The Local Government Pension Scheme (Scotland) Regulations 1998

• (2) For this Chapter an administering authority are the appropriate administering authority as respects such a disagreement if–

• (a) where the person making the application is a member or prospective member, they are or were his last appropriate administering authority for the other purposes of these Regulations; and

• (b) where the person making the application is the widow, widower or surviving dependant of a deceased member, they were his appropriate administering authority.

• (3) For this Chapter the persons appointed under paragraph (1) are “appointed persons”.

• (4) An application under regulation 99 may be decided by one or more appointed persons (and references to “the appropriate appointed person”, in relation to any application, are to the appointed person or persons to whom the application in question is referred).

• (5) An application must not be referred to a person who has previously been involved in the subject matter of the disagreement.

• (6) An appointed person shall hold and vacate office under the terms of his appointment.

• (7) He may resign by notice in writing to the administering authority.

• (8) Each administering authority shall determine–

• (a) the procedure to be followed by the persons appointed by them when exercising their functions as appointed persons, and

• (b) the manner in which those functions are to be exercised.

Right to apply for an appointed person to decide a disagreement

99

• (1) Where there is a disagreement about a matter in relation to the Scheme between a member or an alternative applicant and a Scheme employer, the member or, as the case may be, the alternative applicant (“the complainant”) may–

• (a) apply directly to the appropriate appointed person to decide the disagreement; or

• (b) apply to the appropriate administering authority for them to refer the disagreement to an appointed person for decision.

• (2) These persons are alternative applicants–

• (a) a widow, widower or surviving dependant of a deceased member or any other person to whom benefits in respect of him may be paid;

• (b) a prospective member;

• (c) a person who ceased to be a member or to fall within sub-paragraph (a) or (b) during the period of six months ending with the date of the application; and

• (d) in the case of a disagreement relating to the question whether a person claiming to be a member or to fall within sub-paragraph (a), (b) or (c) does so, the claimant.

• (3) The application for a decision must set out particulars of the disagreement, including a statement as to its nature with sufficient details to show why the applicant is aggrieved.

• (4) An application by–

• (a) a member or prospective member;

• (b) a person who ceased to be such a person during the period of six months ending with the date of the application; or

• (c) a person claiming to be a person within paragraph (a) or (b),

must set out his full name, address, date of birth, his national insurance number (if any) and the name of his employing authority.

• (5) An application by any other person must set out–

• (a) his full name, address and date of birth;

• (b) his relationship to the member; and

• (c) the member’s full name, address, date of birth and national insurance number and the name of his employing authority.

• (6) The application must be signed by or on behalf of the applicant.

• (7) The application must be accompanied by a copy of any written notification issued under regulation 97.

• (8) The application must be made before the end of the period of six months beginning with the relevant date or such further period as the appropriate appointed person considers reasonable (but see regulation 104(6)).

• (9) Where the disagreement relates to a decision under regulation 96, the relevant date is the date on which notification of it is given under regulation 97.

• (10) Otherwise, the relevant date is the date of the act or omission which is the cause of the disagreement or, if there is more than one, the last of them.

Decision by appointed person and notice of it

100

• (1) Where an application has been duly made under regulation 99, the appropriate appointed person shall decide on the disagreement.

• (2) A decision on the matters raised by the application must be issued by the appropriate appointed person–

• (a) to the applicant;

• (b) to the Scheme employer; and

• (c) if the Scheme employer is not the appropriate administering authority, to that authority,

by notice in writing before the expiry of the period of two months beginning with the date on which the application was received.

• (3) However, if no such notice is issued before the expiry of that period, an interim reply must immediately be sent to those persons, setting out the reasons for the delay and an expected date for issuing the decision.

• (4) A notice under paragraph (2) must include–

• (a) a statement of the decision;

• (b) a reference to any legislation or provisions of the Scheme relied upon;

• (c) in a case where the disagreement relates to the exercise of a discretion, a reference to the provisions of the Scheme conferring the discretion; and

• (d) a reference to the rights of the applicant and the Scheme employer’s right to refer the disagreement for reconsideration by the Secretary of State under regulation 101, specifying the time within which they may do so.

Reference of disagreement to the Secretary of State

101

• (1) Where an application about a disagreement has been made under regulation 99, an application may be made to the Secretary of State to reconsider the disagreement by the person who applied under regulation 99 or the Scheme employer in question.

• (2) The application must set out particulars of the grounds on which it is made, including a statement that the applicant under this regulation wishes the disagreement to be reconsidered by the Secretary of State.

• (3) An application made by the person who applied under regulation 99 must set out the matters required by paragraph (4) or, as the case may be, paragraph (5) of that regulation to be included in his application.

• (4) The application must be accompanied by a copy of any written notification issued under regulation 97.

• (5) Where notice of a decision on the application under regulation 99 has been issued, the application under this regulation must state why the applicant is dissatisfied with that decision and be accompanied by a copy of that notice.

• (6) The application must be signed by or on behalf of the person making it.

• (7) An application for reconsideration may only be made before the expiry of the period of six months beginning with the relevant date.

• (8) Where notice of a decision on the matters raised by the application under regulation 99 has been issued, the relevant date is the date of that notice.

• (9) Where–

• (a) an interim reply has been sent under regulation 100(3); but

• (b) no notice of decision has been issued before the expiry of the period of one month beginning with the date specified in the reply as the expected date for issuing the decision,

the relevant date is the date on which that period expires.

• (10) Where no notice of decision has been issued or interim reply has been sent before the expiry of the period of three months beginning with the date the application under regulation 99 was made, the relevant date is the date on which that period expires.

Decision of the Secretary of State and notice of it

102

• (1) Where an application has been duly made under regulation 101, the Secretary of State shall reconsider and decide on the disagreement.

• (2) The Secretary of State must issue his decision on the matters raised by the application to the parties to the disagreement by notice in writing before the expiry of the period of two months beginning with the date on which the application was received (but see paragraph (3)).

• (3) If no such notice is issued before the expiry of that period, an interim reply must be sent immediately to those parties, setting out the reasons for the delay and an expected date for issuing the decision.

• (4) A notice under paragraph (2) must include–

• (a) a statement of the decision;

• (b) in a case where there has been a decision made under regulation 100, an explanation as to whether and, if so, to what extent that decision is confirmed or replaced;

• (c) a reference to any legislation or provisions of the Scheme relied upon;

• (d) in a case where the disagreement relates to the exercise of a discretion, a reference to the provisions of the Scheme conferring the discretion;

• (e) a statement that OPAS (the Occupational Pensions Advisory Service) is available to assist members and beneficiaries of the Scheme in connection with difficulties which they have failed to resolve with the Secretary of State and of the address at which it may be contacted; and

• (f) a statement that the Pensions Ombudsman may investigate and determine any complaint or dispute of fact or law in relation to the Scheme made or referred in accordance with the Pension Schemes Act 1993⁴⁰ and of the address at which he may be contacted.

Rights of representation

103

• (1) An application under regulation 99 or 101 may be made or continued on behalf of the applicant by a representative nominated by him.

• (2) Where a person who has the right to make or has made such an application dies, the application may be made or continued on his behalf by his executor.

• (3) Where such a person is under a legal disability because of non-age or is or becomes otherwise incapable of acting for himself, the application may be made or continued on his behalf by a member of his family or some other person suitable to represent him.

• (4) Where a representative is nominated before an application is made, the application must specify his full name and address and whether that is to be used for service on the applicant of any documents in connection with the application.

• (5) Where a representative’s address is not to be so used, he must be sent a copy of a notification under 100(2) or 102(2) or an interim reply under 100(3) or 102(3).

Appeals by administering authorities

104

• (1) Where–

• (a) a Scheme employer has decided or failed to decide any question falling to be decided by that employer under regulation 96 (otherwise than in the exercise of a discretion); and

• (b) the Scheme employer is not an administering authority,

the administering authority maintaining the pension fund to which the Scheme employer pays contributions may appeal to the Secretary of State to decide that question.

• (2) Such an appeal must be made by notice in writing given before the end of the period of six months beginning with the relevant date or such further period as the Secretary of State considers reasonable.

• (3) Where the appeal relates to a decision notified under regulation 97(1), the relevant date is the date of the notification of that decision.

• (4) Where the appeal relates to a failure to decide any question, the relevant date is the date of that failure.

• (5) For paragraph (4) an employer is to be taken to have failed to decide a question at the expiry of the period of three months beginning with the date on which the administering authority have requested a decision by notice in writing.

• (6) Where an appeal has been made under paragraph (1), the period within which an application may be made under regulation 99 may not be extended under regulation 99(8).

• (7) The Secretary of State must issue his decision on the appeal by notice in writing to the appellant authority and to any other persons appearing to him to be affected by it.

• (8) Where an appeal is made by an authority under this regulation and any other person–

• (a) has made an application under regulation 99 or regulation 101 which has not been determined in respect of any of the matters which are the subject of the appeal; or

• (b) makes such an application contemporaneously with the appeal or after it and before the appeal is determined,

the appeal shall be sisted pending notification of a decision under regulation 100 or, as the case may be, regulation 101 or until the application is withdrawn.

Information and records etc.

Statements of policy concerning exercise of discretionary functions

105

• (1) Each administering authority and Scheme employer must formulate and keep under review their policy concerning the exercise of their functions under regulation 30 (early leavers) and under Part III.

• (2) Before formulating that policy an administering authority must consult the authorities who employ active members for whom they are the appropriate administering authority.

• (3) Before the expiry of the period of three months beginning with the commencement date–

• (a) each Scheme employer must send each relevant administering authority; and

• (b) each administering authority must send each relevant Scheme employer,

a written statement as to the policy which is being applied by that employer or, as the case may be, authority in the exercise of their functions on or after that date.

• (4) Where, as a result of a review under paragraph (1), a Scheme employer or administering authority determine to amend their policy, they must send a copy of the statement of the amended policy to each relevant administering authority or, as the case may be, relevant Scheme employer before the expiry of the period of one month beginning with the date on which they so determine.

• (5) A relevant administering authority, in relation to a Scheme employer, are any authority who are an appropriate administering authority for that employer’s employees, and a relevant Scheme employer, in relation to an administering authority, is any Scheme employer for whose employees they are the appropriate administering authority.

• (6) In formulating their policy under paragraph (1), an administering authority or Scheme employer must have regard to the extent to which the exercise of the functions could lead to a serious loss of confidence in the public service.

Information to be supplied by employees

106

• (1) Before the expiry of the period of three months beginning with the date a person becomes a member, the Scheme employer must ask him in writing for the documents specified in paragraph (2).

• (2) Those documents are–

• (a) a statement in writing listing all the person’s previous periods of employment; and

• (b) copies of all notifications previously given to him under these Regulations or the old Regulations.

• (3) They must also ask for those documents before the expiry of the period of three months beginning with the occurrence of any change as respects his employment which is material for the Scheme.

• (4) A request under paragraph (1) or (3) must include a conspicuous statement that it is important that the member gives full and accurate information, especially for ascertaining his rights under the Scheme.

• (5) The Scheme employer need not request any documents if satisfied that they or the appropriate administering authority (if different) already have all material information.

• (6) The old Regulations are the 1987 Regulations, the 1974 Regulations, the Local Government Superannuation (Administration) (Scotland) Regulations 1954⁴¹ the Local Government Superannuation (Administration) (Scotland) Regulations 1938⁴² and the Local Government Superannuation (Administration) (No.2) (Scotland) Regulations 1938⁴³.

Exchange of information by authorities

107

• (1) A Scheme employer who is not an administering authority must inform the appropriate administering authority of all decisions made by the employer under this Chapter concerning members and give that authority such other information as they require for discharging their functions under the Scheme.

• (2) If–

• (a) an administering authority make any decision under this Chapter about a person for whom they are not the Scheme employer; and

• (b) information about the decision is required by his Scheme employer for discharging that employer’s functions under the Scheme,

that authority must give that employer that information.

Provision of information and calculation of restitution payment: mis-sold personal pensions

108

• (1) Where–

• (a) in relation to an individual mentioned in regulation 6(9)(c) information is requested by a prescribed person in the prescribed circumstances for the purpose of calculating what payment would need to be made to the Scheme in respect of the individual to restore the position to what it would have been if the individual had been an active member of the Scheme throughout the period referred to in that regulation (“the restitution payment”); or

• (b) an individual mentioned in sub-paragraph (a) applies to become a member of the Scheme or applies to have a restitution payment accepted having become a member of the Scheme after that period,

the administering authority who maintain the fund which would be the appropriate fund for that individual must calculate the restitution payment in accordance with regulation 124.

• (2) In this regulation “prescribed person” and “prescribed circumstances” have the same meaning respectively as in regulations 3 and 4 of the Local Government, Teachers' and National Health Service (Scotland) Pension Schemes (Provision of Information and Administrative Expenses etc.) Regulations 1996⁴⁴.

CHAPTER V — SPECIAL ADJUSTMENTS

Abatement during new employment

Statements of policy concerning abatement of retirement pensions in new employment

109

• (1) Each administering authority must formulate and keep under review their policy concerning abatement (that is, the extent, if any, to which the amount of retirement pension payable to a member from any pension fund maintained by them under the Scheme should be reduced (or whether it should be extinguished) where the member has entered a new employment with a Scheme employer, other than one in which he is eligible to belong to a teachers scheme).

• (2) Before formulating that policy an administering authority must consult with the authorities who employ active members for whom they are the appropriate administering authority.

• (3) Before the expiry of the period of three months beginning with the commencement date, each authority shall publish a statement as to the policy which is being applied by them where a member who is so entitled enters such a new employment on or after that date.

• (4) Where, as a result of reviewing their policy concerning abatement, an administering authority determine to amend it, they must publish a statement of the amended policy before the expiry of the period of one month beginning with the date on which they determine to do so.

• (5) In formulating their policy concerning abatement, an administering authority must have regard to–

• (a) the level of potential financial gain at which they wish abatement to apply;

• (b) the administrative costs which are likely to be incurred as a result of abatement in the different circumstances in which it may occur; and

• (c) the extent to which a policy not to apply abatement could lead to a serious loss of confidence in the public service.

• (6) In paragraph (5)(a) the reference to financial gain is a reference to the financial gain which it appears to the administering authority may be obtained by a member as a result of his entitlement both to a pension and to pay under the new employment.

Application of abatement policy in individual cases

110

• (1) Where a member who is entitled to the payment of a retirement pension proposes to enter a new employment with a Scheme employer, he must inform the employer about that entitlement.

• (2) If such a member enters such a new employment he must immediately notify in writing the body from whom he has become entitled to receive the pension.

• (3) Paragraphs (1) and (2) do not apply where the new employment is employment in which the person is eligible to belong to a teachers scheme.

• (4) The authority which is the member’s appropriate administering authority as respects the retirement pension to which he is entitled–

• (a) must apply the policy published by them under regulation 109 to the member; and

• (b) may reduce the annual rate of that pension or, as the case may be, may cease to pay it, during the period while he holds the new employment, in accordance with that policy.

• (5) However, no reduction under paragraph (4) of the pension of a person who was a member immediately before the commencement date may exceed the reduction which would have applied under the 1987 Regulations if those Regulations had applied when the member entered his new employment.

Misconduct

Forfeiture of pension rights after conviction of employment-related offences

111

• (1) If a member is convicted of a relevant offence, the Secretary of State may issue a forfeiture certificate.

• (2) Where a forfeiture certificate is issued the member’s former employing authority may direct that any of the rights in respect of him under these Regulations or the 1987 Regulations as respects his previous membership shall be forfeited.

• (3) A relevant offence is an offence, committed in connection with an employment in which the person convicted is a member, and because of which he has left that employment.

• (4) A forfeiture certificate is a certificate that the offence–

• (a) was gravely injurious to the State; or

• (b) is liable to lead to serious loss of confidence in the public service.

• (5) If the former employing authority incurred loss as a direct consequence of the relevant offence, they may give a direction under paragraph (2) only if they are unable to recover their loss under regulation 113 or 115 or otherwise, except after an unreasonable time or at disproportionate cost.

• (6) A direction under paragraph (2) may only be given if an application for a forfeiture certificate has been made by the former employing authority before the expiry of three months from the date of the conviction.

• (7) Where a former employing authority apply for a forfeiture certificate, they must at the same time send the convicted person and the appropriate administering authority a copy of the application.

Interim payments directions

112

• (1) If–

• (a) a person leaves an employment in which he was a member because of an offence in connection with that employment; and

• (b) a forfeiture certificate has been issued under regulation 111(1) in respect of that offence,

his former employing authority may give an interim payments direction to the appropriate administering authority.

• (2) However, they may not give such a direction if they have–

• (a) notified him of a decision under regulation 96 on any question as to entitlement to benefit; or

• (b) given any direction under regulation 111(2) (“a forfeiture direction”).

• (3) An interim payments direction is a direction to make interim payments to any person who appears to the former employing authority to be a person who would be entitled to receive payment of a benefit under the Scheme if no forfeiture direction were given.

• (4) The person to whom payments must be made and the amounts must be specified in the direction.

• (5) The amounts must not exceed the amounts which the person specified would be entitled to be paid if no forfeiture direction were given.

• (6) An interim payments direction is not a decision under regulation 96 as to any person’s entitlement to a benefit.

• (7) Payments in accordance with an interim payments direction shall be deemed to be payments in respect of a benefit to which the recipient was entitled (regardless of any contrary forfeiture direction or decision under regulation 96).

Recovery or retention where former member has misconduct obligation

113

• (1) This regulation applies where a person–

• (a) has left an employment, in which he was or had at some time been a member, in consequence of a criminal, negligent or fraudulent act or omission on his part in connection with that employment;

• (b) has incurred some monetary obligation, arising out of that act or omission, to the body who were his employing authority in that employment; and

• (c) is entitled to benefits under Part II.

• (2) The former employing authority may recover or retain out of the appropriate fund–

• (a) the amount of the monetary obligation; or

• (b) the value at the time of the recovery or retention, of all rights in respect of the former employee under the Scheme with respect to his previous membership (as determined by an actuary),

whichever is less.

• (3) The rights specified in paragraph (2)(b) do not include rights enjoyed by virtue of the receipt of a transfer value or credited by virtue of regulation 65(5) (including that regulation as it applies by virtue of regulation 71).

• (4) The former employing authority must give the former employee–

• (a) not less than three months' notice of the amount to be recovered or retained under paragraph (2); and

• (b) a certificate showing the amount recovered or retained, how it is calculated, and the effect on his benefits or prospective benefits.

• (5) If there is any dispute over the amount of the monetary obligation specified in paragraph (1)(b), the former employing authority may not recover or retain any amount under paragraph (2) until the obligation is enforceable under an order of a competent court or the award of an arbiter.

Protection of guaranteed minimum pension rights

114

• (1) The power–

• (a) to give directions under regulation 111(2); or

• (b) or to recover or retain amounts under regulation 113(2)

may not be exercised so as to deprive a person of his guaranteed minimum pension or any widow’s or widower’s guaranteed minimum pension.

• (2) However, such a power may be so exercised if the person left his employment–

• (a) because of the offence of treason; or

• (b) because of one or more offences under the Official Secrets Acts 1911 to 1989 for which the former member has been sentenced on the same occasion–

• (i) to a term of imprisonment of at least 10 years, or

• (ii) to two or more consecutive terms amounting in aggregate to at least 10 years.

Transfer of sums from the pension fund to compensate for former member’s misconduct

115

• (1) This regulation applies where–

• (a) a person has left an employment in which he was a member because of–

• (i) an offence involving fraud, or

• (ii) grave misconduct,

in connection with that employment;

• (b) his former employing authority in that employment have suffered direct financial loss by reason of the offence or misconduct; and

• (c) either–

• (i) the former employee became entitled to benefits under Part II or the 1987 Regulations and a direction has been given under regulation 111(2), or

• (ii) he did not become so entitled and on leaving the employment became entitled to a return of contributions under regulation 86 (whether or not he has waived his right).

• (2) If the former employing authority are an administering authority, they may transfer an appropriate amount from their pension fund to the appropriate fund or account.

• (3) Otherwise, the appropriate administering authority must pay the former employing authority an appropriate amount out of the pension fund, if requested to do so.

• (4) However, if a payment in lieu of contributions is due or has been made in respect of the former employee, the administering authority may reduce a payment under paragraph (3) by half the amount of the payment in lieu of contributions.

• (5) An appropriate amount is an amount not exceeding–

• (a) the amount of the direct financial loss; or

• (b) the amount of any contributions which could have been returned to the former employee, or paid to his spouse or a dependant, under regulation 87(2) above or regulation C12(5) of the 1987 Regulations, less the amount of any which have been so returned or paid,

whichever is the less.

• (6) If after making a payment under paragraph (3) the appropriate administering authority are required to make any transfer payment under Chapter IV of Part IV of the Pension Schemes Act 1993 or under regulation 119 or to make a payment under regulation 126 for a former employee, the former employing authority must repay it, if requested to do so.

CHAPTER VI — TRANSFERS

Transfers out

Application of Chapter IV of Part IV of the Pension Schemes Act 1993

116

• (1) For sections 12C (requirements as to transfer, commutation etc. for contracting-out), 19 (discharge of liability) and 20 (transfer of accrued rights) and Chapter IV or Part IV (transfer values) of the Pension Schemes Act 1993⁴⁵ and any regulations made under any of those sections or that Chapter, the managers of the Scheme in relation to a member are the fund authority.

• (2) Despite regulation 2 of the Occupational Pension Schemes (Transfer Values) Regulations 1996⁴⁶ (pre-1986 leavers), Chapter IV of Part IV of the Pension Schemes Act 1993 shall apply to all members of the Scheme regardless of the date of termination of their pensionable service.

• (3) The references in regulation 4 of those Regulations to regulation 3 of those Regulations include a reference to paragraph 4(1) and (2) of Schedule 16 to the 1987 Regulations and any corresponding earlier provisions.

• (4) Regulation 5 of those Regulations (treatment of a number of employments as a single employment) only applies if the employments are treated as a single employment for the purposes of the Scheme.

• (5) Sub-paragraph (a) of regulation 10(2) of those Regulations (interest on late payment of cash equivalents) does not apply where the member has required the cash equivalent to be paid to a club scheme.

• (6) Regulation 18 of those Regulations (termination of pensionable service in certain circumstances to be disregarded) only applies if–

• (a) in the case of a termination before the commencement date, no election was made under regulation E2(9)(c) of the 1987 Regulations (or any corresponding earlier provision) in respect of the service which terminated; and

• (b) in any case, no election has been made under regulation 31(1) to have the service which terminated aggregated with later service.

• (7) For this regulation and regulation 117, the fund authority, in relation to a member, is the body maintaining the pension fund to which he was contributing immediately before his pensionable service terminated.

• (8) However, if that fund has been closed, the fund authority is the body which would be liable to pay him his pension for that employment if he had been entitled to receive payment of such a pension when his pensionable service terminated.

Rights to payment out of fund authority’s pension fund

117

• (1) The amount of any transfer payment due in respect of a member under Chapter IV of Part IV of the Pension Schemes Act 1993 is payable by the fund authority from their pension fund.

• (2) Where such a transfer payment is to be or has been paid from a fund, no other payment or transfer of assets may be made from the fund as respects the accrued rights covered by the transfer payment.

• (3) Paragraph (2) overrides anything to the contrary in the former Regulations, any local Act scheme, the 1974 Regulations, the 1987 Regulations or any other provision of these Regulations or the Transitional Regulations.

Contracting-out requirements affecting transfers out

118

• (1) There must be deducted from the transfer payment to be made in respect of any person–

• (a) the amount of any contributions equivalent premium payable pursuant to section 55 of the Pension Schemes Act 1993⁴⁷; or

• (b) an amount sufficient to meet the liability in respect of his contracted-out rights.

• (2) However, the amount mentioned in paragraph (1)(b) may not be deducted where–

• (a) the transfer payment is made to an occupational pension scheme which is contracted-out or an appropriate personal pension scheme; and

• (b) that scheme’s trustees or managers undertake to accept liability for his contracted-out rights.

• (3) Where the amount mentioned in paragraph (1)(a) is deducted, if the appropriate administering authority think fit, that amount may be used in preserving the liability mentioned in paragraph (2)(b) in the appropriate fund.

• (4) Otherwise, it must be used in paying the premium.

• (5) Contracted-out rights, in relation to a member, are–

• (a) his and his surviving spouse’s rights to guaranteed minimum pensions; and

• (b) his section 9(2B) rights (as defined in regulation 1(2) of the Occupational Pension Schemes Contracting-out) Regulations 1996⁴⁸).

Bulk transfer arrangements

Bulk transfers (transfers of undertakings) etc.

119

• (1) This paragraph applies where–

• (a) two or more members' active membership ends on their joining an approved non-local government scheme (“the new scheme”);

• (b) it is agreed by–

• (i) the members' appropriate administering authority,

• (ii) the members' employing authorities (if different), and

• (iii) the trustees or managers of the new scheme,

that a payment should be made under this regulation; and

• (c) the members agree in writing that that payment should be made instead of any payment which they otherwise might require to be made under Chapter IV of Part IV of the Pension Schemes Act 1993 and waive any rights they might have under that Chapter by virtue of the cessation of their active membership.

• (2) The appropriate administering authority must not give their agreement under paragraph (1)(b) unless they are satisfied that the rights that each of the members will acquire under the new scheme are at least equivalent to those which he would have obtained if a transfer value had been paid to the same scheme under Chapter IV of Part IV of the Pension Schemes Act 1993, as it applies by virtue of regulation 116, (assuming in any case where the member would not be entitled to such a payment that he was).

• (3) The appropriate administering authority must provide each member with sufficient information in writing to check that fact before he agrees as mentioned in paragraph (1)(c).

• (4) Where paragraph (1) applies, the appropriate administering authority must–

• (a) set aside (whether in cash or in assets or both) such part of the appropriate fund (“the transfer payment”) as an actuary appointed by them and an actuary appointed by the scheme managers of the new scheme for the purpose may agree as appropriate for the acquisition of such rights in that scheme as they may so agree; and

• (b) pay or transfer it to the trustees or managers of the new scheme for the benefit of the relevant members.

• (5) The appropriate administering authority must certify to the new scheme’s trustees or managers the amount included in the transfer payment which represents each member’s contributions and interest on them.

• (6) Where a transfer payment is to be or has been made under this regulation, no other payment or transfer of assets shall be made from the pension fund by reason of membership covered by the transfer payment.

• (7) Paragraph (6) overrides anything to the contrary in the former Regulations, any local Act scheme or any provision of the 1974 Regulations, the 1987 Regulations or these Regulations.

Calculation of amount of transfer payment under regulation 119

120

• (1) The amount of the transfer payment to be paid under regulation 119 is the amount determined by an actuary appointed by the members' appropriate administering authority to be equal to the value at the date they join the new scheme of the actual and potential liabilities payable from their fund which have then accrued in respect of the members and the persons who are or may become entitled to benefits under the Scheme through them.

• (2) The actuary may make such adjustments as he thinks fit in calculating that amount and, in particular, as respects the period from that date to the date of actual payment of the transfer value.

• (3) He must specify in his valuation the actuarial assumptions he has used in making it.

• (4) The employing authority shall bear the costs of determining the appropriate part of the fund and apportioning the fund.

• (5) However, if there is more than one employing authority involved, each shall bear such part of the costs as the actuary determines to be appropriate.

Transfers in

Inward transfers of pension rights

121

• (1) If a person who becomes an active member has relevant pension rights, he may request his fund authority to accept a transfer value for some or all those rights from the relevant transferor.

• (2) Relevant pension rights are accrued rights under–

• (a) an occupational pension scheme (other than the Scheme);

• (b) a personal pension scheme;

• (c) a retirement annuity contract approved by the Commissioners of Inland Revenue under section 620 or 621 of the Taxes Act;

• (d) a self-employed pension arrangement; or

• (e) an additional voluntary contributions scheme (other than a FSAVC scheme or a scheme constituted by virtue of Chapter IV of Part III).

• (3) Accrued rights include rights to preserved benefits and rights appropriately secured under section 19 of the Pension Schemes Act 1993⁴⁹.

• (4) For this regulation and the following regulations of this Chapter the fund authority, in relation to a transferring person, are the body maintaining the pension fund of the scheme to which he is contributing.

• (5) The relevant transferor is the trustees or managers of the scheme, contract or arrangement under which the transferring person’s relevant pension rights arise.

• (6) However, the relevant transferor for the rights specified in paragraph (3) is the trustees or managers of the scheme, contract or arrangement, or the insurance company, to which a payment in respect of his accrued rights has been made.

• (7) A request from a transferring person under paragraph (1) must be made by notice in writing.

• (8) That notice must be given before the expiry of the period of 12 months beginning with the date on which he became an active member (or such longer period as his employer may allow).

• (9) Where a request under paragraph (1) is duly made the fund authority may accept the transfer value and credit it to their pension fund.

Right to count credited period

122

• (1) Where a transfer value has been accepted under regulation 121, the member may count the credited period as a period of membership for these Regulations (but see Schedule 3).

• (2) If the transfer value–

• (a) is paid by the trustees or managers of a club scheme;

• (b) represents all the rights relating to the member in that scheme;

• (c) has been calculated–

• (i) in a case where Chapter IV of Part IV of the Pension Schemes Act 1993 applies, in accordance with that Chapter, and

• (ii) otherwise, in a manner consistent with that prescribed under that Chapter,

the credited period is the period which, if used to calculate a transfer value to be paid by the Scheme, would produce an amount equal to the transfer value received.

• (3) If the transfer value is not paid by the trustees or managers of a club scheme, the credited period must be calculated in a manner consistent with that Chapter.

• (4) In calculating the credited period under paragraph (3) due allowance must be given for the expected increase in the member’s pensionable pay between the date on which he became a member (or, if more than twelve months later, the date on which the transfer value is received) and his NRD.

• (5) If the member is a man, the credited period must be treated as a period after 5th April 1978.

• (6) If the member is a woman, the credited period must be treated as a period after 5th April 1988.

• (7) The fund authority must give the member a written notice stating the period of membership he may count under paragraph (1).

• (8) The notice must contain a statement of the kind required by regulation 97(4).

Rights as to service not matched by credited period

123

• (1) Where the member’s transferred-in service exceeds the credited period, he may count the excess as a period which counts towards his total membership for the purposes of the provisions mentioned in paragraph (2).

• (2) Those provisions are–

• (a) regulation 18(1) (general qualification for benefits);

• (b) paragraphs (a) and (b) of the definition of “normal retirement date” in regulation 24(4);

• (c) regulation 40(4) and (5) (amount of active member’s surviving spouse’s long-term pension);

• (d) regulation 86(1) (return of contributions).

• (3) A period which may be counted under paragraph (1) counts as its actual length.

• (4) The fund authority must give the member a written notice stating the period of membership he may count under paragraph (1).

• (5) The notice must contain a statement of the kind required by regulation 97(4).

• (6) The transferred-in service of a transferring member is the service in respect of which he has accrued rights to benefits under his previous occupational pension scheme or appropriate policy (whether or not the transfer value covers all those rights).

• (7) The period of that service is the period certified by the trustees or managers of that scheme or issuers of that policy.

Credited periods for transferring members with mis-sold pension rights

124

• (1) Regulation 122(3) does not apply where–

• (a) the transferring person is a person mentioned in regulation 6(9)(c); and

• (b) the transfer value satisfied the conditions specified in paragraph (2).

• (2) Those conditions are that–

• (a) it is paid by the trustees or managers of the personal pension scheme mentioned in section 172(1)(a)(ii) of the Pensions Act 1995⁵⁰;

• (b) it represents all the rights relating to the member in that scheme;

• (c) it is paid on an application made to the appropriate administering authority before the expiry of the period of 12 months beginning with the date on which the transferring person becomes an active member (or such longer period as they may allow); and

• (d) in the opinion of the appropriate administering authority it is not less than the restitution amount.

• (3) Where paragraph (1) applies, the credited period is the period of membership the transferring person could have counted if he had been an active member throughout the personal pension period.

• (4) The restitution amount is the aggregate of–

• (a) the capitalised value (as at the date on which the request for the calculation of the restitution amount is made) of the rights which would have accrued to the transferring person under the Scheme if he had remained an active member of the Scheme throughout the personal pension period (including rights under the Pensions (Increase) Act 1971⁵¹ and the Pensions (Increase) Act 1974⁵²;

• (b) the transfer value (if any) paid out of the Scheme to the personal pension scheme; and

• (c) interest on any such transfer value at such rate as is approved for the time being by the Government Actuary, calculated on a daily basis over the period from the date on which that transfer value was paid out of the Scheme to the date as at which the transfer value is taken to be paid to the Scheme.

• (5) The appropriate administering authority must determine the value mentioned in paragraph (4)(a) in such manner as is for the time being indicated in guidance issued by the Government Actuary.

• (6) The personal pension period is the period referred to in regulation 6(9)(c).

Community scheme transferees

Community scheme transferees

125

• (1) Community scheme transferees and their surviving spouses, dependants and children are entitled to such rights under the Scheme as are specified in guidance issued by the Government Actuary.

• (2) A Community Scheme transferee is a person who became employed by a Community institution after having been employed in local government employment.

Payments between funds and authorities

Changes of fund

126

• (1) This regulation applies where–

• (a) a pension fund becomes an active member’s appropriate fund;

• (b) immediately before it does so, another fund was his appropriate fund;

• (c) in a case where regulation 31(1) applies to him, he has made an election under that regulation.

• (2) Where the member’s appropriate administering authority has also changed, the authority which has ceased to be the member’s appropriate administering authority must make such payment to his later appropriate administering authority as is indicated in guidance issued by the Government Actuary for this regulation (but see paragraph (3)).

• (3) Where–

• (a) paragraph (2) applies as respects two or more members by virtue of a single event; and

• (b) the authority by which the payment under that paragraph must be made agree with the authority to which it must be made that it is appropriate for the amount of the payment to be determined by actuaries appointed by those authorities for the purpose,

that amount must be so determined.

• (4) Any payment under paragraph (2) must be credited to the new appropriate administering authority’s fund.

• (5) Where the member’s appropriate administering authority has not changed, they must arrange for a payment such as is indicated in guidance issued by the Government Actuary for this regulation to be made from the member’s former appropriate fund to his new appropriate fund.

• (6) Paragraph (1) does not apply where a member enters an employment which is concurrent with another in which he is also an active member.

Liability for combined benefits

127

• (1) Where–

• (a) a benefit under regulation 28 or 47 of these Regulations or regulation E6(1)(c), (2)(e) or (3)(b), E16 or E18 of the 1987 Regulations is payable out of a pension fund (“the new fund”); and

• (b) by means of that benefit being payable another benefit ceases to be payable out of another fund,

such payments must be made to the authority maintaining the new fund by the authority maintaining the other fund as are indicated in guidance issued by the Secretary of State for this regulation.

• (2) Such payments must be credited to the new fund.

PART V — SPECIAL CASES

CHAPTER I — ELIGIBILITY

Transport employees

128

• (1) For these Regulations every employee of a subsidiary of a passenger transport executive is deemed to be in employment with that executive.

• (2) In this regulation “subsidiary” has the meaning given in section 137(1) of the Transport Act 1985⁵³.

Further cases of eligibility: non-employees

129

• (1) A person may be an active member if he is an eligible officer.

• (2) These are eligible officers–

• (a) a registration officer;

• (b) a person who immediately before 16th May 1974 was a member of a passenger transport executive or a director of a subsidiary of a passenger transport executive, who was a contributory employee in that position and continues in it.

• (3) If a registration officer is an active member, he must be treated as being in employment with the local authority who are the local registration authority for the purposes of section 5 of the Registration of Births, Deaths and Marriages (Scotland) Act 1965⁵⁴ and by whom he was appointed or deemed to have been appointed under section 7 of that Act.

• (4) If a person mentioned in paragraph (2)(b) is an active member he must be treated as being in the employment of the passenger transport executive.

• (5) A person who has been appointed a rent officer under section 43 of the Rent (Scotland) Act 1984⁵⁵ must be treated as being in employment of the local authority with whom the Secretary of State has made arrangements under that section to provide for the superannuation of the officer.

• (6) A member of a passenger transport executive or a director of a subsidiary of such an executive must be treated as being in employment with the relevant executive.

• (7) Regulation 130(1) applies to the persons holding the positions specified in paragraph (6) as they apply to the employees specified in that regulation.

Separate employments etc.

130

• (1) Where a person holds separate employments under one Scheme employer, these Regulations apply as if each of them were with a different employer.

• (2) This paragraph applies where a whole-time employee of a Scheme employer or a part-time employee with at least 30 contractual hours is also employed–

• (a) as a returning officer at local government elections; or

• (b) as an acting returning officer (including employment in the 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 1978⁵⁶ to be discharged by an acting returning officer).

• (3) Where paragraph (2) applies and the employee was in the whole-time employment or, as the case may be, the part-time employment immediately before 1st April 1974 and had duties in it which included one or both of the additional duties, each additional duty must be treated as a separate variable-time employment with a different Scheme employer from the Scheme employer with whom he is in the whole-time employment.

• (4) Where paragraph (2) does and paragraph (3) does not apply, his employment for that duty (or those duties) must be treated as a (single) separate variable-time employment with a different Scheme employer.

• (5) A person who–

• (a) is a member in any employment; and

• (b) is also a medical inspector of immigrants appointed under the Immigration Act 1971⁵⁷ who receives his pay in that appointment from a Scheme employer listed in Schedule 2,

is eligible to be an active member in that appointment and shall be deemed to be an officer in the employment of that Scheme employer.

CHAPTER II — MODIFICATIONS FOR CERTAIN EMPLOYEES ETC.

Former contributors

131

Schedule 6 (former contributors) shall have effect.

Employees of Scottish Homes and former employees of Scottish Special Housing Association

132

• (1) Subject to paragraphs (2), (3) and (4), the Scheme applies to Scottish Homes and its employees as though Scottish Homes were a Scheme employer and an administering authority, and it applies also to Scottish Homes and persons who were employed by the Scottish Special Housing Association but have not become employees of Scottish Homes as though Scottish Homes were an administering authority in respect of those persons.

• (2) Where a person who was an eligible employee of the Scottish Special Housing Association has become an employee of Scottish Homes in consequence of an offer under paragraph 11 of Schedule 1 to the Housing (Scotland) Act 1988⁵⁸, the Scheme applies as if his employments with the Scottish Special Housing Association and Scottish Homes were one continuous employment.

• (3) Regulation 90 shall not apply in respect of benefits payable under these Regulations out of the pension fund maintained by Scottish Homes.

Transfers under the Local Government etc. (Scotland) Act 1994 etc: early leavers

133

• (1) Where–

• (a) a person leaves an employment in relation to which he is an active member because he is transferred to another employment in the circumstances set out in paragraph (2); and

• (b) apart from this paragraph, he would not be treated for regulation 30 (early leavers) as leaving a local government employment,

he must be so treated for that regulation.

• (2) Those circumstances are–

• (a) that he leaves that employment as a result of a transfer to another employment which is–

• (i) an employment with the same employing authority at lower pay, or

• (ii) an employment with a different employing authority; and

• (b) that transfer is made by virtue of or in consequence of–

• (i) an order made under section 8 of the Local Government etc. (Scotland) Act 1994 or that section as extended by sections 97 and 137 of that Act; or

• (ii) the transfer to the Scottish Environment Protection Agency under section 22(1)(b)(ii) of the Environment Act 1995⁵⁹ of the property, rights and liabilities of a local authority in Scotland (as defined in section 56 of that Act).

Local government reorganisation

134

• (1) The Scheme applies, in relation to a transferred employee, as if his new employment and his former employment had been one continuous employment (but see paragraph (3)).

• (2) Transferred employees who are active members immediately before their transfer continue to be active members in their new employment.

• (3) Where–

• (a) immediately before the transfer of a transferred employee it was the usual practice of the body employing him to exercise any discretionary power exercisable by them by virtue of any enactment relating to pensions so as to pay or increase the payment of allowances or pensions for employees of his description; and

• (b) that power or any corresponding one becomes exercisable in relation to him,

the new employing body shall exercise the power in a way which is not less beneficial than the general character of that practice.

• (4) A transferred employee is–

• (a) a person transferred on or after 16th May 1975 by or under an order or regulations made under the Local Government (Scotland) Act 1973 which, in accordance with the provisions of section 216 of that Act, contain a provision as to the transfer of that person;

• (b) any person appointed by a local authority or a river purification board to hold any office or employment before or as from 16th May 1975 who, but for the appointment, would have been transferred on that day under said section 216;

• (c) any person who on 16th May 1975 remained in the employment of the same body as immediately before that day but who, in consequence of the Local Government (Scotland) Act 1973⁶⁰, or anything done under that Act, or of the 1974 Regulations, became on that day entitled to participate in a superannuation fund maintained under those Regulations by a different body from the body which maintained the superannuation fund he was entitled to participate in immediately before that day;

• (d) any person transferred on 1st April 1996 by or under an order made under section 8 of the Local Government etc. (Scotland) Act 1994 or that section as extended by section 97 or 137 of that Act;

• (e) any person transferred on 1st April 1996 under a scheme under section 22(3) of the Environment Protection Act 1995;

• (f) any person who, immediately before 1st April 1996, holds office or employment with a local authority constituted under section 2 of the Local Government (Scotland) Act 1973 and is not transferred on that date by or under an order made under section 8 of the Local Government etc. (Scotland) Act 1994, or that section as extended by section 97 or 137 of that Act, or under a scheme under section 22(3) of the Environment Protection Act 1995, but is appointed by a local authority constituted under section 2 of the Local Government etc. (Scotland) Act 1994, a water and sewerage authority established under section 62(1) of that Act, the Scottish Children’s Reporter Administration established under section 128 of that Act, the Strathclyde Passenger Transport Authority established under section 40(1) of that Act or the Scottish Environment Protection Agency established under section 20 of the Environment Protection Act 1995 to hold any office or employment with that body, as from 1st April 1996; or

• (g) any person who at 1st April 1996 remained in the employment of the same body as immediately before that date but who in consequence of the Local Government etc. (Scotland) Act 1994, or anything done thereunder, or of the 1987 Regulations, became on that date entitled to participate in the benefits of a superannuation fund maintained under those Regulations by a body different from the body which maintained the superannuation fund in the benefits of which he was immediately before 1st April 1996 entitled to participate.

• (5) For this regulation, where paragraph (4)(b) or (f) applies, the taking up of the office or employment to which the appointment is made is a transfer for this regulation.

Persons transferred under an order under section 34 of the Local Government (Scotland) Act 1975 or in consequence of section 1 of the Education (Mentally Handicapped Children) (Scotland) Act 1974

135

• (1) This regulation applies to any person who was transferred to the employment of a scheduled body under the 1987 Regulations, which body or its successor is a Scheme employer (“the new employment”) by or under an order made under section 34 of the Local Government (Scotland) Act 1975⁶¹ or in consequence of section 1 of the Education (Mentally Handicapped Children) (Scotland) Act 1974⁶² and was immediately before that transfer in an employment (“the old employment”) in which he was an officer within the meaning of the Health Service Regulations.

• (2) Subject to sub-paragraph (4), such a person is entitled to count as a period of membership any service which for the purposes of the Health Service Regulations he was entitled to count in relation to the old employment as, or as a period of, contributing service.

• (3) For paragraph (2)–

• (a) any period of part-time service is treated as though it were whole-time service for a proportionately reduced period; and

• (b) except for the purposes of–

• (i) determining whether a person is entitled to, or to payment of, a benefit; or

• (ii) ascertaining, where notice was given under Schedule 2 to the Benefits Regulations or regulation D6 or D7 of the 1974 Regulations, the maximum length of any additional period to which regulation 54 applies,

any service which was reckonable service under the Health Service Regulations for all purposes (other than for the purpose of determining whether any benefit was payable) as a period of contributing service at half its length is counted at half its length.

• (4) Where, immediately before he was transferred, such a person as is mentioned in paragraph (1) was a person in respect of whom the Secretary of State–

• (a) paid contributions under regulation 46 of the Health Service Regulations (persons subject to non-statutory superannuation schemes and arrangements); or

• (b) carried out any such scheme or arrangements as are referred to in that regulation,

then, that person shall not be subject to any provisions of these Regulations except those contained in this paragraph, and the body to which that person was transferred or its successor body, shall–

• (a) if immediately before 16th May 1974 the Secretary of State was paying under regulation 46 of the Health Service Regulations in respect of that person the contributions authorised or required by the relevant scheme to be paid by the employer, pay those contributions; and

• (b) deduct from the person’s pay the amount of any contribution required by the scheme or under the arrangements to be paid by the employee.

• (5) In relation to a person who gave notice under regulation N12(3)(e) of the 1974 Regulations that he did not wish to avail himself of the benefits provided under those Regulations and to whom regulation H5(8) of the 1987 Regulations applied immediately before the commencement date, these Regulations–

• (a) have effect as if they conferred on him rights corresponding to those which he would have enjoyed if he had remained subject to the provisions of the Health Service Regulations; and

• (b) continue so to have effect so long as he is employed without a disqualifying break of service by a Scheme employer on duties reasonably comparable to those on which he was engaged immediately before he was transferred.

• (6) Where paragraph (5) applies, the modifications mentioned in paragraphs (7) and (8) apply.

• (7) Regulations 109 and 110 (abatement of retirement pensions during new employment) apply instead of regulation 40 of the Health Service Regulations and–

• (a) as if “retirement pension” included a pension payable by virtue of paragraph (5); and

• (b) in any case where the final pay of a former employment must be ascertained as if entitlement to such a pension were not an entitlement under the Scheme.

• (8) Regulations 111 (forfeiture) and 112 (interim payments directions) have effect instead of regulation 54 of the Health Service Regulations.

• (9) In this regulation “the Health Service Regulations” are the National Health Service Superannuation (Scotland) Regulations 1961 to 1974⁶³ as in force immediately before 16th May 1974.

Conversion of Discretionary Payments Regulations periods into membership

Conversion of periods credited under Discretionary Payments Regulations etc. into membership

136

• (1) Where, apart from paragraph (9) of regulation 51, an employing authority could pass a resolution under that regulation to increase a person’s total membership, they may resolve that his total membership be increased by the whole or part of the period credited to him as mentioned in that paragraph.

• (2) Where–

• (a) any person has been credited by an employer (“the transferor employer”) under any scheme, the terms of which correspond to Part III of the Local Government (Discretionary Payments and Injury Benefits) (Scotland) Regulations 1998, with a period of service in respect of a former employment;

• (b) the transferor employer’s liability in respect of payments falling due to that person as respects that credited period has been transferred to the employing authority;

• (c) apart from paragraph (9) of regulation 51, if–

• (i) the person’s employment with the transferor employer had been employment with the employing authority; and

• (ii) any actions taken by the transferor employer under the scheme mentioned in paragraph (a) had been taken by that authority,

that authority could pass a resolution under regulation 51 to increase his total membership,

they may resolve that his total membership be increased by the whole or part of the period credited to him.

• (3) The additional period must not exceed the period which would be the maximum additional period under regulation 51, if–

• (a) a resolution under that regulation could be passed in relation to him; and

• (b) the period of 10 years were substituted for the period of 6 243/365 years in paragraph (2)(d) of that regulation.

• (4) The additional period may be counted as a period of membership only if–

• (a) the employing authority and the administering authority agree that the employing authority will pay increased contributions under regulation 78 to meet the cost of the increase in membership; or

• (b) the relevant employing authority make the payment required by regulation 79(2) within the period specified in that regulation,

but it may be so counted as from the date from which the resolution has effect.

• (5) If the relevant employing authority fail duly to pay those increased contributions or make that payment, the resolution shall cease to have effect.

• (6) Where the resolution has effect the period credited as mentioned in regulation 51(9) is reduced or extinguished accordingly (but without prejudice to any payments which have fallen due or have been made before that date).

• (7) No resolution may be passed under this regulation, the result of which would be to place any individual in a worse position than he would otherwise be.

• (8) If the person was credited as mentioned in regulation 51(9) on or after the commencement date, this regulation applies only if–

• (a) the employing authority is an authority who have reasonable grounds to believe that they will cease to exist as a result of a provision made by or under an enactment; or

• (b) the employing authority have ceased to exist as a result of any such provision;

and where paragraph (b) applies “employing authority” includes the person to whom the former employing authority’s functions as respects the former employee in question have been transferred in connection with their abolition.

Rights under section 12 of the Superannuation Act 1972

137

• (1) If, apart from this regulation, any provision of these Regulations, which re-enacts with any modification any provision of the Scheme which ceases to have effect by virtue of the Transitional Regulations in relation to any person to whom a relevant benefit is or may become payable, would place him in a worse position in relation to that benefit than that he would have been in if that modification had not been made and he makes an election under this paragraph, these Regulations shall have effect, in relation to him and to that benefit, as if these Regulations had re-enacted that provision of the Scheme without modification (but see paragraph (4)).

• (2) An election under paragraph (1) must be made by notice in writing given to the appropriate administering authority within the period of six months beginning with the commencement date.

• (3) In this regulation–

• “relevant benefit” means a benefit payable to, or in respect of, a person who before the commencement date– ceased to hold an employment in which he was an active member (whether or not he has subsequently become an active member again); or died while in such employment; and

• “benefit” includes a return of contributions and any pension payable to a widow, widower or any dependant by virtue of a surrender.

• (4) If an election under paragraph (1) is made in relation to a benefit in respect of a person who is an active member, or subsequently becomes an active member again–

• (a) the election shall have effect in relation to the benefit only to the extent that it accrues or has accrued by virtue–

• (i) of periods of membership before the cessation referred to in paragraph (3)(a) (or, if there has been more than one such cessation, the last of them before the commencement date); or

• (ii) of contributions paid in respect of such periods of membership; and

• (b) in determining entitlement to, or the amount of, the benefit to that extent, he shall be treated as if he had never become an active member again at any time after the cessation referred to in paragraph (2)(a) (but without prejudice to the application of this paragraph);

and these Regulations shall have effect accordingly.

SCHEDULE 1 — INTERPRETATION

• “the Act of 1922” means the Local Government and other Officers' Superannuation Act 1922⁶⁴;

• “the Act of 1937” means the Local Government Superannuation (Scotland) Act 1937⁶⁵;

• “the Act of 1953” means the Local Government Superannuation Act 1953⁶⁶;

• “the Acts of 1937 to 1953” means the Local Government Superannuation Acts 1937 to 1953⁶⁷;

• “the 1974 Regulations” means the Local Government Superannuation (Scotland) Regulations 1974⁶⁸;

• “the 1987 Regulations” means the Local Government Superannuation (Scotland) Regulations 1987⁶⁹;

• “active member” has the same meaning as in section 124(1) of the Pensions Act 1995;

• “actuary” means a Fellow of the Institute of Actuaries or of the Faculty of Actuaries;

• “added years” means an additional period which a person has become entitled to count as membership by virtue of– regulation D6(2) of the 1987 Regulations; regulation D10 of the 1974 Regulations; regulation 12 of the Benefits Regulations; regulation 5 of the Local Government Superannuation (Scotland) (Reckoning of Service on Transfer) Regulations 1954; regulation 15(2)(b) of the Local Government Superannuation (England and Scotland) Regulations 1948 to 1954; or any similar provision of a local Act scheme;

• “additional voluntary contributions provision” means a provision of an occupational pension scheme approved under section 591 of the Taxes Act which provides for the payment by employees of voluntary contributions;

• “additional voluntary contributions scheme” means a scheme approved under section 591 of the Taxes Act, to which an employer is not a contributor and which provides benefits additional to those provided by an occupational pension scheme;

• “administering authority” means a body required to maintain a pension fund under these Regulations;

• “admission agreement” has the meaning given in regulation 4(2);

• “admission agreement employee” means such an employee as is mentioned in regulation 4(10);

• “admission body” has the meaning given in regulation 4(8);

• “appropriate administering authority” means the body maintaining the appropriate fund;

• “appropriate fund”, in relation to a member, has the meaning given in regulation 73;

• “appropriate personal pension scheme” means a personal pension scheme for which there is in force a certificate issued in accordance with regulations made under section 7 of the Pension Schemes Act 1993;

• “appropriate policy” means a policy of insurance or annuity contract which provides an annuity which satisfies requirements prescribed under section 95(2)(c) of the Pension Schemes Act 1993;

• “approved AVC body” means a building society or a person operating an approved scheme which provides benefits in respect of persons who have paid contributions in addition to those provided in relation to them under an occupational pension scheme;

• “approved non-local government employment” means employment in which a person participates in an approved non-local government scheme;

• “approved non-local government scheme” means a non-local government scheme which is– approved under Part XIV of the Taxes Act; or approved by the Commissioners of Inland Revenue for the purposes of these Regulations;

• “approved scheme” has the meaning given in section 612 of the Taxes Act;

• “AVCs” means contributions made under regulation 60;

• “AVC insurance company” means– a body authorised under section 3 or 4 of the Insurance Companies Act 1982⁷⁰ to carry on long term business; an EC company which is lawfully carrying on long term business, or providing long term insurance, in the United Kingdom; or a friendly society within the meaning of the Friendly Societies Act 1992⁷¹ (including any society which is to be treated as a registered friendly society by virtue of section 96(2) of that Act), and paragraphs (a) and (b) of this definition must be interpreted as if they were contained in the Insurance Companies Act 1982;