The Teachers’ Pensions Regulations 2010

• (a) retirement benefits under this scheme,

• (b) a short-service serious ill-health grant, or

• (c) a short service annuity.

Limitation on payment of transfer values

35D

• (1) Where the receiving scheme is not a contracted-out occupational pension scheme a transfer value may only be paid under this Section if the person—

• (a) is not qualified for retirement benefits, or

• (b) has ceased to be in pensionable employment before 6th April 1978, or

• (c) is a married woman or widow who, by virtue of an election made or treated as made under regulations under section 19(4) of the Social Security Contributions and Benefits Act 1992, either is liable to pay primary Class 1 contributions or Class 2 contributions at a reduced rate or is under no liability to pay Class 2 contributions.

• (2) Where a person has accrued section 9(2B) rights a transfer value may only be paid under regulation 31 in respect of those rights if any applicable provisions of Part 3 of the Contracting-Out (Transfer and Transfer Payments Regulations) 1996 are complied with.

• (3) Where the person has acquired a right to a cash equivalent, a transfer value may only be paid under this Section if—

• (a) the service to which the cash equivalent relates includes service before 1st September 1988, and

• (b) the right has been exercised by requiring the whole of the cash equivalent to be paid to the scheme managers of an occupational pension scheme which is not a club scheme.

• (4) Where the person has acquired a right to a part cash equivalent, a transfer value may only be paid under this Section if the person would not remain qualified for retirement benefits on taking that right.

• (5) In this regulation—

• “occupational pension scheme” has the same meaning as in section 150(5) of FA 2004, and

• “receiving scheme” means the scheme a person becomes subject to after leaving pensionable employment.

SECTION 3 — Transfers in

Application of this Section

35E

• (1) This Section applies if a person ceases to be in another registered pension scheme and enters pensionable employment.

• (2) A person in respect of whom a transfer value on a cash equivalent basis is accepted is entitled to count reckonable service in accordance with Part 2 of Schedule 6.

Receipt under this Section

35F

A transfer value may be accepted under this Section in respect of a person (P) who enters pensionable employment if—

• (a) P makes a written application to the Secretary of State within 12 months from the date on which P enters pensionable employment, and

• (b) P's application is made before P attains the normal pension age.

Restrictions on the acceptance of a transfer value

35G

A transfer value payment in respect of a person (P) may not be accepted under this Section if, before P's application for a transfer value payment is received, P is in receipt of—

• (a) retirement benefits under this scheme,

• (b) a short-service serious ill-health grant, or

• (c) a short-service annuity.

CHAPTER 5 — Bulk transfers

SECTION 1 — Transfers out

Payment of bulk transfer values

SECTION 2 — Transfers in

Acceptance of bulk transfer values

36A

• (1) This regulation applies where, as the result of a relevant transfer to a new employer, a person or a group of persons has become employed in pensionable employment and is given the opportunity to transfer past service pension rights, referred to below as a “bulk transfer”.

• (2) A transfer value may be accepted by the Secretary of State in respect of a person who has made a written application within 3 months after the date on which the person was notified of the opportunity to take part in the bulk transfer, but this paragraph is subject to regulation 33G(1).

• (3) A person in respect of whom a transfer of such rights has been accepted as part of a bulk transfer is entitled to count reckonable service in accordance with Part 3 of Schedule 6.

Interpretation: abatement of pension

Scope of abatement of retirement pension following further employment

64A

Regulation 64B applies to a person (P) to whom retirement benefits have become payable and who is employed—

• (a) in pensionable employment, comparable United Kingdom service or employment which would have been pensionable but for—

• (i) P having made an election under regulation 9 (election for employment not to be pensionable), or

• (ii) P having reached the age of 75;

• (b) in part-time employment in a capacity described in paragraphs 1, 2 and 4 to 9 of Schedule 2, which is not pensionable employment by reason of the fact that the employment falls within regulation 7(6), and P has not made an election under regulation 10(1) (election for employment to be pensionable), or

• (c) in full-time employment which is not pensionable employment by reason of the fact that the employment falls within regulation 7(8), and P has not made an election under regulation 10(2)(d).

Abatement of a retirement pension following further employment

64B

• (1) Where this regulation applies to a person (P) and P is in an initial period—

• (a) if P's salary in the employment during the initial period equals or exceeds P's initial adjusted salary of reference, no abatable pension is to be paid in that tax year;

• (b) in any other case, the abatable pension to which P is entitled in the initial period is to be paid only in respect of X number of days, where—

$X = A B$

• (2) Where this regulation applies to P and P is not in an initial period—

• (a) if P's salary in the tax year equals or exceeds P's adjusted salary of reference, no abatable pension is to be paid in that tax year;

• (b) in any other case, the abatable pension to which P is entitled in that tax year is to be paid only in respect of X number of days, where—

$X = A B$

Method of abatement

64C

• (1) Where the abatable pension of a person (P) falls to be reduced—

• (a) under regulation 64B(1), paragraph (2) applies, or

• (b) under regulation 64B(2), paragraph (3) applies.

• (2) Where this paragraph applies, the Secretary of State is to pay P's abatable pension in accordance with regulation 109 (monthly payments) or regulation 110 (quarterly payments), without taking account of the reduction, until the abatable pension has been paid in respect of the number of days calculated in regulation 64B(1)(b), on the assumption that P will remain in employment at the same salary for the remainder of the initial period.

• (3) Where this paragraph applies, the Secretary of State is to pay P's abatable pension in accordance with regulation 109 (monthly payments) or regulation 110 (quarterly payments), without taking account of the reduction, until the abatable pension has been paid in respect of the number of days calculated in regulation 64B(2)(b), on the assumption that P will remain in employment at the same salary for the remainder of the tax year.

• (4) When P's abatable pension has been paid in respect of the number of days calculated in regulation 64B(1)(b) or (2)(b) paragraph (5) applies, unless P ceases to be in the employment, or is in employment at a lower salary, in which case paragraph (6) applies.

• (5) If this paragraph applies the Secretary of State is to pay no further abatable pension to P in respect of—

• (a) the remainder of the initial period, if regulation 64B(1)(b) applies, or

• (b) the remainder of the tax year, if regulation 64B(2)(b) applies.

• (6) If this paragraph applies the Secretary of State is to pay P's abatable pension during the remainder of the initial period or tax year, of such amount and at such times as is necessary in order to achieve the outcome described in—

• (a) regulation 64B(1)(b) in respect of an initial period, or

• (b) regulation 64B(2)(b) in respect of a tax year.

Recovery of overpaid pension

64D

• (1) If the abatable pension paid in any tax year has exceeded the amount which should have been paid by virtue of regulations 64B and 64C, the difference between the amount which has been paid and the amount which should have been paid is an overpayment to which paragraph (2) applies.

• (2) Where this paragraph applies, the overpayment is recoverable—

• (a) under regulation 114,

• (b) by a reduction in the abatable pension paid in any subsequent tax year, or

• (c) by a combination of (a) and (b).

Reduction of benefits: annual allowance and lifetime allowance charge

26

Teacher employed in the Lycée Français Charles de Gaulle de Londres.

11A

• (1) If Section 3 of Chapter 2 of Part 4 (Transfers on a club basis; transfer in) applies, a person (P) is entitled to count as reckonable service the period specified in this paragraph.

• (2) A period specified in this paragraph is determined by the Secretary of State having taken advice from the scheme actuary and by reference to the age and salary of P notified by the scheme manager of the club scheme.

• (3) Any sum representing interest that is included in the transfer value is not to be taken into account.

8A

• (1) Paragraph 8 does not apply to paragraph 8(6) of Schedule 4 to those Regulations.

• (2) If Part 1 of Schedule 4 to those Regulations applies to a person who had attained the age of 60 when he ceased to hold his employment, the amount of payment is based on the actuarial equivalent.

Pension protection lump sum death benefit

87A

• (1) A death grant is treated for the purposes of FA 2004 as a pension protection lump sum death benefit if and to the extent that—

• (a) the member has given written notice to the Secretary of State that the death grant is to be so treated; and

• (b) the death grant meets all of the conditions required by FA 2004 for it to be treated as a pension protection lump sum death benefit (see paragraph 14 of Part 2 (lump sum death benefit rule) of Schedule 29 to FA 2004).

• (2) Tax may be deducted from the death grant if the Secretary of State is liable for tax under section 206 (special lump sum death benefits charge) of FA 2004 in respect of a pension protection lump sum death benefit.

Surviving qualifying partner

Pensions for surviving adults

Pensions for widowers of female members other than widowers with pre-1988 rights

Pensions for surviving qualifying partners

Pensions for surviving adults where marriage or civil partnership takes place before pensionable employment ceases and for surviving nominated beneficiaries

Pensions for surviving adults where marriage or civil partnership takes place after pensionable employment ceases

Pensions for widowers of female members other than widowers with pre-1988 rights

Pensions for surviving qualifying partners

Pensions for surviving adults: general

Pensions for certain surviving adults where marriage or civil partnership takes place before pensionable employment ceases and for surviving nominated beneficiaries

Pensions for certain surviving adults where marriage or civil partnership takes place after pensionable employment ceases

Pensions for widowers or surviving male civil partners of female members other than widowers with pre-1988 rights

Accepted phased withdrawal schools

13A

• (1) An establishment is an accepted phased withdrawal school if the Secretary of State accepts it for the purpose of this regulation by giving its proprietor a written notice specifying the date on which it becomes an accepted phased withdrawal school.

• (2) An establishment may be so accepted only if—

• (a) it is an accepted school,

• (b) its proprietor makes a written application to the Secretary of State, and

• (c) if the school is an accepted school accepted under regulation 13(1)(b), a type B guarantee is provided to the Secretary of State.

• (3) An establishment, if so accepted by the Secretary of State, becomes an accepted phased withdrawal school from the date agreed between the Secretary of State and its proprietor, which must be the first day of a month after that in which the application under paragraph (2)(b) is made.

• (4) An establishment so accepted by the Secretary of State ceases to be an accepted phased withdrawal school from the date specified in a written notice given to its proprietor by the Secretary of State.

• (5) A notice under paragraph (4) may be given—

• (a) if the proprietor of the establishment makes a written application to the Secretary of State,

• (b) if the proprietor fails to comply with any provision of these Regulations or of TSAVCR 1994,

• (c) if, where a type B guarantee was previously provided to the Secretary of State, either the type B guarantee lapses or, because of a change in circumstances, the Secretary of State considers that the type B guarantee is insufficient,

• (d) if, where the proprietor of the establishment is an individual or a number of individuals, that individual or one of those individuals is an undischarged bankrupt or is the subject of a bankruptcy restrictions order or an interim order under Schedule 4A to IA 1986, or

• (e) if, where the proprietor of the establishment is a company—

• (i) a proposal for a voluntary arrangement has been made or approved in relation to the company under Part 1 of IA 1986,

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

• (iii) a receiver, manager or administrative receiver has been appointed for the company under Part 3 of IA 1986,

• (iv) a winding-up petition has been presented, a winding-up order has been made or a resolution for voluntary winding-up has been passed in relation to the company under Part 4 or 5 of IA 1986, or

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

• (6) The proprietor of an accepted phased withdrawal school must immediately give written notice to the Secretary of State of any change in proprietor or upon the occurrence of any of the events mentioned in paragraph (5)(d) or (e).

• (7) Where an establishment ceases to be an accepted phased withdrawal school—

• (a) it does not in consequence become an accepted school, but

• (b) sub-paragraph (a) does not prevent a separate application being made for the establishment to be an accepted school under regulation 13.

• (8) For the purposes of this regulation a type B guarantee may be provided anew or may be provided by the continuation or variation of a type A guarantee under regulation 13.

• (9) In this regulation—

• “accepted phased withdrawal teacher” means—as from the date agreed under paragraph (3), a person who, immediately before that date, is in pensionable employment at the establishment under Part 1 of Schedule 2 and is entitled to salary paid in full as indicated in regulation 7(2)(a),as from the date immediately after the end of a period of leave, which—is of a type specified in regulation 7(2)(b), andhas a continuous duration no longer than five years,a person who, immediately before the date agreed under paragraph (3), is in pensionable employment at the establishment but, because of that leave, is not so entitled,as from the date immediately after the end of a period of leave, which—is not of a type specified in regulation 7(2)(b), andhas a continuous duration no longer than five years,a person who, immediately before the date agreed under paragraph (3), is excluded, only in consequence of that leave, from counting as being in pensionable employment at the establishment, andas from the date immediately after the ending of the period of effect of an election under regulation 9, beginning before the date agreed under paragraph (3), a person who during that period is in employment at the establishment that, only because of the application of regulation 7(3) to that person, is excluded from counting as pensionable employment at the establishment;

• “type B guarantee” means a bond, guarantee or indemnity in a form and amount, and provided by a person, approved by the Secretary of State in respect of sums due, under these Regulations and TSAVCR 1994, from the proprietor and from any other person responsible for employment at the establishment of accepted phased withdrawal teachers, in relation to pensions—already payable by the establishment under these Regulations; andpayable in respect of the pensionable employment of each accepted phased withdrawal teacher at the establishment under Part 1 of Schedule 2.

Accepted function providers

Meaning of “accepted member”

Meaning of “contracting scheme employer”

Meaning of “fair deal transfer date”

Meaning of “transferred services”

Meaning of “Participation Agreement”

Meaning of “accepted employer”

Obligations of accepted employer

Termination and resumption of accepted employer status

3A

Accepted phased withdrawal teacher employed by the proprietor of, or by anyone else concerned in the management of, an accepted phased withdrawal school.