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The Local Government Superannuation Regulations 1986

Type Statutory-Instrument

Publication 1986-01-13

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

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Made: 13th January 1986

Laid before Parliament: 7th February 1986

Coming into Operation: 1st March 1986

The Secretary of State for the Environment, in exercise of the powers conferred on him by sections 7 and 12 of the Superannuation Act 1972[^f00001], as read with paragraph 5(1) of Schedule 7 to that Act, of the powers conferred on him by section 110 of the National Insurance Act 1965[^f00002] as the appropriate Minister of the Crown under that section, and of all other powers enabling him in that behalf, after consultation with such associations of local authorities as appeared to him to be concerned, the local authorities with whom consultation appeared to him to be desirable and such representatives of other persons likely to be affected by the regulations as appeared to him to be appropriate, hereby makes the following regulations:—

PART A — PRELIMINARY

Title and commencement

A1

These regulations may be cited as the Local Government Superannuation Regulations 1986 and shall come into operation on 1st March 1986.

Interpretation

A2

(1) Schedule 1 to these regulations contains a glossary of expressions; and in these regulations, unless the context otherwise requires, any expression for which there is an entry in the first column of that Schedule has the meaning given against it in the second column or is to be construed in accordance with directions given against it in that column.

(2) In these regulations, unless the context otherwise requires—

(a) any reference to a numbered regulation, Part or Schedule is to be construed as a reference to the regulation, Part or Schedule, as the case may be, which bears that number in these regulations, and any reference to a numbered paragraph in a regulation of or a Schedule to these regulations is to be construed as a reference to the paragraph bearing that number in that regulation or, as the case may be, that Schedule,

(b) any reference to, or to things done or falling to be done under or for the purposes of, any provision of these regulations is, if and so far as the nature of the reference permits, to be construed as including, in relation to circumstances or purposes in relation to which the corresponding provision in the 1974 regulations has or had effect, a reference to, or as the case may be to things done or falling to be done under or for the purpose of, that corresponding provision,

(c) any reference to any enactment applying to England and Wales listed in the Table in paragraph 5 of Schedule 7 to the Act of 1972 or to any instrument (including a scheme) made under any enactment so listed or to any provision of any such enactment or instrument is to be construed as including a reference to that enactment, instrument or provision as having effect by virtue of sub-paragraph (1) of that paragraph and as amended by the Miscellaneous Provisions regulations and the Local Government Superannuation (Miscellaneous Provisions) (No. 2) Regulations 1973[^f00003], and

(d) in any case where immediately before 1st April 1974 the provisions of the Acts of 1937 to 1953 and the regulations made thereunder applied to a person as modified or extended by the provisions of any local Act or scheme, any reference to a provision of the Act of 1937 or the Act of 1953 or of such regulations is, where a corresponding provision of a local Act or scheme applied to him in lieu of that provision, to be construed in relation to him as a reference to the corresponding provision.

(3) Where these regulations require anything to be done within a specified period after or from a specified day or event, the period begins immediately after the specified day or, as the case may be, the day on which the specified event occurs.

Application of regulations to Isles of Scilly

A3

These regulations apply to the Isles of Scilly as if the Isles of Scilly were a district in the county of Cornwall and the Council of the Isles of Scilly were the council of that district.

PART B — PENSIONABLE EMPLOYMENT

Pensionable employees

B1

(1) Paragraphs (2) to (15) have effect subject to paragraphs (16) and (17).

(2) A whole-time officer of a body described in column (1) of Part I of Schedule 2 (“a Part I scheduled body”) is a pensionable employee.

(3) A whole-time manual worker employed by a Part I scheduled body is a pensionable employee if he—

(a) has completed 12 months' continuous whole-time employment with that body, or

(b) without having received a return of the whole of his contributions, entered or re-entered employment with that body after having been in other local government employment, or

(4) A variable-time employee of a Part I scheduled body who is also a pensionable employee in a whole-time employment with any such body—

(a) is a pensionable employee in the variable-time employment, and

(b) if he ceases to hold the whole-time employment, remains a pensionable employee while he continues in the variable-time employment.

(5) An employee described in Part II of Schedule 2 is a pensionable employee if the body employing him have by a statutory resolution—

(a) specified him as a pensionable employee, or

(b) specified a class of employees to which he belongs as pensionable employees.

(6) A whole-time employee of—

(a) the governors of any voluntary school maintained but not provided by a local education authority for such education as may be provided by a local education authority under Part II of the Education Act 1944[^f00004], or

(b) the governing body of any polytechnic, technical institute or other similar institution which is for the time being aided by a local education authority under that Act,

is a pensionable employee if the local education authority have, with the general or specific consent of the employer, by a statutory resolution specified him as a pensionable employee or specified a class of employees to which he belongs as pensionable employees.

(7) A person who immediately before 1st April 1974 was a contributory employee in the employment of any such governors or governing body as are mentioned in paragraph (6) is a pensionable employee while he continues in employment with them.

(8) A medical inspector of immigrants appointed under the Immigration Act 1971[^f00005] who—

(a) receives his remuneration in that appointment from a Part I scheduled body, and

(b) is also a pensionable employee in an employment under any local authority,

is a pensionable employee in respect of the appointment.

(9) A whole-time member of a passenger transport executive is a pensionable employee if that executive have, with the consent of the council of the metropolitan county for which they are the Executive, by a statutory resolution specified him as a pensionable employee.

(10) A whole-time director of a subsidiary of a passenger transport executive is a pensionable employee if that executive have by a statutory resolution specified him as a pensionable employee.

(11) A person who immediately before 1st April 1914—

(a) was a member of a passenger transport executive or a director of a subsidiary of a passenger transport executive, and

(b) was in that position a contributory employee,

is a pensionable employee while he continues in that position.

(12) Subject to any order made by the Secretary of State under section 74 of the Transport Act 1962[^f00006], a person who immediately before 1st April 1914—

(a) was in employment with the London Transport Executive, and

(b) was by virtue of section 18(4) of the Transport (London) Act 1969[^f00007] entitled to participate in the benefits of the superannuation fund maintained under Part I of the Act of 1937 by the Greater London Council or Newham London borough council,

and who continued up to 29th June 1984 in employment with the London Transport Executive is a pensionable employee while he continues in employment with London Regional Transport.

(13) A person who immediately before 1st April 1974—

(a) was a justices' clerk (inner London area) or other officer employed by the committee of magistrates for the inner London area, and

(b) was by virtue of regulation 2(1) of the Superannuation (Inner London Magistrates' Courts) Regulations 1965[^f00008] entitled to superannuation rights corresponding with those to which he was entitled in respect of his service before 1st April 1965 as a justices' clerk in the county of London or an officer employed by the County of London Magistrates' Courts Committee,

is a pensionable employee unless there has since been a period of 12 months or more during which he was not such a clerk or officer as is mentioned in sub-paragraph (a).

(14) A coroner, other than—

(a) the Queen's coroner and attorney, or

(b) the coroner of the Queen's Household, or

(c) a coroner who held office immediately before 6th April 1978 and did not elect in accordance with article 3(b) of the Social Security (Modification of Coroners (Amendment) Act 1926) Order 1978[^f00009] that the provisions of the Coroners (Amendment) Act 1926[^f00010] relating to pensions should not apply to him,

is a pensionable employee.

(15) A person who immediately before 1st March 1986 was a pensionable employee by virtue of regulation B2(1)(m) of the 1974 regulations (certain former contributory employees continuously employed by same body) is a pensionable employee while he continues in employment with the same body.

(16) A Part I scheduled body may resolve that a person who falls within paragraph (2), (3) or (4) shall not become a pensionable employee unless he has undergone a medical examination to their satisfaction; and a resolution under this paragraph may apply to any specified person or to any specified class of persons.

(17) Notwithstanding anything in paragraphs (2) to (15), the following are not pensionable employees:

(a) a person specified in column (2) of Part I of Schedule 2;

(b) a person who elected under paragraph 2 of Part VI of Schedule 2 to the Act of 1937 not to become a contributory employee and whose election did not cease to have effect before 1st April 1974, so long as he continues as a whole-time manual worker in employment with the body to whom he gave notice of the election;

(c) a person who elected under regulation 25 of the Miscellaneous Provisions regulations not to become a contributory employee and whose election did not cease to have effect before 1st April 1974, so long as he continues in employment with the body to whom he gave notice of the election;

(d) a person who has not attained the age of 18 years;

(e) a person who has attained the age of 65 years and has completed not less than 45 years' reckonable service;

(f) any other person who has attained the age of 65 years, unless—

(i) there has become payable to him a pension which is liable to be reduced or suspended under regulation E15, an ill-health retirement grant under regulation E4, or a short service grant under the Benefits regulations, or

(ii) if he were to become a pensionable employee, he would immediately become entitled to reckon any period as reckonable service or qualifying service, or

(iii) under any enactment he has received or is entitled to receive compensation for loss of employment or loss or diminution of emoluments attributable to the provisions of an enactment, and the compensation is liable to be reduced or suspended, in consequence of his taking up employment with a scheduled body, in the like manner and to the like extent as it would have been if he had remained subject to the pension scheme to which he was subject immediately before suffering the loss;

(g) a person who is in the same employment entitled to participate in the benefits of any other superannuation scheme provided by or under any enactment (including an enactment in a local Act), other than section 7 of the Act of 1972;

(h) a chaplain to whom the Clergy Pensions Measure 1961[^f00011] applies;

(i) an employee of a scheduled body in respect of whom contributions to the Merchant Navy Officers Pension Fund are made;

(j) an employee of a scheduled body in respect of whom contributions to the Port Employers and Registered Dock Workers Pension Fund are made;

(k) a person who is entitled as mentioned in section 28 (superannuation of telephone employees) of the Kingston upon Hull Act 1984[^f00012].

(18) In this regulation “statutory resolution” means, in relation to a scheduled body, a resolution passed in the manner in which an ordinary resolution of the body may be passed, except that 28 days' notice of the meeting at which the resolution was passed and of the terms of the resolution and of the fact that it is to be proposed at that meeting must have been given in the manner in which notice for convening ordinary meetings of the body may be given.

Persons treated as employees of a scheduled body

B2

(1) For the purposes of these regulations a person of a class described in column (1) of the Table below shall be deemed to be an officer in employment with the body described opposite that class in column (2).

(1)	(2)
Class	Deemed employing body
Justices' clerks (outside the inner London area)	The magistrates' courts committee by whom he was appointed or is deemed to have been appointed
Registration officers	The local authority who made the scheme under section 14 of the Registration Service Act 1953[^f00013] for the district in or for which the officer acts
Rent officers and deputy rent officers	The local authority for whose area the relevant scheme is made, or has effect as if made, under section 63 of the Rent Act 1977[^f00014]
Medical inspectors of immigrants falling within regulation B1(8)	The local authority from whom he receives his remuneration in the appointment
Members of passenger transport executives and directors of subsidiaries of passenger transport executives falling within regulation B1(9), (10) or (11)	The relevant passenger transport executive
Coroners falling within regulation B1(14)	The authority (being a county council or the Greater London Council or the Common Council) by whom he was appointed

(2) Where an employee of the governors of a voluntary school or of the governing body of a polytechnic, technical institute or other similar institution is a pensionable employee by virtue of—

(a) a resolution of an education authority having effect under regulation B1, or

(b) his having been specified as a contributory employee by a resolution—

(i) of an education authority under section 3(2)(f) of the Act of 1937, or

(ii) of the Greater London Council under section 53 of the London County Council (General Powers) Act 1929[^f00015] or section 7 of the London County Council (General Powers) Act 1938[^f00016],

he shall for the purposes of these regulations be deemed to be in employment with the body who passed the resolution.

(3) Where an employee of the governors of a voluntary school which on 1st April 1974 became maintained by a local education authority for an area outside Greater London is a pensionable employee by virtue of his having been a contributory employee in that employment, he shall for the purposes of these regulations be deemed to be in employment with that authority.

(4) Every employee of a subsidiary of a passenger transport executive shall for the purposes of these regulations be deemed to be in employment with that executive.

(5) In their application to a person who is a pensionable employee by virtue of regulation B1(12), these regulations have effect as if London Regional Transport were a scheduled body.

(6) In their application to a person who is a pensionable employee by virtue of regulation B1(13), these regulations have effect as if the committee of magistrates for the inner London area were a scheduled body.

Power to admit employees of other bodies

B3

(1) Subject to paragraphs (3) to (6), an administering authority may make an agreement (“an admission agreement”) with any body specified in paragraph (8) providing for employees of that body (“the employing body”) to participate in the benefits of the superannuation fund maintained by the authority.

(2) In relation to an employee participating in the benefits of a fund by virtue of an admission agreement (“an admitted employee”) these regulations have effect as if he were a pensionable employee and the employing body were a scheduled body.

(3) Subject to paragraph (4), an admission agreement may provide for members of any specified class or classes of employees of the employing body to become admitted employees.

(4) An admission agreement may not provide for any person who—

(a) has not attained the age of 18 years, or

(b) has attained the age of 65 years and does not fall within regulation B1(17)(f)(i) to (iii),

to become an admitted employee.

(5) Except as provided in paragraph (6), an admission agreement may not modify the application of these regulations to any admitted employee so that he has any greater or lesser rights or liabilities than those he would have had if he had become a pensionable employee by virtue of regulation B1.

(6) An admission agreement may—

(a) provide that any previous period of employment of an admitted employee by the employing body is to be reckonable as reckonable service to such extent as may be specified in the agreement, and

(b) where the employing body is one of the bodies specified in paragraph (8)(g) and (h), provide that a percentage, not exceeding 4.4%, of the remuneration of an admitted employee shall, if he is an employee of a description specified for the purpose in the agreement, be treated as not being remuneration for the purposes of these regulations.

(7) On making an admission agreement an administering authority shall forthwith inform the Secretary of State of the name of the employing body and the date from which the agreement takes effect.

(8) The bodies mentioned in paragraph (1) are:

(a) an organisation, not carried on for profit and not provided by a local or public authority, engaged in the provision of services—

(i) under paragraph 1 of Schedule 8 to the National Health Service Act 1977[^f00017], or

(ii) under Part III of the National Assistance Act 1948[^f00018], or

(iii) under the Disabled Persons (Employment) Act 1958[^f00019], or

(iv) under the Mental Health Act 1959[^f00020], or

(v) under section 12 or 45 of the Health Services and Public Health Act 1968[^f00021];

other than such of those services as under section 3(1) of the National Health Service Act 1977 the Secretary of State considers are appropriate as part of the health service continued by section 1 of that Act;

(b) a body representative of local authorities or water authorities or of local authorities or water authorities and officers of local authorities or water authorities or a body representative of officers of local authorities or water authorities formed for the purpose of consultation as to the common interests of those authorities and the discussion of matters relating to local government or the functions of water authorities;

(c) a body authorised by any enactment to carry on any railway, light railway, tramway, road transport, water transport, canal, inland navigation, dock, harbour, pier, lighthouse or airport undertaking, or any undertaking for the supply of electricity, gas, hydraulic power or water;

(d) a body approved for the purposes of this regulation by the Secretary of State who are primarily engaged in carrying on any undertaking of a kind mentioned in sub-paragraph (c) though not authorised by any enactment to carry on any such undertaking;

(e) a body, other than the governors or managers of a voluntary school within the meaning of the Education Act 1944[^f00022]who provide a public service in the United Kingdom otherwise than for the purposes of gain or to whose funds any local authority contribute or to whom any grant is made out of moneys provided by Parliament;

(f) the Housing Corporation;

(g) the Commission for the New Towns;

(h) a development corporation established under the New Towns Act 1981[^f00023];

(i) the company (limited by shares) incorporated on 1st July 1983 under the Companies Acts 1948 to 1981[^f00024] under the name of British Water International Limited;

(j) the company (limited by guarantee) which was so incorporated on 13th October 1969 under the name of International Water Supply Congress and Exhibition Limited;

(k) the company (limited by guarantee) which, on a change of name, was so incorporated on 15th June 1984 under the name of International Association on Water Pollution Research and Control.

(9) Any agreement made under regulation B4 of the 1974 regulations, or continued in force by regulation J8 of those regulations as if so made, continues in force as if it were an admission agreement made under this regulation.

Further provision as to admission of employees of other bodies

B4

(1) For the purposes of this regulation a relevant event occurs, whether or not any property, debts, liabilities or obligations of either body then become vested in or attach to the other body, both—

(a) when any activity carried on by a scheduled body ceases in whole or part to be carried on by that body and, to the extent that it so ceases, becomes or becomes part of an activity carried on by another body (“the transferee body”) which is neither a scheduled body nor a body specified in regulation B3(8), and

(b) on any subsequent occasion when an activity, or part of an activity, originally comprised in the first activity mentioned in sub-paragraph (a) ceases in whole or part to be carried on by one body and, to the extent that it so ceases, becomes or becomes part of an activity carried on by another body (“a successor body”) which is neither a scheduled body nor a body specified in regulation B3(8).

(2) Where a relevant event occurs, the transferee body or, as the case may be, a successor body shall, for the purpose only of enabling an agreement to be made under regulation B3 for the admission of employees of theirs who—

(a) immediately before the occurrence of the relevant event mentioned in paragraph (1)(a) were pensionable employees of the scheduled body, and

(b) immediately before the occurrence of every subsequent relevant event were entitled by virtue of an agreement under regulation B3 to participate in the benefits of a superannuation fund maintained under these regulations, and

(c) are employed by the transferee body or successor body in connection with an activity, or part of an activity, originally comprised in the first activity mentioned in paragraph (1)(a),

be deemed to be a body specified in regulation B3(8).

Treatment of certain additional duties

B5

(1) This regulation applies where the duties of an officer who is in a whole-time employment with a scheduled body include the additional duty of a returning officer at local government elections or of an acting returning officer.

(2) Where—

(a) the officer became a pensionable employee under the 1974 regulations on 1st April 1974, and

(b) immediately before that date he was in the whole-time employment and his duties in it included one or both of the additional duties,

then unless the context otherwise requires these regulations apply to him in relation to each additional duty as if it were a separate variable-time employment with a scheduled body other than the body with whom he is in the whole-time employment.

(3) In any other case these regulations apply to the officer, unless the context otherwise requires—

(a) where there is one additional duty, in relation to that duty as if it were, or

(b) where there are two additional duties, in relation to both those duties as if they were,

a separate variable-time employment with a scheduled body other than the body with whom he is in the whole-time employment.

(4) For the purposes of this regulation the duty of an acting returning officer includes any duties of a returning officer at an Assembly election which are required by regulations made under paragraph 2 of Schedule 1 to the European Assembly Elections Act 1978[^f00025]to be discharged by an acting returning officer.

Treatment of certain separate employments

B6

Where a person holds two or more separate employments under one scheduled body, then unless the context otherwise requires these regulations apply in relation to each of those employments as if the other or others were held by him under another scheduled body.

Deemed employments

B7

In these regulations, unless the context otherwise requires, references to employees of a scheduled body shall be construed as including references to persons who are deemed for the purposes of these regulations to be in the employment of a scheduled body, and other provisions relating to employment by or under a scheduled body shall be construed accordingly.

Age of compulsory retirement

B8

When a pensionable employee attains the age of 65 years he shall cease to hold his employment; except that the employing authority may, with his consent, extend his service for one year or any lesser period, and so from time to time as they deem expedient.

PART C — PAYMENTS BY EMPLOYEES

Appropriate superannuation fund

C1

(1) Subject to paragraphs (2) and (3), in relation to a pensionable employee of an administering authority the appropriate superannuation fund is the fund maintained by that authority.

(2) In relation to a person who—

(a) is a pensionable employee of a London borough council or of the Common Council, and

(b) immediately before 1st April 1974 was by virtue of article 14 or 15 of the London Authorities (Superannuation) Order 1965[^f00026] entitled to participate in the benefits of the superannuation fund maintained under Part I of the Act of 1937 by the Greater London Council, and

(d) during the period beginning on 1st April 1974 and ending with 28th February 1986 continued in the employment of the same London borough council, or, as the case may be, of the Common Council,

the appropriate superannuation fund is, so long as he continues in the employment of the body in question, the fund maintained by the Greater London Council.

(3) In relation to a pensionable employee who was transferred after 30th June 1985 by or under the Greater London Council (Staff Transfer and Protection) Order 1979[^f00027], the appropriate superannuation fund is, for any period before 1st April 1986 during which he continues to be employed by the authority to which he was transferred, the superannuation fund maintained by the Greater London Council.

(4) In relation to a person who—

(a) is a pensionable employee by virtue of regulation B1(11) and

(b) immediately before 1st April 1974 was entitled to participate in the benefits of the superannuation fund maintained under Part I of the Act of 1937 by—

(i) the Greater London Council, or

(ii) Newham London borough council,

the appropriate superannuation fund is the fund maintained by the same body.

(5) In relation to a person who—

(a) is a pensionable employee by virtue of regulation B1(13), or

(b) is a pensionable employee of the probation committee for any area in Greater London other than the City of London probation area, or

the appropriate superannuation fund is the fund maintained by the Greater London Council.

(6) In relation to a pensionable employee of a water authority, the appropriate superannuation fund is the fund which the Severn-Trent Water Authority became required to maintain by virtue of regulation 5 of the Local Government Superannuation (National Water Council Dissolution) Regulations 1983[^f00028] (“the dissolution regulations”).

(7) In relation to a person to whom these regulations apply by virtue of an agreement made under regulation B3 with the Severn-Trent Water Authority, the appropriate superannuation fund is the second fund which that authority became required to maintain by virtue of regulation 3 of the dissolution regulations.

(8) Subject to paragraph (9), in relation to a pensionable employee whose case does not fall within paragraphs (1) to (6) the appropriate superannuation fund is the fund maintained by the administering authority within whose area lies the greater part of the area of his employing authority.

(9) Where paragraph (8) applies to any pensionable employees of a scheduled body the Secretary of State may, after consultation with the bodies appearing to him to be concerned, by direction substitute as the appropriate superannuation fund in relation to those employees or any of them the fund maintained by some other administering authority (“the substituted fund”).

(10) A direction under paragraph (9) may—

(a) require the making of financial adjustments between the funds, whether by way of a payment to the substituted fund or of a transfer of assets or both, or

(b) contain provision as to the transfer of liabilities to the substituted fund and any other consequential and incidental matters.

Payment and amount of employee's contributions

C2

(1) Subject to paragraph (3), a pensionable employee shall, at such intervals as the appropriate administering authority may determine, make contributions to the appropriate superannuation fund in respect of every employment in which he is a pensionable employee.

(2) The amount of the contribution to be made for any period is—

(a) in the case of a manual worker, 5%, and

(b) subject to paragraph (5), in the case of an officer, 6%,

of his remuneration in the employment; and any reduction in remuneration by reason of the actual or assumed enjoyment by the employee during any period of absence from duty of any statutory entitlement shall be disregarded.

(3) A pensionable employee shall not make contributions in respect of any employment in relation to which he is entitled to reckon 45 years' reckonable service.

(4) For the purposes of paragraph (3) reckonable service does not include reckonable service before attaining the age of 60 years beyond a total of 40 years.

(5) In the case of an officer who—

(a) is a designated employee, and

(b) has not had a disqualifying break of service, and

(c) has not, before entering the employment in which he is a pensionable employee, ceased to hold another local government employment and—

(i) become entitled to benefits under these regulations or the 1974 regulations otherwise than under regulation E2(1)(c), or

(ii) having become entitled under regulation E2(1)(c), given notice under regulation E2(9)(c),

the amount of the contribution to be made for any period is 5% of his remuneration in the employment.

Leave of absence from duty

C3

(1) A pensionable employee who is on leave of absence from duty in an employment, otherwise than by reason of illness or injury, with reduced remuneration or without remuneration, shall not make any contribution under regulation C2 in respect of the employment for the period of his absence.

(2) The employee shall for a period of 30 days beginning on the first day of the leave of absence, or for the period of absence if shorter, make contributions to the appropriate superannuation fund of amounts equal to the contributions he would have been required to make under regulation C2 on the remuneration he would have received during that period but for the leave of absence.

(3) If the employee gives notice in writing for the purpose to the employing authority not later than 30 days after—

(a) the day on which he returns to duty, or

(b) the day on which he ceases to be employed by that authority,

whichever is the earlier, he shall make such contributions as are mentioned in paragraph (2) for 36 months, or for the period of his absence if shorter.

(4) Where the leave of absence was given to enable the employee to attend—

(a) for jury service in pursuance of a summons under the Juries Act 1974[^f00029], or

(b) as a juror at an inquest under the Coroners Act 1887[^f00030],

and such attendance continues after the expiration of the period of 30 days mentioned in paragraph (2), the employee shall be deemed to have given such a notice as is mentioned in paragraph (3).

Absence due to trade dispute

C4

(1) This regulation applies to a person who—

(a) has been absent from duty, otherwise than on leave of absence, for a period of one or more days during and in consequence of a trade dispute, and

(b) immediately before—

(i) the period of absence, or

(ii) where two or more periods of absence occurred in consequence of a single trade dispute, the first of those periods,

was a pensionable employee.

(2) For the purposes of paragraph (1)—

(a) a person whose contract of employment is terminated in consequence of a trade dispute is, notwithstanding the termination, to be treated as having been absent from duty after the termination if, not later than the day after the end of the trade dispute, he again becomes a pensionable employee of the same scheduled body, and

(b) it is immaterial whether or not—

(i) the person was participating in or financing or otherwise directly interested in the trade dispute, or

(ii) the employing authority were a party to the trade dispute.

(3) In this regulation, unless the context otherwise requires—

“relevant absence” means a period for which a person to whom this regulation applies was absent from duty as mentioned in paragraph (1);

"relevant contribution period' means a period which— is coextensive with one of the intervals at which a person to whom this regulation applies was required under regulation C2(1) to contribute to the appropriate superannuation fund, and includes all or part of a relevant absence;

“remuneration” does not include any guarantee payment under Part II of the Employment Protection (Consolidation) Act 1978[^f00031]; and

“trade dispute” has the meaning given by section 29 of the Trade Union and Labour Relations Act 1974[^f00032].

(4) Subject to paragraphs (5), (6) and (8), if notice in writing is given for the purpose by—

(a) a person to whom this regulation applies, or

(b) the personal representatives of a person to whom this regulation applied who has died before the end of the period of 3 months specified in paragraph (6) without giving such notice (referred to in this regulation as a “deceased employee”),

the amount specified in paragraph (7) is payable in respect of a relevant contribution period to the authority to whom notice was given; and the authority shall pay to the appropriate superannuation fund any sum they receive by way of full or part payment of that amount.

(5) Where all or part of more than one relevant contribution period is included in a relevant absence or relevant absences which occurred in consequence of a single trade dispute, notice given for the purpose mentioned in paragraph (4) in respect of any one of those periods is of no effect unless notice is given in respect of all those periods.

(6) Notice for the purpose mentioned in paragraph (4) must be given in writing, within the period of 3 months beginning on the day after the last day of the relevant contribution period or, where paragraph (5) applies, of the last of the relevant contribution periods, in respect of which it is given, or in the case of a deceased employee within the period of 12 months beginning on the date of his death, or in either case within such longer period as the authority may allow, to the authority who are, or as the case may be were last, the employing authority in relation to the person by or in respect of whom notice is given.

(7) The amount mentioned in paragraph (4) is an amount equal to 16% of the difference between—

(a) the person's remuneration (if any) for the relevant contribution period, and

(b) the remuneration he would have received for that period if it had not included any relevant absence or part of a relevant absence.

(8) Notwithstanding anything in regulation C11, but without prejudice to the power of the appropriate administering authority under that regulation to deduct from any payment by way of benefits under these regulations any sum remaining due on account of an amount payable under this regulation—

(a) an employing authority shall not accept from a pensionable employee, or deduct from his remuneration, and

(b) an administering authority shall not recover from a pensionable employee,

in any period of 12 months ending with 5th April, by way of full or part payment of so much of any amount payable under this regulation as is attributable to any relevant absence during that period, any sum which, when aggregated with any such amounts as are mentioned in Schedule 7, would exceed 15% of his remuneration for that period.

Lump sum payment to increase reckonable service

C5

(1) Subject to paragraph (3), a pensionable employee may, by notice in writing given to the appropriate administering authority within 12 months after having first become a pensionable employee under these regulations or the 1974 regulations, elect to make a payment into the appropriate superannuation fund in order to become entitled under regulation D4 to reckon an additional period as reckonable service in relation to an employment in which he is a pensionable employee.

(2) The length of the period is not to exceed the maximum calculated in accordance with Schedule 3, the amount of the payment is to be calculated in accordance with Part I of Schedule 4, and the payment is to be made within 1 month after the date on which notice was given.

(3) An employee may not make an election under this regulation if he has attained the age of 65 years.

Periodical payments to increase reckonable service

C6

(1) Subject to paragraph (4), a pensionable employee may at any time, by notice in writing given to the appropriate administering authority, elect to make additional contributions to the appropriate superannuation fund in order to become entitled under regulation D5 to reckon an additional period as reckonable service in relation to an employment in which he is a pensionable employee.

(2) The length of the period is not to exceed the maximum calculated in accordance with Schedule 3 and the additional contributions are to be calculated in accordance with Part II of Schedule 4.

(3) The additional contributions—

(a) are payable, at such intervals as the appropriate administering authority may determine, from the employee's birthday next following the date of the election, and

(b) subject to paragraph (5), cease to be payable on the day before the birthday on which, or as the case may be his last birthday before, the employee attains pensionable age.

(4) An employee may not make an election under this regulation if—

(a) he has attained the age of 64 years, or

(b) he was precluded by regulation D13(5)(b) of the 1974 regulations from making an election under that regulation, or

(c) the appropriate administering authority have resolved that he should (at his own expense) undergo a medical examination and he has not done so to their satisfaction.

(5) Payment in accordance with paragraph (3) may be discontinued if the employee satisfies the appropriate administering authority' that its continuance would cause financial hardship.

Payment by manual worker in respect of previous service

C7

(1) A whole-time manual worker who becomes a pensionable employee by virtue of regulation B1(3)(c) may make a payment into the appropriate superannuation fund in order to become entitled under regulation D9 to reckon as reckonable service in relation to the employment in which he is a pensionable employee the period during which he was in that employment before becoming a pensionable employee.

(2) The amount of the payment is an amount equal to the contributions which he would have been required to make under regulation C2 in respect of the employment if he had throughout the period been a pensionable employee, and the payment is to be made, unless the employing authority allow a longer period, within the period of 6 months beginning on the date on which he becomes a pensionable employee.

(3) The payment is to be treated for the purposes of these regulations as if it consisted of contributions made under regulation C2 in respect of employment in which the person was a pensionable employee.

Payments to avoid reduction of retiring allowance and death grant

C8

(1) This regulation applies to a pensionable employee whose retiring allowance would be subject to reduction under regulation E3(7) or (8) (reduction in respect of reckonable service before 1st April 1972, etc.).

(2) Subject to paragraphs (3) to (9), a person to whom this regulation applies may, by notice in writing given to the appropriate administering authority, elect to make payment to the appropriate superannuation fund in order to avoid all or part of the reduction in his retiring allowance, and in any death grant that may become payable under regulation E11.

(3) A notice under paragraph (2) must specify whether the reckonable service in respect of which the reduction is to be avoided is the whole, and if not what part it is, of his reckonable service before, as the case may be—

(a) 1st April 1972, or

(b) in the case of a male employee, any earlier date on which he became a widower or was judicially separated from his wife or on which his marriage was dissolved.

(4) An election may not be made in respect of a period of reckonable service of less than one year unless—

(a) the whole of the person's reckonable service before 1st April 1972, or

(b) where he has previously made an election in respect of part of that service, the remainder of it,

amounts to less than one year.

(5) A notice under paragraph (2) must specify whether payment is to be made—

(a) by a lump sum, or

(b) by instalments, or

(6) An election to make payment by a lump sum or by instalments must be made within 12 months after first becoming a person to whom this regulation applies.

(7) An election to make payment by a lump sum may not be made after attaining the age of 65 years.

(8) An election to make payment by instalments may not be made—

(a) before attaining the age of 60 years or after attaining the age of 65 years, or

(b) after making an election to make payment by way of additional contributions, or

(c) if in the particular case the appropriate administering authority so resolve, without having, at his own expense, undergone a medical examination to their satisfaction.

(9) Elections to make payment by way of additional contributions may be made from time to time, but not—

(a) after attaining the age of 64 years, or

(b) after making an election to make payment by instalments, or

(c) if in the particular case the appropriate administering authority so resolve, without having, at his own expense, undergone a medical examination to their satisfaction.

(10) Subject to paragraph (11) and to Part IV of Schedule 5, payment is to be made—

(a) in the case of an election to make payment by a lump sum, in accordance with Part I of Schedule 5,

(b) in the case of an election to make payment by instalments, in accordance with Part II of that Schedule, and

(c) in the case of an election to make payment by way of additional contributions, in accordance with Part III of that Schedule.

(11) Payment in accordance with paragraph (10) may be discontinued if the employee satisfies the appropriate administering authority that its continuance would cause financial hardship.

Continuation of certain payments

C9

(1) Where immediately before 1st March 1986 any payments remained to be made under a provision of the 1974 regulations specified in column (1) of the Table below, they shall be deemed to be payments due under the corresponding provision of these regulations specified in column (2).

(1)	(2)
1974 regulations	These regulations
Regulation CIA (trade disputes)	Regulation C4
Regulation C2A (avoidance of reduction of retiring allowance, etc.)	Regulation C8
Regulation D12 (increase of reckonable service on lump sum payment)	Regulation C5
Regulation D13 (increase of reckonable service on periodical payments)	Regulation C6
Regulation D14A (whole-time manual workers)	Regulation C7

(2) Where immediately before 1st March 1986 any payments remained to be made under a provision of the 1974 regulations specified in paragraph (3), they remain payable notwithstanding the revocation of the 1974 regulations by these regulations.

(3) The payments mentioned in paragraph (2) are payments under regulations D6 (non-contributing service), D7 (previous employment treated as non-contributing service), D8 (additional contributory payments under former regulations), D10 (added years) and D11 (payments under former regulations for added years) of the 1974 regulations.

(4) Schedule 6 applies in relation to any payments under regulation D6, D7 or D8 of the 1974 regulations which remain payable by virtue of paragraph (2).

Statement of remuneration received otherwise than from employing authority

C10

(1) A pensionable employee who receives any part of his remuneration otherwise than from the employing authority shall provide the employing authority with half-yearly statements of his receipts in respect of that part.

(2) The statements are to relate to the periods 1st April to 30th September and 1st October to 31st March, and are to be provided not later than 31st October and 30th April respectively.

(3) As soon as is reasonably practicable after receiving a request in writing from the employing authority the employee shall provide them with a statutory declaration verifying the correctness of any statement specified in the request.

Deduction and recovery of employee's contributions

C11

(1) An employing authority may deduct from the remuneration payable by them to a pensionable employee—

(a) contributions payable under regulations C2 and C3,

(b) any amount payable under regulation C4, and

(2) If and so far as deductions are not made under paragraph (1), the appropriate administering authority may recover any sum remaining due—

(a) as a simple contract debt in any court of competent jurisdiction, or

(b) by deducting it from any payment by way of benefits under these regulations.

Return of employee's contributions in certain cases

C12

(1) This regulation applies to a pensionable employee who—

(a) ceases to be employed by a scheduled body,

(b) on so ceasing to be employed does not become entitled to a retirement pension, and

(c) does not, within one month and one day after so ceasing to be employed, become a pensionable employee in any employment with any scheduled body.

(2) For the purposes of this regulation a person is to be treated as not becoming entitled to a retirement pension if—

(a) he ceases to be employed in the circumstances mentioned in regulation E2(1)(c) and does not—

(i) make an election under regulation E2(6), or

(ii) fall within regulation E2(6)(a), or

(b) he falls within regulation E2(1)(d) and does not make an election under regulation E2(8)(a), or

(3) A person to whom this regulation applies who is entitled to reckon an aggregate of less than 5 years' reckonable service and qualifying service and whose relevant remuneration has not in any income tax year exceeded £5,000 is, subject to paragraphs (8) and (11), entitled to receive a payment under paragraph (7).

(4) A person to whom this regulation applies who is entitled to reckon an aggregate of less than 5 years' reckonable service and qualifying service and whose relevant remuneration has exceeded £5,000 in any income tax year is, subject to paragraphs (8) and (11), entitled to receive a payment under paragraph (7) unless he—

(a) became a pensionable employee before 6th April 1980, and

(b) by notice given in accordance with paragraph (6) elects not to receive such a payment.

(5) A person to whom this regulation applies who is entitled to reckon an aggregate of 5 or more than 5 years' reckonable service and qualifying service may, subject to paragraphs (8) and (11), by notice given in accordance with paragraph (6) elect to receive a payment under paragraph (7).

(6) Notice for the purposes of paragraph (4) or (5) must be given in writing to the appropriate administering authority—

(a) not earlier than one month and two days after the date on which the person ceased to be employed as mentioned in paragraph (1)(a), but

(b) within the period of 12 months beginning on that date.

(7) A payment under this paragraph is a payment out of the appropriate superannuation fund of a sum equal to—

(a) the aggregate amount of the person's contributions to the fund, and

(b) if he ceased to be employed for any reason other than—

(i) his voluntary resignation, or

(ii) his resignation or dismissal in consequence of inefficiency or an offence of a fraudulent character or misconduct,

compound interest on the amount mentioned in paragraph (a) calculated, to the date on which he ceased to be employed, for any period before 1st April 1972 at the rate of 3% per annum with half yearly rests on 31st March and 30th September, for any other period before 1st April 1980 at the rate of 4% per annum with yearly rests on 31st March, and for any period after 31st March 1980 at the rate of 9% per annum with yearly rests on 31st March.

(8) Paragraphs (3) to (5) do not apply to a person who ceases to be employed in consequence of—

(a) an offence of a fraudulent character, or

(b) grave misconduct,

in connection with his employment.

(9) Where paragraph (8) applies to a person, the employing authority may, subject to paragraphs (10) and (11), direct the payment out of the appropriate superannuation fund—

(a) to him, or

(b) where paragraph (8)(a) applies, to him or to his spouse or any dependant of his,

of a sum equal to the whole or a part of the aggregate amount of his contributions to the fund.

(10) If the person ceased to be employed in the circumstances mentioned in regulation E2(1)(c), a direction under paragraph (9) may only be given in respect of contributions relating to a period of service in respect of which the employing authority have given a direction as to forfeiture under regulation M1.

(11) No payment shall be made under this regulation—

(a) to a person who, having ceased to be employed in the circumstances mentioned in regulation E2(1)(c) and not having given a notice under paragraph (5), again becomes a pensionable employee and gives notice under regulation E2(10), or

(b) in the case of a person whose period of reckonable service and qualifying service is 5 years or more, in respect of any period of reckonable service and qualifying service after 5th April 1975, or

(c) in the case of a person who ceases to be employed in the circumstances mentioned in regulation E2(1)(c) or falls within regulation E2(1)(d), in respect of any period of service in contracted-out employment by reference to the scheme, or

(d) to a person who is for the time being entitled to be paid, or has been paid, an ill-health retirement grant under regulation E4.

(12) A payment under paragraph (2) to a person falling within paragraph (3), or a person falling within paragraph (4) who has not made an election under paragraph (4)(b), shall be made at the end of the 12 months following the termination of his employment or in accordance with any written request received by the administering authority for earlier payment (but in no case earlier than one month and two days after the termination of the employment) or for later payment.

(13) The administering authority shall deduct from any payment (with or without interest) under this regulation any tax to which they may become chargeable under paragraph 2 of Part II of Schedule 5 to the Finance Act 1970[^f00033] (which relates to charge to tax on repayment of employee's contributions).

(14) In this regulation “relevant remuneration” means, in relation to a person to whom this regulation applies, the remuneration on which contributions were paid—

(a) under regulation C2 or C3, or

(b) under regulation C1 or C2 of the 1974 regulations, or

(d) under a local Act scheme, or

(e) under some other superannuation scheme in respect of service or employment—

(i) which became, by virtue of interchange rules, reckonable for the purposes of the former regulations, or

(ii) to which a transfer value accepted under regulation J8 relates.

(15) In this regulation references to the aggregate amount of a person's contributions to a superannuation fund include references to the contributions and amounts specified in paragraph (16) in so far as they—

(a) have not been returned to the person or, if returned, have subsequently been repaid by him,

(b) are attributable to service which might have reckoned under Part Din relation to the employment he has ceased to hold, and

(c) are not attributable to any earlier period of service in respect of which a benefit has been paid under Part E or under the 1974 regulations.

(16) The contributions and amounts mentioned in paragraph (15) are—

(a) any contributions paid by him to any superannuation fund—

(i) under regulation C2 or C3, or

(ii) under regulation C1 or C2 of the 1974 regulations, or

(iii) under Part I of the Act of 1937, or

(iv) under a local Act scheme;

(b) any contributions which, if—

(i) the former regulations had not been revoked by the 1974 regulations, and

(ii) he had immediately before ceasing to be employed been a contributory employee,

he would, by virtue of interchange rules, have been deemed to have made to the appropriate superannuation fund within the meaning of the Act of 1937;

(c) any amount which in those circumstances would, by virtue of interchange rules, have been included in any amount which would, on his ceasing to be employed, have become payable to him by way of a return of contributions under section 10 of the Act of 1937;

(d) any amount by which in those circumstances the amount mentioned in sub-paragraph (c) would, by virtue of interchange rules, have been deemed to have been increased;

(e) any amount paid by him into a superannuation fund under an old modification scheme; and

(f) any amount paid by him—

(i) by way of additional contributory payments or added period payments, or

(ii) under regulation C4 or C8, or

(iii) under regulation CIA or C2A of the 1974 regulations.

(17) Where the service in respect of which a payment under this regulation may be made is restricted by paragraph (11)(b) or (c), paragraph (16) has effect as if—

(a) in sub-paragraph (f)(i), the words “or added period payments”, and

(b) in sub-paragraph (f)(ii), the words “C4 or”, and

were omitted.

Effect of return to local government on right to a return of contributions

C13

A person's right to a payment under regulation C12 is extinguished if—

(a) he returns to local government employment after leaving previous local government employment with a right to such a payment,

(b) on the date on which he returns to local government employment he has not received the payment, and

(c) he has not given, within 3 months after that date or such longer period as his previous fund authority and, if different, his new fund authority may allow, written notice to his previous fund authority that he wishes to receive an immediate payment.

Restoration of right to reckon service in transitional cases where there has been a return of contributions

C14

(1) Notwithstanding regulation D3, service for which a return of contributions has been received shall be reckonable as reckonable service if the conditions in paragraph (2) are satisfied and the person makes the payment required by paragraph (3).

(2) The conditions are that—

(a) the person ceased to be employed in local government employment on or after 1st April 1974 and before 1st January 1980; and

(b) on the cessation of that employment the aggregate of his reckonable and qualifying service (or, if he was subject to a local Act scheme, the service which would have been taken into account in determining whether or not he was entitled to benefits) amounted to less than 5 years; and

(d) he subsequently returns to local government employment.

(3) The person must pay by not later than the relevant date to his previous fund authority for the credit of their superannuation fund—

(a) a sum equal to the contributions returned to him (together with any increase under regulation J10 and any interest he was paid); and

(b) compound interest on that sum calculated in accordance with regulation J7 for the period beginning with the date on which he received the return of contributions and ending on the date of the payment of that sum.

(4) The relevant date is the expiry of 6 months after his return to local government employment.

(5) The previous fund authority may in any particular case extend the period mentioned in paragraph (4).

Reduction of returned contributions following payment in lieu of contributions

C15

(1) Subject to the provisions of this regulation, where a pensionable employee leaves employment in circumstances—

(a) to which regulation 6 of the Transitional Provisions Regulations does not apply; and

(b) in which returned contributions are due and a payment in lieu of contributions has previously been made in respect of him in circumstances in which returned contributions were not due,

those returned contributions shall be reduced by a sum equal to the amount, or the aggregate of the amounts, by which under section 60(5) of the Insurance Act (which defines an employer's rights against an insured person in respect of payments in lieu of contributions) they could have been reduced if returned at the time when the previous payment in lieu of contributions was made.

(2) Paragraph (1) shall also apply for the reduction of returned contributions where a payment in lieu of contributions has been made under any insurance code in respect of any period of former employment which is reckonable as service as a pensionable employee if—

(a) that payment in lieu was made in circumstances not involving the return of any superannuation contributions made by him in that employment; and

(b) the transfer value payable in respect of that employment has been adjusted to take account of that payment in lieu;

and where no superannuation contributions were payable in that employment, any amount returnable in respect of contributions deemed to have been made therein shall be reduced by a sum equal to one half of that payment in lieu.

(3) No payment in lieu of contributions shall be taken into account for the purposes of paragraphs (1) and (2)—

(a) on more than one occasion; or

(b) if the payment is one which has been reduced under regulation 13 of the National Insurance (Non-participation-Assurance of Equivalent Pension Benefits) Regulations 1960[^f00034] or any corresponding enactment in force in Northern Ireland or the Isle of Man.

(4) Where the employment of a pensionable employee comes to an end in circumstances to which regulation 6 of the Transitional Provisions Regulations applies, the amount of returned contributions to which he is entitled shall be reduced by any amount which, under section 60 of the Insurance Act as modified by the said regulation 6, the person who has made or is liable to make a payment in lieu of contributions in respect of such employee or would be so liable had the employee not been assured of equivalent pension benefits is entitled either to recover from the person liable for the returned contributions or to retain out of the returned contributions.

(5) Where returned contributions are due in the circumstances mentioned in paragraph (1) or paragraph (4) on the cessation of two or more concurrently held employments, the reduction required by that paragraph shall be made by such one of the authorities paying the returned contributions as they may agree or, in default of agreement, as is determined by the Secretary of State, and where those employments were held under the same employing authority, the reduction shall be made in relation to such one only of the employments as is determined by the authority.

(6) Where returned contributions are reduced under paragraph (1) or under section 60(5) of the Insurance Act or the said section 60(5) as modified by regulation 6 of the Transitional Provisions Regulations or under any corresponding provision of the Northern Ireland Act or the Isle of Man Act, any sum so deducted shall not form part of any amount payable to or in respect of him, either as returned contributions or as a benefit ascertained by reference to the amount of the contributions paid by him, on the occasion of any later cessation of his employment.

(7) In this regulation “returned contributions” means an amount payable under regulation C12 to or in respect of a pensionable employee by way of a return of contributions.

Limitation of payments

C16

Schedule 7 has effect for the limitation, in certain circumstances, of payments under this Part.

PART D — SERVICE

Reckonable service

D1

(1) Reckonable service is time that counts both for the purpose of ascertaining entitlement to benefits under these regulations and for the purpose of calculating them.

(2) Subject to paragraphs (3) and (4) and regulations D3 and D8, a pensionable employee is entitled to reckon as reckonable service, in relation to an employment in which he is a pensionable employee—

(a) any period for which he has paid contributions under regulation C2 or C3,

(b) any period which he became entitled to reckon as reckonable service by virtue of regulation D1(1)(b) to (h) of the 1974 regulations,

(c) any period which he is entitled to reckon as reckonable service by virtue of regulations D4 to D7 or Part F (war service).

(3) A period of absence from duty without remuneration, otherwise than on leave of absence, may not be reckoned as reckonable service unless—

(a) that period was a relevant absence, and

(b) the amount specified in regulation C4(7) has been paid in respect of every relevant contribution period all or part of which was included in that relevant absence.

(4) Where the amount specified in regulation C4(7) has been paid in respect of a relevant contribution period, so much of any relevant absence as was included in that period may be reckoned as reckonable service whether or not a contract of employment continued to subsist during the relevant absence or any part of it.

Qualifying service

D2

(1) Qualifying service is time that counts for the purpose of ascertaining entitlement to benefits under these regulations but not for the purpose of calculating them.

(2) Subject to regulation D3, a pensionable employee's qualifying service is—

(a) any period which he is entitled to reckon as qualifying service by virtue of regulation D10, D11 or J9(1)(b), and

(b) any period which he became entitled to reckon as qualifying service by virtue of regulation D2 of the 1974 regulations.

Exclusion from reckonable service and qualifying service

D3

(1) Subject to regulation E16 (combined benefits), a pensionable employee who—

(a) has entered the employment of a scheduled body or former local authority after becoming entitled to receive payment in respect of any superannuation benefit other than a superannuation benefit under the Insurance Act, or

(b) has entered such employment after becoming entitled to a benefit under regulation E2(1)(c) and has given notice under regulation E2(9)(c) (retention of entitlement to preserved benefits), or

(i) became entitled to receive payment in respect of any benefit under those regulations, or

(ii) became entitled to a benefit under paragraph (1)(c) of, and gave notice under paragraph (4)(e) of, regulation E2 of those regulations,

is not entitled to reckon as reckonable service any period of which account has been taken for the purpose of determining whether he was entitled to that benefit or of which account has been or is to be taken for the purpose of calculating its amount.

(2) Subject to regulation E16, a pensionable employee who—

(a) ceased after 5th April 1975 and before 30th March 1978 to hold a local government employment (“the first employment”), and

(b) within one month and one day after ceasing to hold the first employment—

(i) entered the employment in which he is a pensionable employee, and

(ii) became in that employment a pensionable employee, and

(c) in respect of his ceasing to hold the first employment received a return of contributions under the 1974 regulations,

is not entitled to reckon as reckonable service any period in respect of which the return of contributions was made.

(3) Subject to regulation E16, a pensionable employee who—

(a) on ceasing to hold a local government employment became entitled to a benefit under regulation E2(1)(c), and

(b) in respect of his ceasing to hold that employment received a return of the whole of the aggregate amount of his contributions to the appropriate superannuation fund within the meaning of regulation C12,

is not entitled to reckon as reckonable service any period in respect of which the return of contributions was made.

(4) Subject to regulation E16, a pensionable employee who—

(a) on ceasing to hold a local government employment became entitled to a benefit under regulation E2(1)(c), and

(b) in respect of his ceasing to hold that employment received a return of part of the aggregate amount mentioned in paragraph (3)(b), and

(c) did not enter the employment in which he is a pensionable employee after becoming entitled to receive payment in respect of any superannuation benefit other than a superannuation benefit under the Insurance Act, and

(d) has not given notice under regulation E2(9)(c),

is not entitled to reckon as reckonable service any period in respect of which the return of contributions was made.

(5) Subject to paragraph (6), a pensionable employee who—

(a) before entering the employment in which he is a pensionable employee was in another local government employment (“the first employment”), and

(b) in respect of his ceasing to hold the first employment received a return of contributions under the 1974 regulations or under these regulations,

is not entitled to reckon either as reckonable service or as qualifying service any period in respect of which the return of contributions was made.

(6) Paragraph (5) does not apply where paragraph (2), (3)(a) or (4)(a), (c) and (d) applies.

(7) Where—

(a) before entering the employment in which he is a pensionable employee he was in another local government employment (“the first employment”), and

(b) on his ceasing to hold the first employment a transfer value was paid to a body other than an administering authority, a body maintaining a superannuation fund under Part I of the Act of 1937 or a local Act authority,

a pensionable employee is not entitled to reckon either as reckonable service or as qualifying service any period in respect of which the transfer value was paid.

Increase of reckonable service on lump sum payment

D4

A pensionable employee who has made a payment in accordance with regulation C5 is entitled to reckon as reckonable service in relation to the relevant employment the period in respect of which the payment was made.

Increase of reckonable service on making periodical payments

D5

A pensionable employee is entitled to reckon as reckonable service in relation to the relevant employment—

(a) if he completes payment of additional contributions in accordance with regulation C6(3), the additional period in respect of which payment was made, or

(b) if he begins such payment but does not complete it, an additional period calculated in accordance with Schedule 8.

Increase of reckonable service on completion or cessation of payments under previous regulations

D6

(1) Where regulation C9(1) applies, on the making or as the case may be the completion or discontinuance of any payments deemed to be due under regulation C5, C6 or C7 a pensionable employee is entitled to reckon additional service in accordance, respectively, with regulation D4, D5 or D9.

(2) Where regulation C9(2) applies, on the making or as the case may be the completion or discontinuance of any payments of a kind there mentioned (“the relevant event”) a pensionable employee is entitled to reckon additional service to the same extent as if the relevant event had occurred before 1st March 1986.

Increase of reckonable service at discretion of employing authority

D7

(1) Subject to paragraphs (2) and (3), if the employing authority are satisfied that, having regard to the interests of the efficient exercise of their functions, there are exceptional reasons for doing so, they may resolve to add an additional period to a pensionable employee's reckonable service.

(2) A resolution under paragraph (1) may be passed before or within 6 months after the person becomes a pensionable employee in the authority's employment, but not after he has attained the age of 59 years unless he did so after becoming such an employee.

(3) The additional period is to be specified in the resolution and is not to exceed the maximum determined in accordance with Schedule 3.

(4) Where the employing authority have passed a resolution under paragraph (1) or under regulation D14 of the 1974 regulations and the employee—

(a) remains in his employment under that authority until he attains pensionable age, or

(b) on ceasing to hold that employment before attaining that age is incapable of discharging efficiently the duties of the employment by reason of permanent ill-health or infirmity of mind or body, or

he is entitled to reckon as reckonable service the additional period specified in the resolution.

(5) In any other case where the employing authority have passed such a resolution the employee is entitled to reckon as reckonable service an additional period of $A×TR$, where—

A is the additonal period specified in the resolution,

T is the period during which the employee has been in the employment of the authority who passed the resolution, and

R is the period during which the employee would have been in that employment if paragraph (4)(a) had applied.

(6) Where a pensionable employee of a City of London employing body—

(a) was immediately before 1st October 1977 a contributor to the superannuation fund maintained by the Common Council under their local Act scheme, and

(b) on 1st October 1977 became a pensionable employee, and

(c) on ceasing to hold his employment under the City of London employing body becomes entitled to a retirement pension otherwise than by virtue of regulation E2(1)(c),

the body may, in consideration of special circumstances, resolve to add an additional period of not more than 10 years to his reckonable service.

(7) A City of London employing body other than the Common Council shall on passing a resolution under paragraph (6) forthwith send a copy of it to the Common Council.

(8) Regulation N8(2) (Secretary of State not to determine discretionary questions) does not apply where notice of appeal is served by the Common Council in respect of a resolution under paragraph (6).

(9) In paragraphs (6) and (7) “City of London employing body” means the Common Council, the magistrates' courts committee for the City of London, the probation committee for the City of London probation area, or the Board of Governors of the Museum of London.

Reduction of added years reckonable on payment as reckonable service

D8

(1) This regulation applies where—

(a) a consent—

(i) was given under regulation D10 of the 1974 regulations, or

(ii) was given under regulation 12 of the Benefits regulations in respect of a person who became a pensionable employee under the 1974 regulations on 1st April 1974,

(b) the person in respect of whom the consent was given is a person in relation to whom regulation F3 applies,

(c) the notice of election under regulation R3 of the 1974 regulations was given within the period of 6 months beginning on the relevant date, or in the case of a deceased employee (within the meaning of Part F) who died during that period, within the period of 12 months beginning on the date of his death, and

(d) apart from this regulation some of the person's reckonable service would, or would if payments under regulation C9(2) were to continue up to the age specified in paragraph 1(a) or, as the case may be, paragraph 1(b) of Schedule 6 to the 1974 regulations, be left out of account in accordance with regulation E29(1)(a) or (5).

(2) For the purposes of paragraph (1)(c) the relevant date—

(a) where regulation F3(2)(f) applies, is 25th April 1985, and

(b) in any other case, is 1st December 1982.

(3) Where this regulation applies, the consent shall be deemed always to have related not to the original number of added years but instead to the longest additional period that would not entail any such leaving out of account of reckonable service as is mentioned in paragraph (1)(d), and payments made and any remaining to be made are to be adjusted accordingly.

Previous service of certain whole-time manual workers

D9

A pensionable employee who has made a payment in accordance with regulation C7 is entitled to reckon as reckonable service in relation to the employment in which he became a pensionable employee the period during which he was in that employment before becoming a pensionable employee.

Previous service of certain variable-time employees

D10

(1) This regulation applies to a person who—

(a) while a pensionable employee in the whole-time employment of a scheduled body becomes a variable-time employee of any scheduled body, and

(b) while remaining a pensionable employee in the whole-time employment becomes a pensionable employee in the variable-time employment.

(2) A person to whom this regulation applies is entitled to reckon as qualifying service in relation to the variable-time employment any period which, when he became a pensionable employee in the variable-time employment, he was entitled to reckon as reckonable service or qualifying service in relation to the whole-time employment.

Previous service of certain re-employed pensioners

D11

(1) A person who—

(a) has become entitled to a retirement pension, otherwise than by virtue of regulation E2(2), and

(b) enters further employment with any scheduled body in which he becomes a pensionable employee,

is entitled to reckon as qualifying service the period in respect of which he became entitled to the retirement pension.

(2) A person—

(a) who is in receipt of a pension payable out of public funds,

(b) who enters employment with any scheduled body in which he becomes a pensionable employee, and

is entitled to reckon as qualifying service the period in respect of which the pension was granted.

(3) A person who—

(a) after becoming entitled on ceasing to hold an employment (“the first employment”) to a retirement pension by virtue of regulation E2(1)(c) enters further employment with any scheduled body in which he becomes a pensionable employee, and

(b) in respect of his ceasing to hold the first employment has received a return of the whole or a part of the aggregate amount of his contributions to the appropriate superannuation fund within the meaning of regulation C12,

is entitled to reckon as qualifying service the period in respect of which the return of contributions was made.

(4) In paragraph (1) “retirement pension” includes a short service grant under the Benefits regulations, an ill-health grant under regulation E4, a superannuation allowance under Part I of the Act of 1937, and an annual pension under the former regulations.

PART E — BENEFITS

Guaranteed minimum pension for certain pensionable employees and their widows

E1

(1) This regulation applies if the employment of a pensionable employee in any local government employment is contracted-out employment.

(2) Where this regulation applies it overrides anything in these regulations that is inconsistent with it, except regulations E15 (reduction of retirement pension in the case of certain re-employed pensioners), E21 (power to compound certain small pensions) and M1 (forfeiture of rights).

(3) Where this regulation applies and the pensionable employee has a guaranteed minimum under section 35 of the Pensions Act in relation to benefits under these regulations—

(a) unless on ceasing to hold his local government employment he is entitled to a retirement pension at a higher rate, he is from the date on which he attains state pensionable age entitled to a pension at a weekly rate equal to that guaranteed minimum,

(b) if he attains state pensionable age while in local government employment, continues in the same employment for a further period of 5 years and does not then cease to hold it, he is (unless he consents to a postponement of the entitlement) entitled from the end of that period to so much of his retirement pension as equals that guaranteed minimum, and

(c) if he dies at any time and leaves a widow, unless she is entitled to a widow's pension at a higher rate she is, during any such period as is mentioned in section 36(6) of the Pensions Act, entitled to a pension at a weekly rate equal to half that guaranteed minimum.

Entitlement to retirement pension and retiring allowance

E2

(1) Subject to paragraphs (3) to (10), when a person ceases to hold a local government employment he becomes entitled in relation to that employment to an annual retirement pension and a lump sum retiring allowance if—

(a) he has attained the age of 60 years and the total of his reckonable service and any qualifying service is not less than 25 years, or

(b) the total of his reckonable service and any qualifying service is not less than 5 years and—

(i) he is incapable of discharging efficiently the duties of that employment by reason of permanent ill-health or infirmity of mind or body, or

(ii) he has attained the age of 65 years, or

(iii) he has attained the age of 50 years and one of the conditions in paragraph (4) is satisfied, or

(i) the total of his reckonable service and any qualifying service is not less than 5 years, or

(ii) he makes an election under regulation C12(4)(b), or

(iii) he is treated by virtue of regulation J13(3) as having ceased to hold the employment on becoming subject in it to an approved non-local government scheme, or

(d) none of the preceding sub-paragraphs applies and he—

(i) has attained state pensionable age, or

(ii) would attain state pensionable age before the following 6th April.

(2) When a person ceases to hold a local government employment he becomes entitled in relation to that employment to an annual retirement pension if—

(a) he is not so entitled under paragraph (1)(a) to (c), or he is entitled under paragraph (1)(c) but makes an election under regulation C12(5) and receives a return of contributions (in which case he shall be treated as having ceased to hold the employment on the day before the date of receipt), and

(b) the whole or some part of his reckonable service was service in a non-participating employment or was reckonable service which relates to employment with a non-local government employer in a non-participating employment, and

(c) a period of his service in a non-participating employment came to an end by reason of the repeal of section 56(1) of the Insurance Act or by reason of the provisions of regulation 2(2) of the National Insurance (Non-participation-Assurance of Equivalent Pension Benefits) Regulations 1960[^f00035] as modified by regulation 9(2)(a) or (b) of the Transitional Provisions Regulations, and

(d) at some time during the settlement period (within the meaning of regulation 2 of the Transitional Provisions Regulations) he became, and has remained, assured of equivalent pension benefits.

(3) Where but for the revocation of the 1974 regulations regulation E2(2) of those regulations (certain female nursing and other staff deemed to have satisfied regulation E2(1)(b)(iii) of those regulations) would have applied to a person on her ceasing to hold a local government employment, she shall be deemed to have ceased to hold the employment in the circumstances mentioned in paragraph (1)(b)(iii).

(4) The conditions mentioned in paragraph (1)(b)(iii) are—

(a) that the employing authority certify that the person has ceased to hold the local government employment by reason of redundancy or in the interests of the efficient exercise of their functions, or

(b) that the person was one of the holders of a joint appointment and his appointment has been terminated because the other ceased to hold his appointment.

(5) Benefits to which a person has become entitled by virtue of paragraph (1)(a) or (b) are payable immediately.

(6) Subject to paragraphs (9) to (11), preserved benefits become payable from the date on which the person attains pensionable age, or if earlier—

(a) from any date on which he becomes incapable by reason of permanent ill-health or infirmity of mind or body of discharging efficiently the duties of the employment he ceased to hold, or

(b) from any date after he has attained the age of 50 years from which the employing authority determine on compassionate grounds that the benefits are to become payable, or

(i) has attained the age of 60 years, and

(ii) is no longer in any local government employment,

unless he is a man who has attained the age of 60 years and has, on or after but not more than 3 months after the date of his attaining that age or of his ceasing to be employed, whichever is the later, by notice in writing to the employing authority elected to receive payment from that date.

(7) Benefits to which a person has become entitled by virtue of paragraph (1)(d) are payable immediately if the person had attained the age of 65 years before he ceased to hold the employment.

(8) Subject to paragraph (11), benefits to which a person has become entitled by virtue of paragraph (1)(d) but which have not become payable by virtue of paragraph (7), and benefits to which a person was entitled by virtue of regulation E2(1)(d) of the 1974 regulations immediately before 1st March 1986 which have not otherwise become payable, become payable—

(a) in the case of a man who has so elected by notice in writing given to the employing authority not later than 3 months after ceasing to hold the employment, as from the date on which he ceased to hold it, or

(b) in the case of a woman, from the first date (if earlier than the date mentioned in sub-paragraph (c)) on which she both—

(i) has attained the age of 60 years, and

(ii) is no longer in any local government employment, or

(9) A person who is entitled to preserved benefits ceases to be entitled to them—

(a) if the whole of the aggregate amount of his contributions to the appropriate superannuation fund, within the meaning of regulation C12, has been returned to him (whether with or without interest) under that regulation or under regulation C8 of the 1974 regulations and, after receiving the return of contributions, he has no further right to reckon any reckonable service to which a transfer value accepted under regulation J8 relates, or

(b) if rights in respect of the reckonable service he was entitled to reckon in relation to the employment he ceased to hold have been transferred to a non-local government scheme by virtue of the payment of a transfer value, or

(10) An election for the purposes of paragraph (9)(c) must be made by giving notice in writing to the appropriate administrating authority, within 3 months after re-entering local government employment unless they or, where there is a change of fund, the administering authorities of both funds, allow a longer period.

(11) A person may not make an election under paragraph (6) or (S)(a) if the retirement pension to which he has become entitled—

(a) is a pension in relation to which he has a guaranteed minimum under section 35 of the Pensions Act, and

(b) would, but for regulation E1(3)(a), be reduced under regulation E3(14) to less than his guaranteed minimum pension.

(12) A retirement pension to which a person has become entitled by virtue of paragraph (2) is payable from the first date on which he both—

(a) has attained state pensionable age, and

(b) is no longer in any local government employment.

Amount of retirement pension and retiring allowance

E3

(1) Subject to paragraphs (2) and (12) to (16), and to regulation E29, the annual rate of a person's retirement pension is one eightieth of his pensionable remuneration multiplied by the length in years of his reckonable service.

(2) In the case of a person who—

(a) is entitled under regulation D4, D5, D6(1) or D7 to reckon an additional period as reckonable service, and

(b) had at the appropriate time (as defined in paragraph 1 of Schedule 3) attained the age of 45 years,

the rate specified in paragraph (1) is increased by one two hundred and fortieth of his pensionable remuneration multiplied by the length in years of that additional period.

(3) Subject to paragraphs (4) to (14) and to regulation E29, the amount of a person's retiring allowance is three eightieths of his pensionable remuneration multiplied by the length in years of his reckonable service; but where paragraph (2) applies his reckonable service does not for the purposes of this paragraph include the additional period.

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