 2023. The death grant payable in respect of the person is to be recalculated under regulation 51 (death grants: pensioner members) and the amount is to be paid to the original recipients of the death grant.

Regulation 8 makes provision in relation to survivor benefits in respect of members who died before 1st October 2023. Provisional assumed benefits and a provisional underpin amount are to be calculated in respect of the member and regulation 4M is to be applied to the person and any survivor guarantee amount is to be added to the original survivor member’s pension account payable under regulation 41 (survivor benefits: partners of active members), 43 (survivor benefits: children of active members), 47 (survivor benefits: partners of deferred members), 48 (survivor benefits: children of deferred members), 52 (survivor benefits: partners of pensioner members) or 53 (survivor benefits: children of pensioner members) of the 2014 Regulations.

Regulation 9 makes provision in relation to members who transferred into the fund before 1st October 2023 from certain schemes. Where that transfer results in the person being entitled to benefits under the Scheme or having a transfer value accepted under regulation 112 (inward transfers of pension rights) of the 2014 Regulations, the transfer is to be treated as a transfer to which regulation 9(1ZA) (transfers) and, as the case may be (1ZB) of the Transitional Regulations applies.

Regulation 10 makes provision in relation to members who transferred out of the fund before 1st October 2023 under regulation 108 (rights to payment out of the pension fund) or 110 (bulk transfer (transfer of undertakings, etc) of the 2014 Regulations. Provisional assumed benefits and a provisional underpin amount are to be calculated in respect of the member and the transfer value is to be recalculated. Where a payment must be made, it is to be made to the trustees or manager of the new scheme for the benefit of the person.

Regulation 11 provides that where a person took a trivial commutation payment or lump sum under regulation 35(1) (commutation and small pensions) of the 2014 Regulations before 1st October 2023, it is to be determined whether the person is entitled to a final guarantee amount in accordance with regulations 4A to 4T of the Transitional Regulations.

Regulation 12 makes provision in relation to members who divorced or dissolved a civil partnership before 1st October 2023. The cash equivalent value of the person’s relevant benefits (for the purposes of Article 26 of the Welfare Reform and Pensions (Northern Ireland) Order 1999) is to be recalculated in accordance with actuarial guidance issued by the Department. Where the recalculated amount exceeds the original calculation, the annual pension awarded to the member’s spouse or civil partner is to be recalculated based on that amount.

Regulation 13 makes provision for a member with underpin dates (within the meaning of regulation 4G of the Transitional Regulations) that occur before 1st October 2023, but who do not have a final underpin date (within the meaning of regulation 4H of those Regulations) before that date. This regulation makes provision for the calculation of a provisional underpin amount and provisional assumed benefits in relation to the member and for the modification of the provision applying a final underpin date to the member.

Regulation 14 makes provision for the payment of interest in respect of sums payable under this Part of the Regulations.

Part 4 contains minor amendments unrelated to the changes made to the statutory underpin.

Regulation 15 has retrospective effect from 1st April 2009.

Regulation 16 has retrospective effect from 1st April 2015.

Regulations 17 and 18 have retrospective effect from 1st April 2023.

Footnotes

[^f00001]: Formerly known as the Department for Social Development; see the Departments Act (Northern Ireland) 2016 c.5 (N.I.)

[^f00002]: Formerly known as the Department of Finance and Personnel; see the Departments Act (Northern Ireland) 2016 c. 5 (N.I.)

[^f00003]: 2014 c. 2 (N.I.)

[^f00004]: See S.R. 2016 No. 76, Article 8 of and Schedule 5 to the Departments (Transfer of Functions) Order (Northern Ireland) 2016 transferred functions to the Department for Communities which were previously exercisable by the Department of the Environment

[^f00005]: 2022 c. 7

[^f00006]: 2022 c. 7; Sections 38(1), 75(1) and 87(1) define “Treasury Directions” as Directions given by the Department of Finance in respect of the applicable devolved Public Service Pension schemes in Northern Ireland

[^f00007]: S.R. 2009 No. 32 as amended by S.R. 2010 No. 164, S.R. 2010 No. 410, S.R. 2011 No. 117, S.R. 2012 No. 183, S.R. 2013 No. 71, S.R. 2014 No. 189, S.R 2016 No. 128, S.R. 2016 No. 329, S.R 2019 No. 206 and S.R. 2022 No. 163.

[^f00008]: S.R. 2009 No. 33 as amended by S.R. 2010 No. 164, S.R. 2010 No. 410, S.R. 2011 No. 117, S.R. 2012 No. 183, S.R. 2014 No. 189, S.R 2016 No. 128, S.R. 2016 No. 329 and S.R 2019 No. 206.

[^f00009]: S.R. 2009 No. 3433 as amended by S.R. 2010 No. 164, S.R. 2010 No. 410, S.R. 2011 No. 117, S.R. 2012 No. 183, S.R. 2014 No. 189, S.R 2016 No. 128, S.R. 2016 No. 329 and S.R 2019 No. 206.

[^f00010]: 1954 c. 33 (N.I.).

[^f00011]: The Public Service Pensions (Exercise of Powers, Compensation and Information) Directions (Northern Ireland) 2023 (finance-ni.gov.uk).

[^f00012]: For the meaning of remediable service, see section 77 of the PSPJO Act 2022

[^f00013]: For meaning of “Chapter 1 scheme” see Chapter 1 of 2022 c.7.

[^f00014]: For meaning of “judicial scheme” see Chapter 2 of 2022 c.7.

[^f00015]: For meaning of “local government scheme” see section 86(1) of 2022 c.7.

[^f00016]: Instead, the final guarantee amount is to be used in the calculation of the lump sum, for which see regulation 35(2A)(b) of the 2014 Regulations (as inserted by regulation 3(4) of these Regulations).

[^f00017]: See regulation 4C for cases where the eligible member takes flexible retirement.

[^f00018]: 1993 c. 49; Part 4ZA was inserted by paragraphs 49 to 78 of Schedule 4 to the Pension Schemes Act 2015 (2015 c. 8).

[^f00019]: See regulation 4F for the effect of receiving that repayment on the final guarantee amount.

[^f00020]: S.R. 2009 No. 33 was revoked by S.R. 2014 No. 189; there are other amendments not relevant to these Regulations.

[^f00021]: S.R. 2002 No. 352; relevant amendments are S.R. 2007 No. 448; revoked by S.R. 2009 No. 34; there are other amendments not relevant to these Regulations.

[^f00022]: For meaning of “Chapter 1 scheme” see Chapter 1 of 2022 c.7.

[^f00023]: For meaning of “judicial scheme” see Chapter 2 of 2022 c.7.

[^f00024]: For meaning of “local government scheme” see section 86(1) of 2022 c.7.

[^f00025]: For meaning of “revaluation adjustment” see Schedule 1 (interpretation) of the 2014 Regulations.

[^f00026]: For meaning of “Scheme pays election” see Schedule 1 (interpretation) of the 2014 Regulations.

[^f00027]: S.R. 2009 No. 32.

[^f00028]: 1971 c. 56.

[^f00029]: 1999 No. 3147 (N.I. 11).

[^f00030]: S.R. 2000 No. 144; regulation 4 was substituted by S.R. 2016 No. 172.

[^f00031]: For the meaning of compensatable, see section 82(3) of the PSPJOA 2022.

[^f00032]: For the meaning of Part 4 tax loss see section 82(7) of the PSPJOA 2022.

[^f00033]: 1995 No. 3213 (N.I. 22); Article 50 was substituted by Article 250 of the Pensions (Northern Ireland) Order 2005 (S.I. 2005/255 (N.I. 1)) as amended by section 14 of the Pensions Act (Northern Ireland) 2008 (2008 c. 1 (N.I.)).

[^f00034]: S.R. 2023 No. 149.

[^f00035]: See regulation 4K.

[^f00036]: See regulation 4L.

[^f00037]: The Public Service Pensions (Exercise of Powers, Compensation and Information) Directions (Northern Ireland) 2023 (finance-ni.gov.uk)

[^f00038]: For the meaning of remediable service, including the period in which it must take place, see section 77 of the Public Service Pensions and Judicial Offices Act 2022 (c. 7).

[^f00039]: S.R. 2009 No. 34: relevant amendments are S.R. 2014 No. 189.

[^f00040]: S.R. 2014 No. 189; relevant amendments are S.R. 2016 No. 128, S.R. 2019 No. 206, S.I. 2019/1514 and S.R. 2022 No. 163.

[^f00041]: S.R. 2014 No. 188; relevant amendments are S.R. 2023 No. 81.

[^f00042]: S.R. 2023 No. 81.

Editorial notes

[^key-a4078eba2895d44b1b55ffad82142d05]: Reg. 1 in operation at 1.10.2023, see reg. 1(1)

[^key-202fe7b0f28f5950ada3ba38e379df46]: Reg. 2 in operation at 1.10.2023, see reg. 1(1)

[^key-fe0fd97f8c1fc6652f96b445eb343cc3]: Reg. 3 in operation at 1.10.2023, see reg. 1(1)

[^key-fceb6ce99eb44f3a1b8190ea74a631e1]: Reg. 4 in operation at 1.10.2023, see reg. 1(1)

[^key-2f517db43689fcdb2ee73ac5b99bb163]: Reg. 5 in operation at 1.10.2023, see reg. 1(1)

[^key-eea372473832a69a078db59f61cd2bbc]: Reg. 6 in operation at 1.10.2023, see reg. 1(1)

[^key-71c079763007d9181027792b9a4e2bf2]: Reg. 7 in operation at 1.10.2023, see reg. 1(1)

[^key-a20f871493e13018c36731c3fa31c9f5]: Reg. 8 in operation at 1.10.2023, see reg. 1(1)

[^key-088d0e35a07e5772e06afb8eacb68924]: Reg. 9 in operation at 1.10.2023, see reg. 1(1)

[^key-2f8dae3663b557ce7578520b6ef12eb8]: Reg. 10 in operation at 1.10.2023, see reg. 1(1)

[^key-f5b421460a8388b0cb6f90820da6866e]: Reg. 11 in operation at 1.10.2023, see reg. 1(1)

[^key-a01eaee29ec58af8390de15295846ab3]: Reg. 12 in operation at 1.10.2023, see reg. 1(1)

[^key-4a54ed389935368fb49094dff27395bb]: Reg. 13 in operation at 1.10.2023, see reg. 1(1)

[^key-4f04aab3d4677fbf13d1c6dc2dc87243]: Reg. 14 in operation at 1.10.2023, see reg. 1(1)

[^key-eac73f0d8ed26a5e9ce1b798c305d42c]: Reg. 15 in operation at 1.10.2023 with effect in accordance with reg. 1(2)(a)

[^key-6d43d4b8c164fded67e95f94c2ba366c]: Reg. 16 in operation at 1.10.2023 with effect in accordance with reg. 1(2)(b)

[^key-e30d70049185559cff5882a196210298]: Reg. 17 in operation at 1.10.2023 with effect in accordance with reg. 1(2)(c)

[^key-26a88f65a98d3415f76d3bda822c7d05]: Reg. 18 in operation at 1.10.2023 with effect in accordance with reg. 1(2)(c)

[^key-307675791e5ae1b676a942971d916e4a]: Reg. 3(14)(b) omitted (31.8.2024) by virtue of The Local Government Pension Scheme (Amendment) Regulations (Northern Ireland) 2024 (S.R. 2024/159), regs. 1(2), 4