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The National Health Service Pension Scheme (Scotland) Regulations 2015

Type Scottish-Statutory-Instrument

Publication 2015-03-02

Last updated 2025-10-31

State In force

Jurisdiction Scotland

Department King's Printer for Scotland

Source legislation.gov.uk

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(b) if the person holds a continuing practitioner employment on becoming entitled to the old service pension, the increase is the average of the annual amounts of the person's re-valued pensionable earnings in respect of practitioner employment.

(3) If the employed pensioner's old employment was as a practitioner, the previous earnings is the amount determined under regulation 104 increased as follows—

(a) if the person becomes entitled to receive simultaneously a pension in respect of rights accrued from non-practitioner employment, the increase is the amount of previous earnings in respect of the non-practitioner employment;

(b) if the person holds a continuing non-practitioner employment on becoming entitled to the old service pension, the increase is the annual rate of earnings of the continuing employment.

(4) Paragraph (5) applies if—

(a) the employed pensioner held a part-time pensionable employment immediately before the old service pension becomes payable;

(b) in the 12 months preceding the date on which the old service pension becomes payable the person held concurrent part-time pensionable employment; and

(5) The employed pensioner's previous earnings are increased by—

(a) the annual rate of earnings in respect of the concurrent part-time pensionable employment; or

(b) if higher, that part of the pensionable earnings for the employment which is attributable to any part of the period of 12 months mentioned in paragraph (4)(b).

(6) Paragraph (7) applies if—

(a) in the period of 12 months before the date on which the old service pension becomes payable the employed pensioner was in pensionable employment as a practitioner; and

(b) the pensionable employment terminated before the old service pension became payable.

(7) The previous earnings are increased by the average of the annual amounts of the person's re-valued pensionable earnings in respect of the employment mentioned in paragraph (6).

(8) Paragraph (9) applies if—

(a) a practitioner becomes entitled to payment of a pension under this scheme;

(b) in the 12 months before the entitlement arises the practitioner held concurrent pensionable non-practitioner employment; and

(9) The previous earnings are increased by—

(a) the annual rate of earnings in respect of the employment mentioned in paragraph (8); or

(b) if higher, that part of the pensionable earnings for the employment which is attributable to any part of the period of 12 months mentioned in paragraph (8)(b).

(10) Non-practitioner employment is employment which is neither as a practitioner nor as a non-GP provider, and references to practitioner employment must be construed accordingly.

(11) Continuing employment is pensionable employment—

(a) which a person held immediately before becoming entitled to payment of a pension under this scheme; and

(b) which the person continues to hold whether it is pensionable or not.

Multiple pensions

106

(1) This regulation applies if an employed pensioner is entitled to more than one old service pension within regulation 100(1)(c) in a scheme year.

(2) In regulation 102, for paragraphs (1) and (2) substitute—

(1) If the condition in paragraph (2) is met, the amount of the old service pensions for a scheme year is reduced. (2) The condition is that the employed pensioner's relevant income for the scheme year exceeds the employed person's previous earnings for all old employments. (2A) The amount of the reduction under paragraph (1) in the case of each of the pensions is equal to the same proportion of the excess as the amount of the pension for the scheme year before the reduction bears to the sum of the pensions for that year before the reduction.

(3) In regulation 103—

(a) for paragraph (2) substitute—

(2) The enhancement amount is the difference between— (a) the aggregate amount of all old service pensions for that scheme year; and (b) the aggregate amount all of those pensions would have been if they had each been payable under regulation 78 (early payment of pension with actuarial reduction).

(b) subsequent references to the old service pension must be taken as references to every old service pension to which the substituted paragraph (2) applies.

(4) Regulation 107 applies as if references to an old service pension were references to every such pension.

Adjustment of reductions

107

(1) If the old service pension for a scheme year is being reduced under this Chapter, the scheme manager must review the amount of the reduction—

(a) at the end of the scheme year; and

(b) at any time during the scheme year if it appears to the scheme manager that—

(i) the amount of the reduction made for the year is, or may become, incorrect,

(ii) no reduction should be made.

(2) If at any time during the scheme year it appears to the scheme manager as mentioned in paragraph (1)(b), the scheme manager must make such adjustments as appear to be required, whether by—

(a) altering the amount of the reduction; or

(b) repaying to the employed pensioner any amount that should not have been deducted from the pension.

(3) If at the end of the scheme year it is apparent that—

(a) the reduction in the old service pension for the year was excessive; or

(b) no such reduction should have been made,

the scheme manager must repay the amount due to the employed pensioner.

(4) If at the end of the scheme year it is apparent that the old service pension paid for the year exceeded the amount due because the reduction in the old service pension required under regulation 102 was not made, the employed pensioner must repay the excess to the scheme manager.

(5) Paragraph (4) does not affect the right of the scheme manager has to recover a payment or overpayment which is due.

CHAPTER 8 — Serious ill health option

Option for members in serious ill health to exchange pension for lump sum

108

(1) An active member, a deferred member or a pension credit member may opt to exchange a relevant pension for a lump sum if the scheme manager is satisfied that the conditions for the lump sum to be a serious ill-health lump sum for the purposes of the 2004 Act will be met (see paragraph 4 of Schedule 29 to that Act).

(2) For the purposes of paragraph (1), a “relevant pension” is a pension payable to that member under regulation 72, 75, 89 or 93.

(3) The option may only be exercised—

(a) in the case of a pension payable under regulation 72 or 75, before or at the time when the pension becomes payable;

(b) in the case of a pension payable under regulation 89 or 93, before the pension becomes payable to the member.

(4) An active member who has reached normal pension age who exercises the option is to be paid, as soon as is reasonably practicable, an amount equal to the sum of—

(a) the maximum lump sum to which the member could have become entitled on exercising the option under regulation 76 if at the appropriate time the member had become entitled to a pension under regulation 72; and

(b) the annual rate of the pension to which the member would have been entitled under regulation 72 after exercising that option, multiplied by 5.

(5) An active member entitled to a pension under regulation 89 who exercises the option is to be paid, as soon as is reasonably practicable, an amount equal to the sum of—

(a) the maximum lump sum to which the member could have become entitled on exercising the option under regulation 76 at the appropriate time; and

(b) the annual rate of the pension to which the member is entitled under regulation 89 after exercising that option, multiplied by 5.

(6) A pension credit member entitled to a pension under regulation 75 who exercises the option is to be paid as soon as reasonably practicable an amount equal to the sum of—

(a) the maximum lump sum (if any) to which the pension credit member could have become entitled on exercising the option under regulation 76 at the appropriate time; and

(b) the total annual amount of the pension to which the pension credit member is entitled under regulation 75 after exercising the option multiplied by 5.

(7) A deferred member entitled to a pension under regulation 93 who exercises the option is to be paid, as soon as is reasonably practicable, an amount equal to the sum of—

(a) the maximum lump sum to which the member could have become entitled on exercising the option under regulation 76 at the appropriate time; and

(b) the annual rate of the pension to which the member is entitled under regulation 93 after exercising that option, multiplied by 5.

(8) “The appropriate time” means—

(a) for the purposes of paragraph (4) and (6), the time when the option under this regulation is exercised; and

(b) for the purposes of paragraphs (5) and (7), the time payment of the pension under regulation 89 or, as the case may be, 93 would otherwise first be due.

(9) References to the annual rate of a pension are to the amount of the annual pension to which the member would be entitled, together with any increases payable under the Pensions (Increase) Act 1971, calculated as at the appropriate time.

(10) The option under this regulation may only be exercised by notice in writing to the scheme manager in such form as the scheme manager requires.

CHAPTER 9 — Contracting out obligations

Guaranteed minimum pension etc

109

(1) If a member (M) has a guaranteed minimum under section 14 of the 1993 Act in relation to benefits under this scheme, nothing in these Regulations—

(a) permits or requires anything that would cause requirements made by or under that Act in relation to M and M's rights under this scheme not to be met in the case of M; or

(b) prevents anything from being done which is necessary or expedient for the purposes of meeting such requirements in the case of M.

(2) Paragraph (3) applies if apart from this regulation—

(a) no pension would be payable to M under this scheme; or

(b) the weekly rate of the pensions payable would be less than the guaranteed minimum.

(3) Where this paragraph applies—

(a) a pension at a weekly rate equal to the guaranteed minimum is payable to M for life from the date on which M reaches State pension age or, as the case may be;

(b) pensions, the aggregate weekly rate of which is equal to the guaranteed minimum, are so payable.

(4) If—

(a) on reaching State pension age M is still in employment (whether or not it is scheme employment); and

(b) if it is not scheme employment, M consents to a postponement of M's entitlement under paragraph (3),

paragraph (3) does not apply until M leaves employment.

(5) If M continues in employment for a further 5 years after reaching State pension age and does not then leave employment, M is entitled from the end of that period to so much of the member's pension under this Part as equals M's guaranteed minimum (or, as the case may be, to so much of M's pensions under this Part as together have a weekly rate equal to M's guaranteed minimum), unless M consents to a further postponement of the entitlement.

(6) If paragraph (4) or (5) applies, the amount of the guaranteed minimum to which M is entitled under this regulation is increased in accordance with section 15 of the 1993 Act.

(7) If—

(a) before State pension age M becomes entitled to the immediate payment of a pension; and

(b) M has a guaranteed minimum under section 14 of the 1993 Act in relation to the whole or part of the pension,

the weekly rate of the pension, so far as attributable to that service, must not be less than that guaranteed minimum, multiplied by such factor as is indicated in tables provided by the scheme actuary for a person of M's age and sex at the date on which the pension becomes payable.

(8) This paragraph applies if a person has ceased to be in employment that is contracted-out by reference to this scheme, and either—

(a) all the person's rights to benefits under this scheme, except the person's rights in respect of the person's guaranteed minimum or rights under section 9(2B) of the 1993 Act (“the person's contracting-out rights”), have been transferred under Part 7 (transfers); or

(b) the person has no rights to benefits under this scheme apart from the person's contracting-out rights.

(9) If paragraph (8) applies—

(a) from the date on which the person reaches State pension age, the person is entitled to a pension payable for life at a weekly rate equal to the person's guaranteed minimum, if any; and

(b) from the date on which the person reaches pension age, the person is entitled to a pension in respect of rights under section 9(2B) of the 1993 Act,

but a person falling within paragraph (8) is not to be regarded as a pensioner for the purposes of Part 6 (survivor benefits).

(10) Paragraphs (2) to (9) do not apply to—

(a) a pension that is forfeited—

(i) as a result of a conviction for treason; or

(ii) in a case where an offence within 12(2)(b) of Schedule 3 ... is committed,

(b) a pension that is commuted under regulation 108 (option for members in serious ill- health to exchange whole pension for lump sum); or

(c) a pension that is commuted under paragraph 6 of Schedule 3 (commutation of small pensions) where the conditions in regulation 25 of the Occupational Pension Schemes (Schemes that were Contracted-out) (No. 2) Regulations 2015 are met,

but if any other provision of this scheme is inconsistent with this regulation, this regulation prevails.

(11) In this regulation—

(a) “scheme employment”, in relation to a member, means employment in the employment by virtue of which the member is eligible for membership of this scheme; and

(b) references to the amount of a pension are to its amount—

(i) disregarding any additional pension,

(ii) after the subtraction of any amount exchanged under regulation 76 (option to exchange part of pension for lump sum), and

(iii) before the subtraction of any amount allocated under regulation 50 (election to allocate pension).

CHAPTER 10 — Pension debit members

Reduction in pension debit member's benefits

110

The benefits to which a pension debit member is entitled under this Part are subject to reduction pursuant to section 31 of the 1999 Act.

PART 6 — Survivor benefits

CHAPTER 1 — Adult survivor

Lump sum on death

111

A lump sum is payable in accordance with Schedule 12 in respect of the death of—

(a) an active member;

(b) a deferred member;

(d) a recent leaver (within the meaning of that Schedule);

(e) a re-employed pensioner (within the meaning of that Schedule);

(f) a partial retirement pensioner (within the meaning of that Schedule); or

(g) a pension credit member.

Surviving adult dependant pension

112

(1) If an active member, a deferred member or a pensioner member dies leaving a surviving adult dependant, the surviving adult dependant is entitled to a pension payable for life.

(2) In this Part, “surviving adult dependant” means, in relation to a deceased member or former member—

(a) the surviving spouse;

(b) the surviving civil partner; or

(3) For the rate at which the pension is payable, see regulations 114 to 118.

Surviving nominated partner

113

(1) A person (“P”) is the scheme partner of a member if—

(a) the member and P are living together as if they are husband and wife or civil partners,

(b) the member and P are not prevented from marrying or entering a civil partnership,

(d) neither the member or P is living with a third person as if they are husband and wife or civil partners.

(2) A person is a surviving scheme partner of a member if the Scottish Ministers are satisfied that for a continuous period of at least two years, ending with the member’s death, the person was the scheme partner of that member.

Amount of pension: survivor of active member

114

(1) This regulation applies in relation to the surviving adult dependant of an active member.

(2) Paragraph (4) applies in respect of a pension payable during the initial period if the amount found under that paragraph is greater than the amount payable if this paragraph did not apply;

(3) In any other case, the rate of pension is determined by whichever of paragraphs (5), (6) and (8) applies to the member.

(4) The rate of pension payable under regulation 112 is equal to—

(a) if the member was in non-practitioner employment, the rate of the member's pensionable earnings at the time of death;

(b) if the member was a practitioner or non-GP provider, the rate of the member's pensionable earnings during the last complete quarter before the member's death,

plus, in either case, if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), 37.5% of the amount of the additional pension to which the member was entitled at the date of death.

(5) If the member dies with not less than 2 years of qualifying service, the annual amount of pension payable under regulation 112 is equal to—

(a) if the member has not reached the prospective normal pension age, 33.75% of the notional Upper Tier IHP;

(b) if the member has reached the prospective normal pension age, 33.75% of the notional age retirement pension.

(6) If the member dies with less than 2 years of qualifying service having reached the prospective normal pension age, the annual amount of pension payable under regulation 112 is equal to 33.75% of the notional age retirement pension.

(7) This paragraph applies if—

(a) the member dies with less than 2 years' qualifying service before reaching the prospective normal pension age; and

(b) the surviving adult dependant has a guaranteed minimum pension under section 17 of the 1993 Act in relation to benefits in respect of the deceased member under this scheme.

(8) If paragraph (7) applies—

(a) the annual amount of the pension payable under regulation 112 is equal to the guaranteed minimum pension; but

(b) sub-paragraph (a) does not apply if—

(i) the Scottish Ministers’ liability to provide a guaranteed minimum pension in respect of the surviving adult dependent is discharged by the payment of a contributions equivalent premium under section 55(2) of the 1993 Act; or

(ii) a surviving widow, widower or civil partner has been convicted of an offence specified in paragraph 12 of schedule 3 and the Scottish Ministers directed, as a consequence of that conviction, that the person’s rights to a payment in respect of the member’s death is forfeit.

(9) In this regulation—

“the initial period” is the period of six months starting on the day after the member's death;

“the notional Upper Tier IHP” is the amount of pension the member would have received if, at the date of death, the member had become entitled to a pension under regulation 89(1)(b);disregarding the amount of any additional pension taken into account for the purposes of regulation 91(1)(c); andif the member had made an additional pension election under regulation 54(3)(b) (self and survivor), adding 37.5% of that amount;

“the notional age retirement pension” is the amount of pension the member would have received if, at the date of death, the member had become entitled to a pension under regulation 72 (ignoring any increase under regulation 74);disregarding the amount of any additional pension taken into account for the purposes of paragraph 1(d) of Schedule 11; andif the member had made an additional pension election under regulation 54(3)(b) (self and survivor), adding 37.5% of that amount;

“non-practitioner employment” is employment other than as a practitioner or a non-GP provider.

Amount of pension: survivor of pensioner member

115

(1) This regulation applies in relation to the surviving adult dependant of a pensioner member.

(2) Paragraph (3) applies in respect of a pension payable during the initial period if the amount found under that paragraph is greater than the sum of—

(a) the amount payable if this paragraph did not apply; and

(b) the amount of the pensions otherwise payable under Chapter 2.

(3) The rate of pension payable under regulation 112 is equal to the rate of the member's pension in payment at the time of death.

(4) If paragraph (3) does not apply, the rate of pension payable under regulation 112 is equal to the sum of—

(a) 33.75% of the pension to which the member was entitled at the date of death (disregarding any additional pension); and

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), 37.5% of the amount of the additional pension to which the member was entitled at the date of death.

(5) In calculating the amount of a pension pursuant to paragraph (3), the following must be ignored—

(a) the conversion amount (see paragraph 10 of Schedule 7);

(b) any reduction in the rate of the member's pension under regulation 102.

(6) In calculating the amount of a pension pursuant to paragraph (4), the following must be ignored—

(a) the conversion amount (see paragraph 10 of Schedule 7);

(b) any actuarial adjustment.

(7) The initial period is—

(a) if the member leaves one or more dependent children who are dependent on the surviving adult dependant, the period of six months starting with the day after the member's death;

(b) in any other case, the period of three months starting with that day.

(8) For the purposes of paragraph (7), a child born after the member's death is treated as having been born before it.

(9) Paragraph (10) applies if, pursuant to regulation 94(4), a member who was entitled to an ill health pension at Upper Tier ceases to be entitled to that pension and becomes entitled to an ill-health pension at Lower Tier and the member—

(a) is in further NHS employment and dies before the end of the initial period for the purposes of regulation 94; or

(b) is in further employment that is not NHS employment and dies before the end of a period of one year starting with the day on which the further employment ceased to be an excluded employment for the purposes of that regulation.

(10) The member's pension referred to in paragraph (3) is the original ill-health pension at Upper Tier.

Amount of pension: deferred members

116

(1) Paragraph (2) applies in the case of a deferred member—

(a) who left pensionable service less than 12 months before the date of death; and

(b) whose surviving adult dependant would have been the member's surviving adult dependant if the member had died on the member's last day of pensionable service.

(2) The rate of the pension payable to the surviving adult dependant is equal to 33.75% of the member's notional Upper Tier IHP.

(3) In the case of any other deferred member, the rate of pension payable is 33.75% of the amount of pension the member would have received if, at the date of death, the member had become entitled to a pension under regulation 72—

(a) disregarding the amount of any additional pension taken into account for the purposes of paragraph 1(d) of Schedule 11; and

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), adding 37.5% of that amount.

(4) In paragraph (2), the notional Upper Tier IHP is the amount of pension the member would have received if, on the date the member's pensionable service ceased, the member had become entitled to a pension under regulation 89(1)(b)—

(a) disregarding the amount of any additional pension taken into account for the purposes regulation 91(1)(c); and

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), adding 37.5% of that amount.

(5) In this regulation, “the notional Upper Tier IHP” has the same meaning as in regulation 114(9).

Recent leavers

117

(1) This regulation applies if—

(a) a recent leaver dies leaving a surviving spouse or civil partner who has a guaranteed minimum under section 17 of the 1993 Act in relation to benefits in respect of the recent leaver under this scheme; and

(b) the leaver has died before reaching the normal pension age.

(2) The surviving spouse or civil partner is entitled to a pension payable for life of an amount equal to the surviving spouse’s or surviving civil partner’s guaranteed minimum pension (disregarding any additional pension).

(3) Paragraph (2) does not apply if—

(a) the Scottish Ministers liability to provide a guaranteed minimum pension in respect of the surviving spouse or civil partner is discharged by the payment of a contributions equivalent premium under section 55(2) of the 1993 Act; or

(b) a surviving widow, widower or surviving civil partner has been convicted of an offence specified in paragraph 12 of schedule 3 and the Scottish Ministers directed, as a consequence of that conviction, that the person’s rights to a payment in respect of the member’s death is forfeit.

(4) In this Part, “recent leaver” means a person—

(a) who left pensionable service less than 12 months before the date of death;

(b) who is neither qualified for a retirement pension pursuant to regulation 71 nor is a pensioner member because of rights resulting from that employment; and

Re-employed pensioners: adult survivor pensions in initial period

118

(1) This regulation applies if, apart from this regulation, both regulations 114(4) and 115(3) apply on the death of a member.

(2) If this regulation applies, the rate of pension payable by virtue of these Regulations during the initial period (as defined in the respective regulations) is the rate provided in paragraph (3).

(3) For the relevant initial period, the rate of pension payable is equal to the sum of amounts A and B.

(4) Amount A is, in the case of a deceased active member, the rate of the deceased's pensionable earnings at the time of death.

(5) Amount B is the rate of the deceased member's pension payable at the time of death after taking account of—

(a) the conversion amount (see paragraph 10 of Schedule 7);

(b) any reduction in the rate of the member's pension under regulation 102.

(6) Paragraph (4) does not apply if—

(a) the rate of the pension payable to the surviving adult in respect of later service; and

(b) any children's pension that would otherwise be payable in respect of later service under Chapter 2,

would be greater.

Polygamous marriage

119

(1) This regulation applies if—

(a) a member dies without leaving a surviving adult dependant;

(b) at the date of death, the member was married to one or more persons under a law which permits polygamy; and

(2) The benefit mentioned in paragraph (1)(c) is payable—

(a) if there is only one such person mentioned in paragraph (1)(b), to that person;

(b) if there are two or more such persons, to those persons in equal shares.

(3) Such a person's share of a pension does not increase on the death of any other such person.

CHAPTER 2 — Child survivor

Surviving child's pension

120

(1) This regulation applies if—

(a) a member or recent leaver dies leaving an eligible child; or

(b) an eligible child of the member or recent leaver is born after the date of death.

(2) A pension is payable in respect of an eligible child.

(3) A pension ceases to be payable if the child ceases to be an eligible child.

(4) If there are two or more eligible children, the share of the pension to which each of them is entitled is determined in accordance with guidance published by the scheme manager for the purposes of this paragraph.

(5) An amount payable to an eligible child is payable—

(a) to the eligible child; or

(b) if the scheme manager so decides, to another person for the eligible child.

(6) Paragraph (7) applies to an eligible child if—

(a) at the date of death the child is dependent on an adult; and

(b) the adult is entitled to a pension under regulation 112.

(7) For any period in which the surviving adult's pension is payable at the rate specified in regulation 115(3) or 118(5), the eligible child is entitled to payment only of so much of the pension as is attributable to an additional pension.

(8) Paragraph (9) applies if an eligible child—

(a) is incapable for any period of earning a living because of a physical or mental infirmity; and

(b) for a period exceeding one month, is maintained out of public money in a hospital or other institution.

(9) No pension is payable in respect of the child for any part of the period after the first month.

(10) If, apart from this paragraph, a pension would be payable in respect of a person as an eligible child of three or more persons each of whom was a deceased member or recent leaver—

(a) the entitlements to the pensions are treated as entitlement on the death of only two of those persons; and

(b) the amount payable is equal to the sum of the two pensions which are the highest.

Eligible child

121

(1) A person is an eligible child in relation to a deceased member or recent leaver (DMR) if the child—

(a) meets the relationship condition;

(b) meets the age or health dependency condition; and

(2) A person meets the relationship condition if the person is any of the following—

(a) a natural child or grandchild of the DMR;

(b) an adopted child of the DMR who was adopted while the DMR was an active member;

(c) a step-child of the DMR whose natural or adoptive parent is the DMR's surviving spouse or civil partner from a marriage entered into or a civil partnership formed, while the DMR was an active member;

(d) a person whose natural or adoptive parent is the DMR's surviving scheme partner if, at the time the DMR ceased to be an active member, the DMR was living with the partner as mentioned in regulation 113(1)(a) and (d);

(e) a brother or sister, or child of a brother or sister, of—

(i) the DMR, or

(ii) the DMR's spouse, civil partner or surviving scheme partner;

(f) a half-brother or half-sister, or child of a half-brother or half-sister of—

(i) the DMR member, or

(ii) the DMR member's spouse, civil partner or surviving scheme partner;

(g) a person who the scheme manager believes the DMR intended, at the time the DMR ceased to be an active member, to adopt;

(h) a person who at the time the DMR ceased to be an active member had been dependent on the DMR for—

(i) two years; or

(ii) if less, half the person's life.

(3) A person meets the age or health dependency condition if—

(a) the person has not attained the age of 23; or

(b) the scheme manager believes—

(i) that the person was financially dependent on the DMR at the date of death because the person was incapable of earning a living in consequence of physical or mental impairment, and

(ii) that the person continues to be incapable of earning a living in consequence of the impairment.

(4) A person meets the birth and dependency condition if—

(a) the person was born before the DMR ceased to be an active member and—

(i) was dependent on the DMR at the date of death, and

(ii) if the date of death was after the DMR ceased to be an active member, was dependent on the DMR at the time the DMR ceased to be an active member, or

(b) the person was born not more than one year after the DMR ceased to be an active member and—

(i) was dependent on the DMR both at birth and at the date of death, or

(ii) if the person was born after the DMR's death, would have been dependent on the DMR had the DMR not died before the person's birth.

Amount of child pension: deceased active member

122

(1) This regulation determines the annual amount of pension payable under regulation 120 if, at the date of death, the deceased was—

(a) an active member of this scheme; and

(b) not also a pensioner member of this scheme.

(2) The amount, unless paragraph (6) or (7) applies, is the appropriate fraction of—

(a) the basic death pension; plus

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), 75% of the amount of the additional pension.

(3) The basic death pension is found by applying the following formula:—

$$(FP + A × B C − A) × 67 .5%$where—FP is the amount of full retirement earned pension which, if at the date of death the deceased had become entitled to an ill-health pension, would be specified in the pensioner member's account;A is the aggregate of the amounts of all of the member's pensions from pensionable service on the day after the member's last day of pensionable service (L + 1)—disregarding any additional pension; andincluding any increases applied by virtue of the Pensions (Increase) Act 1971 on L+1;B is the period counted in days which is the greater of—the aggregate of the total period of pensionable service counted in days over which the pensions referred to in A were accrued and 50% of the length of the period starting on L+1 and ending on the day before the deceased would have reached prospective normal pension age; and10 years;C is the total period of pensionable service counted in days over which the pensions aggregated to find A were accrued;$

and for the purposes of B and C, any part of a day is taken to be a whole day.

(4) The appropriate fraction is shown in column 3 of the following table against the description of circumstances in columns 1 and 2 to which it relates

Column 1	Column 2	Column 3
Surviving adult: pension entitlement and relationship to eligible child	Number of eligible children	Appropriate fraction
A. There is a surviving parent or a surviving spouse or civil partner of a parent and a surviving adult's pension is payable under regulation 112	One eligible child	¼
A. There is a surviving parent or a surviving spouse or civil partner of a parent and a surviving adult's pension is payable under regulation 112	Two or more eligible children	½
B. There is a surviving parent or a surviving spouse or civil partner of a parent but no pension is payable under regulation 112	One eligible child	⅓
B. There is a surviving parent or a surviving spouse or civil partner of a parent but no pension is payable under regulation 112	Two or more eligible children	⅔
C. There is no surviving parent or spouse or civil partner of parent.	One eligible child	⅓
C. There is no surviving parent or spouse or civil partner of parent.	Two or more eligible children	⅔

(5) Paragraph (6) applies if—

(a) a surviving adult dependent's pension is payable under regulation 112; and

(b) there is an eligible child who is not dependent on the person entitled to the pension.

(6) The rate of pension payable in respect of the child for the first three months after the deceased's death is equal to—

(a) if the deceased member was in non-practitioner employment, the rate of the member's pensionable earnings at the time of death;

(b) if the deceased member was a practitioner or non-GP provider, the average rate of the member's pensionable earnings during the last complete quarter before the member's death.

(7) Where entry B or C of column 1 of the table in paragraph (4) applies, the rate of the pension in respect of an eligible child for the period of six months starting with the deceased's death is equal to—

(a) if the deceased member was in non-practitioner employment, the rate of the member's pensionable earnings at the time of death;

(b) if the deceased member was a practitioner or non-GP provider, the average rate of the member's pensionable earnings during the last complete quarter before the member's death.

(8) Non-practitioner employment is employment other than as a practitioner or non-GP provider.

Amount of child pension: deceased pensioner member

123

(1) This regulation determines the annual amount of pension payable under regulation 120 if, at the date of death, the deceased—

(a) was a pensioner member of this scheme; and

(b) was not also an active member.

(2) The amount is the appropriate fraction of—

(a) the basic death pension; plus

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), 75% of the amount of the additional pension.

(3) The basic death pension is the greater of—

(a) 67.5% of the deceased's annual pension (disregarding any additional pension); and

(b) the amount found by applying the following formula—

$$( A C × 3650 ) × 67.5 %$where— A is the deceased’s annual pension not including any Upper Tier addition determined in accordance with regulation 91(3);C is the total period of pensionable service counted in days over which the pensions aggregated to find A were accrued;$

and for the purposes of C, any part of a day is taken to be a whole day.

(4) The appropriate fraction is as determined by regulation 122(4).

(5) Paragraph (6) applies if—

(a) a surviving adult dependent's pension is payable under regulation 112; and

(b) there is an eligible child who is not dependent on the person entitled to the pension.

(6) The rate of pension payable in respect of the child for the first three months after the deceased's death is equal to the rate of the member's pension at the date of death.

(7) Where entry B or C of column 1 of the table in paragraph (4) of regulation 122 applies, the rate of the pension in respect of a an eligible child for the period of six months starting with the deceased's death is equal to the greater of—

(a) the rate of the member's pension at the date of death disregarding any reduction under Chapter 7 of Part 5 (abatement); and

(b) the amount of child pension that would otherwise be payable under these Regulations.

(8) A reference to the deceased's pension for the purposes of paragraph (3)(a) and (b) is a reference to the amount the deceased's pension would have been if it was calculated—

(a) without subtracting the conversion amount (see paragraph 10 of Schedule 7); and

(b) in the case of a pension which was payable to the deceased pursuant to regulation 78, 81 or 83, without the reduction under paragraph 6(1)(b) or 7(1)(b) of Schedule 11.

Amount of child pension: deceased deferred member

124

(1) This regulation determines the annual amount of pension payable under regulation 120 if, at the date of death, the deceased—

(a) was a deferred member of this scheme; and

(b) was not also ...a pensioner member.

(2) The amount is the appropriate fraction of—

(a) the basic death pension; plus

(b) if the member had made an additional pension election under regulation 54(3)(b) (self and survivor), 75% of the amount of the additional pension.

(3) The basic death pension is—

(a) if the date of death is before the end of the period 12 months starting on the day after the deceased ceased to be an active member, the amount found by applying the formula in regulation 122(3);

(b) in any other case, the greater of—

(i) 67.5% of the pension which would have been payable if, at the date of death, the deceased had become entitled to a pension under regulation 72, but in calculating that pension under paragraph 1 of Schedule 11 sub-paragraph (c) must be ignored; and

(ii) the amount found by applying the formula in regulation 123(3).

(4) The appropriate fraction is shown in column 3 of the following table against the description of circumstances in columns 1 and 2 to which it relates. Table

Column 1	Column 2	Column 3
Surviving adult: pension entitlement and relationship to eligible child	Number of eligible children	Appropriate fraction
A. There is a surviving parent or a surviving spouse or civil partner of a parent and a surviving adult's pension is payable under regulation 112	One eligible child	¼
A. There is a surviving parent or a surviving spouse or civil partner of a parent and a surviving adult's pension is payable under regulation 112	Two or more eligible children	½
B. In any other case	One eligible child	⅓
B. In any other case	Two or more eligible children	⅔

Amount of child pension: recent leavers

125

(1) This regulation applies to determine the annual amount of pension payable under regulation 120 if, at the date of death, the deceased was a recent leaver (within the meaning of regulation 117(4)).

(2) The amount is the appropriate fraction of the basic death pension.

(3) The basic death pension is the amount found by applying the formula in regulation 122(3).

(4) The appropriate fraction is as determined by regulation 124(4).

Power to increase pension for children not maintained by surviving parent etc.

126

(1) This regulation applies if—

(a) a member dies leaving an eligible child;

(b) there is a surviving parent of the eligible child or a surviving spouse or civil partner of a parent of the dependent child; and

(2) The scheme manager may increase the amount of the pension that would otherwise be payable under this Chapter.

(3) The increased amount must not exceed the amount that would have been payable under this Chapter if there had been no such surviving parent or spouse or partner of a parent.

Amount of child pension: re-employed pensioners

127

(1) This regulation applies to determine the annual amount of pension payable under regulation 120 if, at the date of death, the deceased was—

(a) an active member of this scheme; and

(b) a pensioner member of this scheme.

(2) If there is no surviving adult, in relation to the period of 6 months starting on the day after the date of death, the rate of pension is equal to the sum of—

(a) the rate of the deceased's pensionable earnings at the date of death; and

(b) the rate of the pension being received by the deceased at the date of death.

(3) In paragraph (2), the rate of pensionable earnings for a member who was a practitioner or non-GP provider is the rate during the last complete quarter before the member's death.

(4) Apart from paragraph (2), the amount is the appropriate fraction of—

(a) if, at the date of death, the deceased has not reached normal pension age, the amount found by applying the formula in regulation 122(3);

(b) in any other case, 67.5% of the pension to which the deceased would have been entitled under regulation 73 (see paragraph 1 of Schedule 11).

(5) The appropriate fraction is as determined by regulation 122(4).

(6) Paragraph (7) applies if a eligible child was dependent both—

(a) at the time when the pensionable service in respect of which the pension is payable ceased; and

(b) at the date of death.

(7) The amount is the sum of—

(a) the amount payable under regulation 122 in respect of the deceased's new employment—

(i) if paragraph (1)(b) of that regulation did not apply; and

(ii) ignoring paragraph (b) of element B in the formula in paragraph (3) of that regulation; and

(b) the amount found under regulation 123(3)(a) in respect of the deceased's old employment if paragraph (1)(b) of that regulation did not apply.

(8) For the purposes of paragraph (7)—

(a) if the aggregate of the periods of pensionable service taken into account in determining the amounts under sub-paragraphs (a) and (b) is less than 10 years, the period to be taken into account for the purposes of paragraph (a) must be increased by a period equal to the length of the difference;

(b) “new employment” and “old employment” must be construed in accordance with Chapter 7 of Part 5.

Provisional awards of eligible child's pensions: later adjustments

128

(1) This regulation applies where—

(a) an active member, deferred member, recent leaver or pensioner member of this scheme has died;

(b) a pension is paid in respect of one or more persons under this Chapter on the basis that they were eligible children as at the date of the member's death and that there were then no other eligible children; and

(i) a person in respect of whom such a pension has been paid was not an eligible child on the date of death,

(ii) on that date a further person was an eligible child, or

(iii) a child who was born after the member's death is an eligible child.

(2) The scheme manager may adjust the amount of pension payable in respect of each eligible child to take account of the matters referred to in paragraph (1)(c), as applicable.

(3) Paragraph (2) does not affect any right the scheme manager has to recover a payment or an overpayment.

CHAPTER 3 — General

Suspension and recovery of pensions paid under this Part

129

(1) This regulation applies if—

(a) on a member's death a pension has been awarded and paid under this Part; and

(b) it later appears to the scheme manager that the member or the person to whom the pension has been paid knowingly made a false declaration or deliberately suppressed a material fact in connection with the award.

(2) The scheme manager may—

(a) cease paying the pension; and

(b) recover any payment made under the award.

(3) Paragraph (2) does not affect any right the scheme manager has to recover a payment or an overpayment.

PART 7 — Transfers

CHAPTER 1 — Preliminary

Application of Part

130

(1) This Part—

(a) supplements the rights conferred by or under Chapter 1 of Part 4ZA of the 1993 Act (transfer rights: general); and

(b) is without prejudice to that Chapter or Chapter 2 of that Part (early leavers: cash transfer sums and contribution refunds).

(2) This Part applies in the case of a transfer to which the club transfer arrangements apply as it applies in other cases, except to the extent that—

(a) a provision of this Part otherwise requires; or

(b) the arrangements themselves make different provision.

Interpretation of Part

131

In this Part—

“cash equivalent” means an amount calculated in accordance with regulations made under section 97 of the 1993 Act;

“club scheme” means a registered occupational pension scheme (other than a connected scheme) that has agreed to make and receive transfer value payments under the club transfer arrangements;

“club transfer” means a transfer value payment made pursuant to club transfer arrangements: and “non-club transfer” must be construed accordingly;

“club transfer arrangements” means arrangements approved by the scheme manager as providing reciprocal arrangements between this scheme and other registered occupational pension schemes for making and receiving transfer value payments;

“club transfer earned pension” means the pension attributable to the receipt of a club transfer value;

“club transfer value”, in relation to an amount of accrued earned pension under this scheme or under another club scheme, means an amount calculated by the scheme manager—in accordance with the club transfer arrangements; andby reference to the guidance and tables provided by the Government Actuary for this purpose and that are in use on the date used for the calculation;

“guarantee date” has the meaning given by regulation 134(3);

“guaranteed cash equivalent”, in relation to accrued rights to benefits under this scheme, means the cash equivalent of those accrued rights as at the guarantee date, as specified in a statement of entitlement;

“personal pension scheme” means a personal pension scheme which—in the case of such a scheme established on, or after, 6th April 2006 is a registered pension scheme for the purposes of the 2004 Act and which the scheme manager agrees to recognise as a transferring scheme for the purposes of Part 7;in the case of a scheme established before that date—was approved by the Commissioners for Her Majesty's Revenue and Customs for the purposes of Chapter 4 of Part 14 of the Income and Corporation Taxes Act 1988 (personal pension schemes) , andon the 6th April 2006 became a registered pension scheme for the purposes of the 2004 Act.

“registered occupational pension scheme” means registered under Chapter 2 of Part 4 of the 2004 Act;

“statement of entitlement”, in relation to a member's accrued rights to benefits under this scheme, means a statement by the scheme manager of the amount of the cash equivalent or club transfer value of those rights as at the guarantee date;

“transfer value”, in relation to accrued rights other than accrued earned pension which is the subject of a club transfer means—for accrued rights to benefits under this scheme, an amount equal to the guaranteed cash equivalent of those accrued rights; andfor accrued rights under another pension scheme, an amount—determined by the scheme actuary of that scheme; andspecified in a statement of accrued rights provided by the scheme manager of that scheme;

“transfer value payment” means—the payment of a transfer value or club transfer value under this Part; orthe payment of a transfer value under Chapter 1 of Part 4ZA of the 1993 Act.

CHAPTER 2 — Transfers values

SECTION 1 — Application of Chapter

Application of Chapter

132

This Chapter applies to the payment and receipt of transfer values.

SECTION 2 — Transfers out

Right to transfer value payment

133

(1) This Section applies to a member (M) unless M is—

(a) an active member;

(b) a pensioner member in respect of the pension to which M has become entitled; or

(2) If Chapter 1 of Part 4ZA of the 1993 Act (transfer values) applies to M (see section 93(1)(a) of that Act), M is entitled to require the payment of a transfer value in respect of the rights to benefit that have accrued to or in respect of M under this scheme.

(3) If Chapter 2 of that Part applies to M (see section 101AA of that Act), M is entitled to a cash transfer sum or a contribution refund in accordance with that Chapter.

(4) In any other case, M is entitled to require payment as mentioned in paragraph (2) as if the rights had accrued to or in respect of M by reference to the pensionable service M is entitled to count under this scheme (and references to M's accrued rights or benefits are to be read accordingly).

Application for statement of entitlement

134

(1) A member (M) who requires a transfer value payment to be made must apply in writing to the scheme manager for a statement of entitlement.

(2) M may withdraw the application by notice in writing at any time before the statement of entitlement is provided.

(3) The guarantee date is a date that—

(a) is within the required period;

(b) is chosen by the scheme manager;

(d) is not more than 10 days after the date on which M is provided with the statement of entitlement.

(4) In paragraph (3), the required period is—

(a) the period of 3 months beginning with the date of M's application for a statement of entitlement; or

(b) such longer period (not exceeding 6 months) beginning with that date as may reasonably be required if, for reasons beyond the control of the scheme manager, the information required to calculate the cash equivalent or club transfer value cannot be obtained.

(5) For the purposes of paragraph (3)(d), Saturdays, Sundays, Christmas Day, New Year's Day and Good Friday must be ignored.

Application for transfer value payment

135

(1) A member (M) who has applied for and received a statement of entitlement may apply in writing to the scheme manager for a transfer value payment to be made.

(2) The application must be made before the end of the period of 3 months starting with the guarantee date.

(3) On making the application M becomes entitled to payment of an amount equal, or amounts equal in aggregate, to—

(a) the amount specified in the statement of entitlement; or

(b) that amount subject to any increase specified in regulation 136(2).

(4) In this Part a payment under paragraph (3) is referred to as “the guaranteed cash equivalent transfer value payment”.

(5) The application—

(a) must specify the pension scheme or other arrangement to which the payment should be applied; and

(b) must meet such other conditions as are required by the scheme manager.

(6) The application may be withdrawn by notice in writing to the scheme manager unless, before the notice is given, an agreement for the application of the whole or part of the guaranteed cash equivalent transfer value payment has been entered into with a third party.

Transfer value payments: time limits

136

(1) The guaranteed cash equivalent transfer value payment must be made not later than—

(a) the end of the period of 6 months after the guarantee date; or

(b) if earlier, the date on which the member attains normal pension age.

(2) If the payment is made after the time specified in paragraph (1)(a), the amount of the payment must be increased by the relevant amount.

(3) The relevant amount is—

(a) if the amount specified in the statement of entitlement (SEA) is less than the amount it would have been if the guarantee date had been the date on which the payment is made, the amount of the difference;

(b) if—

(i) the SEA is greater than the amount it would have been if the guarantee date had been the date on which the payment is made, and

(ii) there was no reasonable excuse for the delay in payment,

interest on the SEA calculated on a daily basis starting on the guarantee date and ending on the date the payment is made at an annual rate of 1% above the base rate.

(4) Paragraph (5) applies if—

(a) disciplinary or court proceedings against M are started before the end of the period of 12 months starting with the date on which M leaves the employment which qualified M for being a member of this scheme; and

(b) it appears to the scheme manager that the proceedings may result in all or part of M's benefits being forfeited under paragraph 12 of Schedule 3.

(5) The scheme manager may defer making a payment under this Section until the end of the period of 3 months starting on the day the proceedings (including any proceedings on appeal) are finally determined.

(6) If a direction is given under paragraph 12 of Schedule 3 for the forfeiture of M's benefits, this regulation applies as if the SEA were reduced by an amount equal to the value of the benefits forfeited, as determined by the scheme actuary.

(7) Paragraph (8) or (9) applies if M is not entitled to an age retirement pension by virtue of regulation 71.

(8) If M's application specifies that the guaranteed cash equivalent transfer value payment is made to a registered occupational pension scheme or a registered personal pension scheme, the application may be made only if—

(a) M became a member of the other scheme before the end of the period of 12 months starting on the day after the leaving date; and

(b) the application is made not later than—

(i) the end of the period of 12 months starting on the day M became a member of the other scheme, or

(ii) if M became a member of the other scheme on or before the leaving date, the end of the period of 12 months starting on the day after the leaving date.

(9) If paragraph (8) does not apply, M's application may only be made before the end of the period of 12 months starting on the day after the leaving date.

(10) In paragraphs (8) and (9), the leaving date is the day on which M ceased to be in the pensionable service in which the rights accrued.

(11) M may require the scheme manager to make a club transfer value payment only during the period of 12 months starting with the day on which M becomes eligible to be an active member of the scheme to which the payment is to be made.

How transfer value payments may be applied

137

(1) A deferred member (DM) may require the scheme manager to apply the guaranteed cash equivalent transfer value payment only in one of the ways permitted under section 95 of the 1993 Act.

(2) In any other case, a member may require the scheme manager to apply the guaranteed cash equivalent transfer value payment only in one of the ways permitted under section 101AE of the 1993 Act.

(3) The whole of the guaranteed cash equivalent transfer value payment must be applied, unless paragraph (4) applies.

(4) Benefits attributable to—

(a) DM’s accrued rights to a guaranteed minimum pension; or

(b) DM’s accrued rights attributable to service in a contracted-out employment (within the meaning of section 8 of the 1993 Act) on or after 6th April 1997,

may be excluded from the guaranteed cash equivalent payment if section 96(2) of the 1993 Act applies (trustees or managers of certain receiving schemes or arrangements able and willing to accept a transfer payment only in respect of the members other rights).

(5) A transfer payment may be made only to—

(a) a pension scheme (other than a connected scheme) that is registered under Chapter 2 of Part 4 of the 2004 Act; or

(b) an arrangement that is a qualifying recognised overseas pension scheme for the purposes of that Part (see section 169(2) of that Act).

(6) Paragraph (1) applies whether or not DM is entitled to a guaranteed cash equivalent transfer value payment under Chapter 1 of Part 4ZA of the 1993 Act.

Calculating amounts of value or club transfer value

138

(1) The amount of the guaranteed cash equivalent transfer value payment is to be calculated and verified by the scheme manager in accordance with the Occupational Pension Schemes (Transfer Values) Regulations 1996 .

(2) In determining the factors to be used in the calculation of the member's (M's) guaranteed cash equivalent, the scheme manager must take account of—

(a) M's prospective normal pension age;

(b) advice from the scheme actuary.

(3) If the amount calculated in accordance with paragraph (1) or (5) is less than M's minimum transfer value (if any), the amount of the guaranteed cash equivalent transfer value payment is to be equal to that value.

(4) In paragraph (3) “minimum transfer value” means the sum of—

(a) any transfer value payments that have been made to this scheme in respect of M as a result of which M is entitled to count any pensionable service under this scheme by reference to which the accrued rights subject to the transfer are calculated; and

(b) any contributions paid by M under Part 4 as a result of which M is entitled to count such service.

(5) If the transfer is a club transfer, the amount of the transfer value payment is calculated in accordance with the club transfer arrangements rather than paragraph (1).

(6) If a club transfer value is paid later than 6 months after the guarantee date, the amount of the club transfer value as specified in the statement of entitlement must be increased if necessary so that it is equal to the amount it would have been if the guarantee date had been the date on which the payment is made.

Effect of transfer-out

139

If a transfer value payment is made under this Section in respect of a person's rights under the scheme, those rights are extinguished.

SECTION 3 — Transfers in

Right to apply for acceptance of transfer value payment

140

(1) An active member (M) may apply for a transfer value payment to be accepted from—

(a) an appropriate registered occupational pension scheme;

(b) a registered personal pension scheme;

(d) a corresponding scheme.

(2) Paragraph (1) does not apply to M's rights—

(a) under a free-standing AVC scheme to which paragraph (3) applies, or

(b) that are directly attributable to a pension credit.

(3) This paragraph applies to—

(a) a scheme which—

(i) immediately before 6th April 2006 was approved by the Commissioners for Her Majesty's Revenue and Customs by virtue of section 591(2)(h) of the Income and Corporation Taxes Act 1988 (free-standing AVC schemes), and

(ii) became a registered scheme for the purposes of the 2004 Act by virtue of Schedule 36 to that Act, or

(b) a scheme established on or after that date as a registered free-standing AVC scheme.

(4) An appropriate registered occupational pension scheme is a registered occupational pension scheme which is not—

(a) a connected scheme;

(b) a corresponding 1995 scheme; or

(5) In paragraph (1), “buy-out policy” means a policy of insurance or annuity contract that is appropriate for the purposes of section 19 of the 1993 Act (discharge of liability where guaranteed minimum pensions secured by insurance policies or annuity contracts).

(6) In paragraph (4)—

“a corresponding 1995 scheme” is a superannuation scheme provided under section 10 of the Superannuation Act 1972 and having effect in England and Wales or a superannuation scheme provided under Article 12 of the Superannuation (Northern Ireland) Order 1972 , the provisions of which the Scottish Ministers have determined correspond to the provisions of the 2011 Regulations;

“a corresponding 2008 scheme” is a superannuation scheme provided under section 10 of the Superannuation Act 1972 and having effect in England and Wales or a superannuation scheme provided under Article 12 of the Superannuation (Northern Ireland) Order 1972, the provisions of which the Scottish Ministers have determined correspond to the provisions of the 2013 Regulations.

Application procedure

141

(1) An application under regulation 140—

(a) must be in writing;

(b) must specify the scheme or arrangement from which the transfer value payment is to be made and the anticipated amount of the payment;

(i) the end of the period of one year starting on the day the member (M) becomes eligible to be an active member of this scheme, and

(ii) M attains normal pension age;

(d) if the scheme manager so requires, may be made only if M has requested a statement of entitlement; and

(e) must meet such other conditions as the scheme manager requires.

(2) If the transfer is not a club transfer, a statement of entitlement—

(a) is a statement of the increase to pensionable earnings and the service M will be entitled to count as a result of the transfer if the payment is accepted;

(b) must specify—

(i) the period within which the payment is to be accepted by the scheme manager, and

(ii) the amount of increase to pensionable earnings calculated in accordance with guidance and tables provided by the scheme actuary for the purpose.

(3) If the transfer is a club transfer, a statement of entitlement—

(a) is a statement of the club transfer earned pension; and

(b) must specify—

(i) the period within which the transfer is to be accepted by the scheme manager; and

(ii) the basis on which the club transfer earned pension will be revalued while M is in pensionable service under this scheme.

Acceptance of transfer value payment

142

(1) The scheme manager may accept an application under regulation 140 from a member (M) unless—

(a) such conditions as the scheme manager requires are not met; or

(b) paragraph (5) applies.

(2) If the transfer is a non-club transfer and the scheme manager accepts the payment, M is entitled—

(a) for the purposes of calculating benefits payable to, or in respect of, M under this scheme, to an increase in M's pensionable earnings calculated in accordance with regulation 143; and

(b) to be credited with the relevant period of pensionable service in this scheme.

(3) If the transfer is a club transfer, M is entitled—

(a) to the amount of club transfer earned pension specified in the statement of entitlement; and

(b) to be credited with the relevant period of pensionable service in this scheme.

(4) The relevant period is equal to the period of employment that qualified M for the rights in respect of which the transfer is being made.

(5) This paragraph applies to a non-club transfer if—

(a) it would be applied in whole or in part in respect of M's or M's spouse's entitlement to a guaranteed minimum pension; and

(b) it is less than the amount required for that purpose, as calculated in accordance with guidance and tables prepared by the scheme actuary for the purposes of this paragraph.

Calculation of increase to pensionable earnings

143

(1) The increase in pensionable earnings that the member (M) is entitled to count under regulation 142 as a result of the transfer is calculated—

(a) in accordance with guidance and tables provided by the scheme actuary for the purpose; and

(b) by reference to any relevant factors as at the date the transfer payment is received by the scheme manager.

(2) The benefits in respect of the transfer payment must be calculated by increasing M's pensionable earnings for—

(a) the scheme year in which M joined this scheme; or

(b) if the transfer payment is received more than 12 months after the day on which M joined this scheme (the starting day), the scheme year in which the payment is received.

(3) Paragraph (2)(b) does not apply if—

(a) a written statement estimating the increase in pensionable earnings that M would be entitled to count as a result of the transfer was given to M by the scheme manager during the period of 3 months ending 12 months after the starting date; and

(b) the transfer payment is received by the scheme manager before the end of the period of 3 months after the date of the statement.

(4) If the transfer is a club transfer, the club transfer earned pension M is entitled to count is calculated in accordance with the club transfer arrangements.

(5) If the transfer value statement is accepted from a corresponding scheme, the increase in pensionable earnings M is entitled to count is the increase M would be entitled to count if—

(a) M's employment to which that scheme applied were health service employment in respect of which M was a member of this scheme; and

(b) M's contributions to that scheme were contributions to this scheme.

Transfer from 1995 or 2008 Section

144

(1) This regulation applies to an active member of this scheme (M) who is entitled to require a cash equivalent of M's rights to be used to acquire rights in this scheme pursuant to—

(a) regulation M7A of the 1995 Section; or

(b) regulation 2.F.18 or 3.F.18 of the 2008 Section.

(2) M may apply to the scheme manager to convert the cash equivalent value into rights under this scheme.

(3) An application under paragraph (2)—

(a) must be in writing in the form provided by the scheme manager for the purpose;

(b) must be made before the end of the period starting with the guarantee date within the meaning of whichever of regulation M7A, 2.F.18 or 3.F.18 applies;

(c) may be made only if M has first been provided with a statement of the pensionable service and increase in pensionable earnings M will be entitled to count under this scheme if the application is accepted;

(d) must meet such other conditions as the scheme manager requires;

(e) is irrevocable.

(4) The statement mentioned in paragraph (3)(c) must inform M of—

(a) the amount of the increase in pensionable earnings that will count under this scheme for the purpose of calculating benefits payable to or in respect of M;

(b) the pensionable service that will count under this scheme to determine whether M has 2 years qualifying service for the purposes of regulation 71.

(5) The amount of the increase in pensionable earnings must be calculated in accordance with guidance, tables and other relevant factors provided by the scheme actuary for the purpose.

(6) The pensionable service is equal to the period of employment that qualifies M to the entitlement mentioned in paragraph (1).

(7) If the scheme manager accepts an application under paragraph (2), for the purposes of this scheme—

(a) the period of pensionable service mentioned in paragraph (4)(b) applies for the purpose mentioned in that paragraph;

(b) the amount of the increase in pensionable earnings is credited to M's active member's account in the scheme year in which M's application under paragraph (2) is received.

(8) For the purposes of this regulation, in regulation 140(4), sub-paragraph (a) must be ignored.

Transfers from corresponding 1995 and 2008 schemes

145

(1) This regulation applies to an active member of this scheme (M) if—

(a) M was formerly a member of a corresponding 1995 scheme or a corresponding 2008 scheme; and

(b) the scheme manager considers that on the notional joining date M would be entitled to require a cash equivalent of M's rights in that scheme to be used to acquire rights in a corresponding health service scheme if M became a member of the corresponding health service scheme.

(2) M may apply to the scheme manager to convert the cash equivalent value into rights under this scheme.

(3) An application under paragraph (2) must be in such form, provide such information and be made at such time as the scheme manager requires.

(4) The notional joining date in relation to a relevant corresponding scheme is the date M became a member of this scheme.

(5) References to a corresponding 1995 scheme and a corresponding 2008 scheme must be construed in accordance with regulation 140(6).

SECTION 4 — Bulk transfers

Bulk transfers out

146

(1) This regulation applies if—

(a) the employment of one or more active members (the transferring employees) is transferred without consent to a new employer;

(b) on the transfer the transferring employees cease to be eligible to be members of this scheme;

(c) after the transfer the transferring employees become active members of another occupational pension scheme (the new employer's scheme);

(d) the Scottish Ministers have agreed special terms for the making of transfer value payments in respect of the transferring employees to the new employer's scheme, after consultation with the scheme actuary; and

(e) the transferring employees have consented in writing to their rights being transferred in accordance with those terms.

(2) In the case of the transferring members or the transferred members, the transfer value payment to be paid—

(a) is not calculated in accordance with regulation 135; but

(b) is to be such amount as the Scottish Ministers, after consulting the scheme actuary, determine to be appropriate in accordance with the special terms.

(3) This Part has effect with such modifications as are necessary to give effect to those terms.

(4) If the transfer is directly or indirectly attributable to an enactment, this Part has effect with such modifications as the Scottish Ministers consider necessary in consequence of the transfer.

Bulk transfers in

147

(1) This regulation applies if—

(a) the employment of one or more persons (the transferred employees) is transferred without their consent to a new employer;

(b) on the transfer the transferred employees cease to be active members of an occupational pension scheme (the former employer's scheme);

(d) the Scottish Ministers, after consulting the scheme actuary, have agreed special terms for the acceptance of transfer value payments in respect of the transferred employees from the former employer's scheme; and

(e) the transferred employees have consented in writing to their rights being transferred in accordance with those terms.

(2) This scheme has effect with such modifications as are necessary to give effect to the terms mentioned in paragraph (1)(e).

(3) If the transfer is directly or indirectly attributable to an enactment, this scheme has effect with such modifications as the Scottish Ministers consider necessary in consequence of the transfer.

CHAPTER 3 — Miscellaneous transfers

EU and overseas transfers

148

(1) This regulation applies in the case of a member whose transfer is subject to transfer arrangements concluded with—

(a) the Communities Pension Scheme of the Institutions of the European Communities; or

(b) any other scheme for the provision of retirement benefits established outside the United Kingdom.

(2) This scheme applies in relation to the member with any modifications the scheme manager considers necessary to comply with—

(a) the terms of those arrangements;

(b) any applicable provision contained in or made under any enactment; and

PART 8 — General

Definitions

149

The expressions listed in column 1 of the Table in Schedule 13 have the meaning given by the corresponding entry in column 2.

OOH provider

150

(1) A reference to an “OOH provider” is a reference to a body within paragraph (2) or (3).

(2) A body is within this paragraph if it is a company limited by guarantee (which is not otherwise an employing authority)—

(a) in which all the members of the company are medical practitioners, HBPMS contractors, GMS practices or Section 17C Agreement providers and the majority of those members are—

(i) HBPMS contractors, GMS practices or Section 17C Agreement providers whose HBPMS contracts, GMS contracts or Section 17C Agreements require them to provide OOH services; or

(ii) medical practitioners who are partners or shareholders in an HBPMS contractor, a GMS practice or a Section 17C Agreement provider which is a partnership or a company limited by shares and which is required to provide OOH services under its HBPMS contract, GMS contract or Section 17C Agreement;

(b) which has a contract with a Health Board, an HBPMS contractor, a GMS practice or a Section 17C Agreement provider for the provision of OOH services;

(i) is satisfied that the provision of OOH services by the company is wholly or mainly a mutual trading activity;

(ii) is satisfied that the company has met all the conditions for being an OOH provider in this regulation; and

(iii) has, pursuant to a written application made by the company to it for that purpose, approved the company as an employing authority.

(3) A body is within this paragraph if it is a body corporate other than a company limited by guarantee (which is not otherwise an employing authority) which—

(a) operates in the interests of those who are the recipients of the primary medical services it provides or the general public;

(b) operates on a not-for-profit basis;

(d) has a memorandum or articles or rules that—

(i) prohibit the payment of dividends to its members;

(ii) require its profits (if any) or other income to be applied to promoting its objects; and

(iii) require all assets which would otherwise be available to its members generally to be transferred on its winding up either to another body which operates on a not for profit basis and whose purpose is to provide health or social care for the benefit of the community or to another body the objects of which are the promotion of charity and anything incidental or conducive thereto;

(e) has at least one member who is—

(i) an HBPMS contractor, a GMS practice or a Section 17C Agreement provider;

(ii) a partner in a partnership which is an HBPMS contractor, a GMS practice or a Section 17C Agreement provider; or

(iii) a shareholder in a company limited by shares that is an HBPMS contractor, a GMS practice or a Section 17C Agreement provider;

(f) has a contract with a Health Board, an HBPMS contractor, a GMS practice or a Section 17C Agreement provider, for the provision of OOH services; and

(g) is approved as an employing authority by a Health Board appointed by the Scottish Ministers to act on their behalf—

(i) pursuant to a written application made by the body to it for that purpose; and

(ii) that Board being satisfied that the body has met all the conditions for being an OOH provider in this regulation.

(4) For the purposes of paragraph (3)(c)—

(a) a body corporate is another person's “associated company” if that person—

(i) has control of it; and

(ii) it is not an employing authority,

(b) a person is to be taken to have control of a body corporate if the person-

(i) exercises, or is able to exercise direct or indirect control over its affairs;

(ii) is entitled to acquire such control.

(5) A company limited by guarantee or other body corporate which provides or is to provide OOH services and which wishes to be approved as an employing authority must make a written application to a Health Board appointed by the Scottish Ministers to act on their behalf (“the appointed Board”).

(6) An application referred to in paragraph (5) may specify the date from which approval by the appointed Board (if given) shall have effect (the “nominated date”).

(7) If a company limited by guarantee or other body corporate makes an application and—

(a) the appointed Board is satisfied that the company or other body corporate is within paragraph (2) or (3) as the case may be or will be at a nominated date which is later than the approval date; and

(b) it approves that application,

the approval takes effect on the later of the nominated date and the approval date.

(8) If paragraph (7) applies, NHS employment is treated as commencing on the later of the nominated date (if any) and the approval date.

(9) The appointed Board may give an OOH provider a notice in writing terminating its participation in this scheme if the provider—

(a) does not have in force a guarantee, indemnity or bond as required by the Scottish Ministers in accordance with regulation 151;

(b) has ceased to be within paragraph (2) and (3);

(i) a proposal for a voluntary arrangement has been made or approved under Part 1 (company voluntary arrangements) of the Insolvency Act 1986 (“the 1986 Act”);

(ii) an administration application has been made, or a notice of intention to appoint an administrator has been filed with the court, or an administrator has been appointed under Schedule B1 (administration) to the 1986 Act;

(iii) a receiver, manager or administrative receiver has been appointed under Part 3 of the 1986 Act;

(iv) a winding-up petition has been presented, a winding-up order has been made or a resolution for voluntary winding-up has been passed under Part 4 or Part 5 of the 1986 Act or pursuant to section 123 of the Co-operative and Community Benefit Societies Act 2014 or an instrument of dissolution has been drawn up in accordance with section 119 of that Act;

(v) notice has been received by it that it may be struck off the register of companies, or an application to strike it off has been made, under Part 31 of the Companies Act 2006 .

(10) An OOH provider—

(a) must give the appointed Board notice in writing upon the occurrence of any of the events referred to in paragraph (9)(c) and must give such notice on the same day as that event;

(b) that wishes to cease to participate in this Section of the scheme must give the appointed Board and its employees not less than three months' notice in writing (to commence with the date of the notice) of that fact.

(11) An OOH provider ceases to participate in this scheme on—

(a) such date as the appointed Board may specify in a notice under paragraph (9); or

(b) the day upon which the period referred to in paragraph (10)(b) expires if a notice under that provision has been given.

Guarantees, bonds and indemnities

151

(1) This regulation applies if—

(a) an employing authority fails or has at any time in the past failed to pay or to remit contributions in accordance with regulation 30 to 34, 47, 56 or 61; and

(b) the authority is—

(i) a GMS practice;

(ii) a Section 17C Agreement provider;

(iii) an HBPMS contractor; or

(iv) an OOH provider.

(2) The scheme manager may require the authority to have in force a guarantee, indemnity or bond which provides for payment to the scheme manager, if the authority fails to meet them, of all future liabilities under—

(a) this scheme; or

(b) the National Health Service Superannuation Scheme (Scotland) (Additional Voluntary Contributions) Regulations 1998 .

(3) The guarantee, indemnity or bond must be in such form, in respect of such amount and provided by such person as the scheme manager approves for the purpose.

Medical practitioner

152

(1) References to a medical practitioner must be construed in accordance with this regulation.

(2) A medical practitioner is a fully registered person—

(a) whose name is included in a medical performers list; and

(b) to whom any of paragraphs (3) to (6) apply.

(3) This paragraph applies to—

(a) a GMS practice;

(b) a Section 17C Agreement provider;

(d) an OOH provider.

(4) This paragraph applies to a partner in a partnership that is—

(a) a GMS practice;

(b) a Section 17C Agreement provider;

(d) an OOH provider.

(5) This paragraph applies to a shareholder in a company limited by shares that is—

(a) a GMS practice;

(b) a Section 17C Agreement provider; or

(6) This paragraph applies to an ophthalmic provider.

(7) A person who is a GP registrar is not a medical practitioner.

(8) A reference to a fully registered person must be construed in accordance with section 55 of the Medical Act 1983 .

(9) An ophthalmic provider is a medical practitioner providing general ophthalmic services under the 1978 Act.

SCHEDULE 1 — Pension Board

Composition of the pension board

1

(1) Subject to paragraph (2), the scheme manager is to determine—

(a) the membership of the Scottish NHS Pension Board (“the Board”);

(b) the manner in which the members of the Board may be appointed and removed; and

(2) The Board is to include equal numbers of members representing employers and scheme members.

(3) The scheme manager must be satisfied that a person to be appointed as a member of the Board does not have a conflict of interest.

Terms of office of members

2

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