Legalize / United Kingdom / Statutory-Instrument

The Firefighters’ Pension Scheme (England) Regulations 2014

Type Statutory-Instrument

Publication 2014-10-23

Last updated 2017-10-06

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

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Reform history JSON API

(b) the member’s accrued rights attributable to service in contracted-out employment, within the meaning of Part 3 of PSA 1993, on or after 6th April 1997.

Application for a statement of entitlement

134

(1) This regulation applies in relation to an active or deferred member of this scheme (P) who requires a transfer payment to be made in respect of P’s accrued rights to benefits under this scheme.

(2) Before requesting this transfer payment, P must apply for a statement of entitlement by written notice to the scheme manager.

(3) P may withdraw the application by written notice to the scheme manager at any time before the statement is provided.

(4) P may make a second application in the period of 12 months beginning with the date of the first application.

Statement of entitlement

135

(1) The scheme manager must specify in the statement of entitlement the date by reference to which the cash equivalent or club transfer value is calculated (“the guarantee date”).

(2) Unless paragraph (4) applies, the guarantee date must fall within both the following periods—

(a) the three months beginning with the date of the member’s application for the statement of entitlement (“the three month period”); and

(b) the 10 days ending with the date on which the member is provided with that statement (“the 10 day period”).

(3) In counting the 10 day period, Saturdays, Sundays, Christmas Day, New Year’s Day and Good Friday are excluded.

(4) The scheme manager may specify in the statement of entitlement a guarantee date that falls within the six months beginning with the date of the member’s application for the statement of entitlement if—

(a) for reasons beyond the control of the scheme manager, the information needed to calculate the amount of the cash equivalent or club transfer value cannot be obtained before the end of the three month period; and

(b) the scheme manager considers it reasonable to specify a guarantee date that falls outside the three month period.

Request for transfer payment to be made

136

(1) An active or a deferred member of this scheme who is provided with a statement of entitlement may request a transfer payment to be made in respect of the member’s accrued rights to benefits under this scheme.

(2) The request for transfer payment must be made by written notice to the scheme manager and specify the pension scheme or other pension arrangement to which the transfer payment is to be made.

(3) A deferred member must exercise the right to apply for the payment of a club transfer value on the earlier of the day before the deferred member attains the deferred pension age and the end of the period of 12 months beginning with the date on which the deferred member ceased to be an active member of the scheme.

(4) A deferred member must exercise the right to apply for the payment of a transfer value on or before the day before the deferred member attains the deferred pension age.

(5) Subject to paragraph (6), the member by written notice to the scheme manager may withdraw the request at any time before the transfer payment is made.

(6) The member may not withdraw the request if an agreement for the use of the whole or part of the transfer payment has already been entered into with a third party.

Calculating the amount of a transfer value or club transfer value

137

(1) Subject to paragraphs (2) and (3), the amount of the transfer value is to be calculated in accordance with actuarial guidance as at the guarantee date.

(2) If a transfer value is paid later than six months after the guarantee date, the amount of the guaranteed cash equivalent must be increased in accordance with regulations made under section 97 (calculation of cash equivalents) of PSA 1993.

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

(4) If the transfer value or club transfer value is less than the minimum transfer value, the amount of the transfer value or club transfer value must be increased so that it is equal to the amount of the minimum transfer value.

(5) In this regulation—

“the minimum transfer value” means the total of—the sum of all member contributions and added pension payments made by the member; andthe sum of all transfer payments received by this scheme in relation to the member.

Effect of transfers-out

138

If a transfer payment is made under this Chapter in respect of a member’s accrued rights to benefits under this scheme, those rights are extinguished.

CHAPTER 3 — Transfers in

Application of Chapter

139

This Chapter applies in relation to an active member of this scheme who has accrued rights under another pension scheme (P).

Interpretation of Chapter

140

In this Chapter—

“another pension scheme” means—another occupational pension scheme that is a registered pension scheme but is not a connected scheme,a qualifying recognised overseas pension scheme for the purposes of Part 4 of FA 2004, ora personal pension scheme;

“club transfer value statement” means a statement under regulation 144 (club transfer value statement) of the amount of club transfer earned pension;

“transfer date” means the earlier of—if the scheme manager has provided a transfer statement or a club transfer value statement, the last day of the period of two months beginning with the date of the statement, orthe day on which the transfer payment is received by the scheme manager;

“transfer payment request” means a request to the scheme manager under this Chapter that a transfer payment be accepted from another pension scheme;

“transfer statement” means a statement under regulation 142 (transfer statement).

Request for acceptance of a transfer payment

141

(1) P may by written notice to the scheme manager request that a transfer payment be accepted in respect of some or all of P’s accrued rights under another pension scheme.

(2) A transfer payment request—

(a) must specify—

(i) the pension scheme from which the transfer payment is requested to be made, and

(ii) the anticipated amount of the transfer payment; and

(b) subject to paragraph (3), must be made before the beginning of the period of one year ending with the date on which the member reaches normal pension age.

(3) A request that a transfer payment be accepted from a non-occupational pension scheme must be made during the period of one year beginning with the day on which the member becomes an active member or such longer period as the scheme manager may allow.

(4) On receiving a transfer payment request, the scheme manager may accept the transfer payment.

Transfer statement

142

(1) This regulation applies in relation to—

(a) a request for a transfer payment to be accepted from another pension scheme that is not a club scheme; and

(b) a request for a transfer payment in respect of added pension to be accepted from another club scheme.

(2) The scheme manager may require that, before making a transfer payment request, P must ask the scheme manager of the other scheme to provide a statement of the amount of transferred pension, calculated in accordance with actuarial guidance, that P will be entitled to count under regulation 143 (amount of transferred pension) provided that the transfer date falls within the period of two months beginning with the date of that statement.

Amount of transferred pension

143

(1) This regulation applies in relation to—

(a) any transfer payment received in relation to P from another pension scheme that is not a club scheme; and

(b) any transfer payment in respect of added pension received in relation to P from another club scheme.

(2) For the scheme year in which the transfer date falls, the amount of transferred pension P is entitled to count in respect of the transfer payment is—

(a) the amount specified in the transfer statement; or

(b) if such a statement is not provided or is not calculated in accordance with actuarial guidance, an amount calculated by the scheme manager in accordance with actuarial guidance.

Club transfer value statement

144

(1) This regulation applies in relation to a request for a club transfer value payment to be accepted from another club scheme.

(2) The scheme manager may require that, before making the transfer payment request, P must ask the scheme manager of the sending scheme to provide a statement of the amount of club transfer earned pension, calculated in accordance with actuarial guidance, that P will be entitled to count under regulation 145 (amount of club transfer earned pension) if the transfer date falls within the period of two months beginning with the date of that statement.

(3) The statement must specify the basis on which an amount of accrued earned pension is revalued under the sending scheme while a member is in pensionable service under that scheme.

Amount of club transfer earned pension

145

(1) This regulation applies in relation to a club transfer value payment received from another club scheme.

(2) For the scheme year in which the transfer date falls, the amount of club transfer earned pension P is entitled to count is—

(a) the amount specified in the club transfer value statement; or

(b) if such a statement is not provided, an amount calculated by the scheme manager in accordance with actuarial guidance.

CHAPTER 4 — Transfer of pension account entries to another scheme manager

Requirement for scheme manager to provide a certificate

146

(1) A scheme manager must provide an active member who has ceased to be employed by that employer in scheme employment and has taken up scheme employment with another authority, with a certificate stating—

(a) the entries in the pension account, or pension accounts if more than one, at the date of the certificate;

(b) the period of pensionable service in the scheme employment, or employments, with the employer; and

(2) Where a deferred member has taken up scheme employment with another authority after a gap in pensionable service not exceeding five years, that member must request the scheme manager in relation to the earlier period of pensionable service to provide the member with a certificate stating—

(a) the entries in the pension account, or pension accounts if more than one, at the date of the certificate;

(b) the period of pensionable service in the scheme employment, or employments, with that employer;

(d) the date on which the certificate is given.

(3) Where a scheme manager is required to provide a certificate under paragraph (1), and the scheme manager had established an added pension account for that member that scheme manager must provide the member with a certificate stating—

(a) the entries in the added pension account at the date of the certificate;

(b) the date on which the certificate is given; and

(4) Where a scheme manager is required to provide a certificate under paragraph (2), or where a deferred member intends to make an added pension election having taken up scheme employment after a gap in pensionable service exceeding five years, and the scheme manager in relation to a previous period of pensionable service had established an added pension account, that scheme manager must provide the member with a certificate, where the member requests one, stating—

(a) the entries in the pension account at the date of the certificate;

(b) the date on which the member had ceased to be employed in scheme employment by that employer; and

(5) Where an active member has two or more active member’s accounts with two or more different scheme managers, and that member intends to make, or has made an added pension election, that member may request a certificate from the scheme manager who established the added pension account so that that certificate may be provided to another scheme manager (“B”) in respect of a different active member’s account so that the entries may be transferred to an added pension account established by B.

(6) The scheme manager must provide a certificate under this regulation—

(a) within three months of the date on which the active member leaves scheme employment; or

(b) within three months of the date on which the deferred member notifies the scheme manager of the new scheme employment.

Request to confirm details on certificate

147

Where a member has been provided with a certificate under regulation 146 (requirement for scheme manager to provide a certificate) and is dissatisfied with the information stated on the certificate, that member may within the period of three months commencing on the date on which the certificate was received, request the scheme manager who provided the certificate to confirm the accuracy of the information contained in it or to provide an amended certificate.

Appeal concerning entries on the certificate

148

(1) Where a member (P) is not satisfied with the entries on the certificate, or amended certificate, after P has made a request under regulation 147 (request to confirm details on certificate), P may, by written notice given to the scheme manager who provided the certificate within 28 days of the notification date, require the scheme manager to deal with the disagreement by means of arrangements implemented by it pursuant to the requirements of section 50 of the Pensions Act 1995[^f00051] (resolution of disputes) and the Occupational Pension Schemes (Internal Dispute Resolution Procedures Consequential and Miscellaneous Amendments) Regulations 2008[^f00052].

(2) In paragraph (1) “the notification date” is the date on which P is treated as having received from the scheme manager confirmation of the certificate provided or provision of an amended certificate following P’s request under regulation 147 (request to confirm details on certificate).

Transfer of pension account entries

149

(1) A member who has been provided with a certificate under paragraph (1), (2), (3) or (4) of regulation 146 (requirement for scheme manager to provide a certificate) must give the certificate to that member’s new scheme employer.

(2) The new scheme employer must request the scheme manager who gave the certificate to confirm that the member has provided certificates in respect of all pension accounts for which that employer was the scheme manager.

(3) After the confirmation has been provided by the scheme manager, the new scheme employer must transfer the appropriate entries from the certificate provided to the new active member’s pension account which has been established under regulation 31 (establishment of active member’s account) and where the member had an added pension account transfer the appropriate entries from the certificate provided in respect of that account to the new added pension account established under regulation 38 (establishment of added pension account).

(4) When the transfer of entries has been completed under paragraph (3), the new scheme manager must inform the former scheme manager that the transfer has taken place and the former scheme manager must close all pension accounts relating to the certificates provided in respect of that member.

(5) If the number of pension accounts in respect of which details have been provided by the former scheme manager under paragraph (1) or (2) of regulation 146 (requirement for scheme manager to provide a certificate) is greater than the number of active member’s accounts established by the new scheme manager, the member must decide, following consultation with the new scheme manager, from which pension account entries should be transferred to the new active member’s account or accounts and notify the former scheme manager of this.

(6) Where paragraph (5) applies and there are one or more pension accounts from which entries are not transferred, those accounts must be closed and the former scheme manager must establish a deferred member’s account in respect of each of those accounts.

(7) Where a member has taken up scheme employment with two or more employers and intends to make an added pension election, the member may choose to which scheme manager the certificate provided under paragraph (3) or (4) of regulation 146 (requirement for scheme manager to provide a certificate) is to be given.

(8) The scheme manager is not required to make any payment to the new scheme manager in connection with the transfer of a pension account.

PART 11 — Actuarial valuations

Appointment of scheme actuary and actuarial valuations

150

(1) The Secretary of State must appoint an individual to provide a consulting service on actuarial matters in relation to this scheme and any connected scheme.

(2) The scheme actuary is responsible for—

(a) carrying out valuations of this scheme and any connected scheme; and

(b) preparing reports on the valuations.

(3) Before appointing an individual as scheme actuary the Secretary of State must be satisfied that the individual is appropriately qualified to carry out valuations of this scheme and any connected scheme in accordance with Treasury directions made under section 11 of the 2013 Act (the “Treasury directions”).

(4) The scheme manager must provide the scheme actuary with any data that the scheme actuary requires in order to carry out a valuation and prepare a report on the valuation.

(5) A valuation of the scheme and any connected scheme and the preparation of a report on the valuation must be carried out in accordance with the Treasury directions.

(6) Valuations of the scheme must be carried out within a time-frame which enables requirements in the Treasury directions regarding dates which are applicable to the valuation to be met.

PART 12 — Appeals and determinations

CHAPTER 1 — Determinations and role of IQMP

Determinations by the scheme manager

151

The scheme manager must determine whether a person is entitled to an award or to retain an award.

Role of IQMP in determinations by the scheme manager

152

(1) In making a determination as to whether a person is entitled to an award, or to retain an award, where the determination as to entitlement depends in part on the ill-health or capacity of the person who would be so entitled, the scheme manager must obtain the written opinion of the IQMP on any issue which is wholly or partly of a medical nature.

(2) The scheme manager must request an IQMP to provide an opinion on the following issues for the purpose of determining any question arising under this scheme—

(a) whether a person is incapable of performing any duties of the role in which that person was last employed because of incapacity of mind or body;

(b) whether the incapacity in sub-paragraph (a) above is likely to continue until normal pension age or deferred pension age, as the case may be;

(c) whether a person has become capable of performing any duties of the role from which that person retired on grounds of ill-health;

(d) whether a person is or has become capable of undertaking regular employment; or

(e) any other issue wholly or partly of a medical nature.

(3) Subject to paragraph (6), the IQMP must certify under paragraph (2) that—

(a) the IQMP has not previously advised, or given an opinion on, or otherwise been involved in, the particular case for which the opinion has been requested; and

(b) the IQMP is not acting, and has not at any time acted, as the representative of the member, the scheme manager, or any other party in relation to the same case.

(4) An IQMP’s opinion under paragraph (2) is binding on the scheme manager unless it is superseded by the IQMP’s response under regulation 153(2) (review of medical opinion) or the outcome of an appeal under regulation 154 (appeals against determinations based on medical evidence).

(5) The IQMP’s response under regulation 153 (review of medical opinion) or the outcome of an appeal under regulation 154 (appeals against determinations based on medical evidence), as the case may be, is binding on the scheme manager.

(6) Where, in consequence of an opinion given under paragraph (2), a member has retired on the grounds of ill-health, the IQMP who gave the opinion may, if so requested by the scheme manager for the purposes of a review under regulation 68(1) (review of ill-health award or early payment of retirement pension), give a further opinion.

(7) If—

(a) a person wilfully or negligently fails to submit to medical examination by the IQMP selected by the scheme manager; and

(b) the IQMP is unable to give an opinion on the basis of the medical evidence available,

the scheme manager may make a determination on the issue on such other medical evidence as the scheme manager thinks fit, or without medical evidence.

(8) Within 14 days of making a determination under these Regulations, the scheme manager must—

(a) give written notice of it to the person concerned; and

(b) in the case of a determination on an issue wholly or partly of a medical nature, unless paragraph (7) applies, supply that person with a copy of the opinion obtained under paragraph (2).

Review of medical opinion

153

(1) Where—

(a) new evidence on an issue wholly or partly of a medical nature is presented to the scheme manager by a member (P) in respect of whom a determination has been made under these Regulations;

(b) the scheme manager receives that evidence—

(i) where a copy of an opinion was supplied in accordance with paragraph (8) of regulation 152 (role of IQMP in determinations by the scheme manager), within 28 days of the receipt by P of that copy, and

(ii) in any other case, within 28 days of the receipt by P of notice of the scheme manager’s determination; and

(c) the scheme manager and P agree that the IQMP should be given the opportunity of reviewing that opinion in the light of the new evidence,

the scheme manager must send a copy of the new evidence to the IQMP and invite the IQMP to reconsider that opinion.

(2) An IQMP’s response to an invitation under paragraph (1) must be in writing.

(3) An IQMP’s response under paragraph (2) is binding on the scheme manager unless it is superseded by the outcome of an appeal under regulation 154 (appeals against determinations based on medical evidence).

(4) As soon as reasonably practicable after receiving a response under paragraph (2), the scheme manager must reconsider its determination.

(5) Within 14 days of that reconsideration, the scheme manager must—

(a) give written notice to P that it has confirmed its determination or revised its determination (as the case may be);

(b) if it has revised its determination, supply P with written notice of the revised determination; and

CHAPTER 2 — Appeals to Board of Medical Referees

Appeals against determinations based on medical evidence

154

(1) A member (P) who wishes to appeal against a scheme manager’s determination on an issue of a medical nature may do so to a board of medical referees in accordance with the provisions of regulations 155 (notice of appeal) to 162 (notices etc).

(2) Subject to paragraph (3), where a determination—

(a) is made with regard to an opinion obtained under regulation 152(2) (role of IQMP in determinations by the scheme manager) or medical evidence relied on as mentioned in regulation 152(7); or

(b) is reconsidered under regulation 153(4) (review of medical opinion) with regard to a response under paragraph (2) of that regulation,

the scheme manager must, within 14 days of making, confirming or revising the determination (as the case may be), send to P the documents mentioned in paragraph (4).

(3) Nothing in paragraph (2) requires the supply of documents that have already been supplied under regulation 152(8) (role of IQMP in determinations by the scheme manager) or 153(5) (review of medical opinion).

(4) The documents are—

(a) a copy of the opinion, response or evidence (as the case may be);

(b) an explanation of the procedure for appeals under this regulation; and

(c) a statement that, if P wishes to appeal against the scheme manager’s determination on an issue of a medical nature, P must give written notice to the scheme manager, stating P’s name and address and the grounds of appeal, not later than 28 days after P receives the last of the documents required to be supplied under this paragraph, or within such longer period as the scheme manager may allow.

Notice of appeal

155

(1) Subject to paragraph (2), written notice of appeal against a determination on an issue of a medical nature stating—

(a) the appellant (P)’s name and address; and

(b) the grounds of the appeal,

must be given to the scheme manager within 28 days of the date on which P receives the documents referred to in regulation 154(4) (appeals against determinations based on medical evidence); and where P receives those documents on different dates, they are to be treated for this purpose as received on the later or latest of those dates.

(2) Where—

(a) notice of appeal is not given within the period specified in paragraph (1); but

(b) the scheme manager is of the opinion that P’s failure to give it within that period was not due to P’s own default,

the scheme manager may extend the period for giving notice for such length, not exceeding six months from the date mentioned in paragraph (1), as the scheme manager considers appropriate.

Reference of appeal to the board

156

(1) On receiving a notice of appeal, the scheme manager must supply the Secretary of State with three copies of—

(a) the notice of appeal;

(b) the notice of the relevant determination;

(d) every other document in its possession or under its control which appears to it to be relevant to the issue that is the subject of the appeal.

(2) The Secretary of State must refer an appeal to a board of medical referees (“the board”).

(3) The board is to consist of not less than three medical practitioners appointed by, or in accordance with arrangements made by, the Secretary of State.

(4) One member of the board must be a specialist in a medical condition relevant to the appeal.

(5) One member of the board must be appointed as chairman.

(6) Where there is an equality of votes among the members of the board, the chairman is to have a second or casting vote.

(7) As soon as reasonably practicable after referring an appeal to the board, the Secretary of State must supply the board’s administrator with three copies of every document supplied under paragraph (1).

(8) The board must arrange for one of their number to review those documents (‘the reviewing member’).

(9) As soon as reasonably practicable after concluding the review, the reviewing member must give written notice to the Secretary of State—

(a) of any other information which the reviewing member considers would be desirable so as to provide the board with sufficient information for the purpose of enabling the board to determine the appeal; and

(b) if it is the case, that it is the reviewing member’s opinion that the board may regard the appeal as frivolous, vexatious or manifestly ill-founded.

(10) On receipt of the reviewing member’s notice the Secretary of State must—

(a) where the reviewing member has notified the Secretary of State of the desirability of obtaining other information, require the scheme manager to use its best endeavours to obtain that information; and

(b) where the notice contains an opinion of the description mentioned in paragraph (9)(b), send a copy of it to the scheme manager.

(11) A scheme manager which receives a copy of a reviewing member’s opinion must, as soon as reasonably practicable—

(a) send a copy of it to P; and

(b) by written notice to P—

(i) advise P that, if P’s appeal is unsuccessful, P may be required to pay the scheme manager’s costs, and

(ii) require P to notify it within 14 days of the date of the notice, whether P intends to pursue or withdraw the appeal.

(12) A scheme manager which notifies P under paragraph (11)(b) must inform the Secretary of State of P’s response to its request under sub-paragraph (b)(ii); and the Secretary of State must notify the board accordingly.

Procedure where appeal to be pursued

157

(1) Where an appeal is to be pursued, the board must secure that the appellant (P) and the scheme manager (“the parties”) have been informed—

(a) that the appeal is to be determined by the board; and

(b) of an address to which communications relating to the appeal may be delivered to the board.

(2) Subject to paragraph (5), the board—

(a) must interview and medically examine P at least once; and

(b) may interview or medically examine P or cause P to be interviewed or medically examined on such further occasions as the board thinks necessary for the purpose of determining the appeal.

(3) The board must appoint, and give the parties not less than two months’ notice of, the time and place for every interview and medical examination; and if the board is satisfied that P is unable to travel, the place must be P’s place of residence.

(4) P must attend at the time and place appointed for any interview and medical examination by the board or any member of the board or any person appointed by the board for that purpose.

(5) If—

(a) P fails to comply with paragraph (4); and

(b) the board is not satisfied that there was a reasonable cause for the failure,

the board may dispense with the interview and medical examination, and may determine the appeal on such information as is then available.

(6) Any interview under this regulation may be attended by persons appointed for the purpose by the scheme manager or by P or by each of them.

(7) Where either party intends to submit written evidence or a written statement at an interview held under paragraph (2), the party must, subject to paragraph (8), submit the evidence or statement to the board and to the other party not less than 28 days before the date appointed for the interview.

(8) Where any written evidence or statement has been submitted under paragraph (7) less than 28 days before the date appointed for the interview, any written evidence or statement in response may be submitted by the other party to the board and the party submitting the first-mentioned evidence or statement at any time up to, and including, that date.

(9) Where any written evidence or statement is submitted in contravention of paragraph (7), the board may postpone the date appointed for the interview and require the party who submitted the evidence or statement to pay such reasonable costs of the board and of the other party as arise from the postponement.

The board’s report

158

(1) The board must supply the Secretary of State with—

(a) a written report of its decision on the relevant medical issues; and

(b) if the board is of the opinion that the appeal was frivolous, vexatious or manifestly ill-founded, a statement to that effect (which may form part of the report).

(2) The Secretary of State must supply the parties with a copy of the report and of any separate statement under paragraph (1)(b).

Reconsideration by the board

159

(1) Where the parties have received a copy of the report supplied under regulation 158 (the board’s report) and—

(a) the parties agree that the board has made an error of fact which materially affects the board’s decision;

(b) the scheme manager must within 28 days of receipt of the report, supply the Secretary of State with two copies of a statement agreed between the parties setting out—

(i) the error of fact,

(ii) the correct fact, and

invite the board to reconsider its decision.

(2) The Secretary of State must within 14 days of receipt of the statement supply a copy of it to the board.

(3) As soon as reasonably practicable after receiving the statement, the board must reconsider its decision.

(4) Within 14 days of that reconsideration the board must—

(a) give written notice to the Secretary of State that it has confirmed its decision, or revised its decision (as the case may be); and

(b) if it has revised its decision, supply the Secretary of State with a written report of its revised decision.

(5) The Secretary of State must supply to the appellant and the scheme manager a copy of the written notice confirming the board’s decision, or a copy of the written report of the board’s revised decision (as the case may be).

Fees and allowances payable to the board

160

(1) There must be paid to the board and the reviewing member—

(a) such fees and allowances (including those payable to the reviewing member for work undertaken on the review of documents under regulation 156(8) (reference of appeal to the board)) as are determined in accordance with arrangements made by the Secretary of State; or

(b) where no such arrangements have been made, such fees and allowances as the Secretary of State may from time to time determine.

(2) The fees and allowances payable under paragraph (1) must—

(a) be paid by the scheme manager; and

(b) be treated for the purposes of regulation 161 (expenses of each party) as part of the scheme manager’s expenses.

Expenses of each party

161

(1) Subject to regulation 157(9) (procedure where appeal to be pursued) and paragraphs (2) to (5) below, the expenses of each party to the appeal must be borne by that party.

(2) Where the board—

(a) determines an appeal in favour of the scheme manager; and

(b) states that, in its opinion, the appeal was frivolous, vexatious or manifestly ill-founded,

the scheme manager may require the appellant (P) to pay it such sum, not exceeding the total amount of the fees and allowances payable to the board under regulation 160(1)(fees and allowances payable to the board), as the scheme manager considers appropriate.

(3) Where—

(a) P gives notice to the board—

(i) withdrawing the appeal,

(ii) requesting cancellation of, postponement of, or adjournment of the date appointed for an interview or medical examination under regulation 157(3) (procedure where appeal to be pursued), and

the notice is given less than 22 working days before the date appointed under regulation 157(3); or

(b) P’s acts or omissions cause the board to cancel, postpone or otherwise adjourn the date appointed under regulation 157(3) less than 22 working days before the date appointed,

the scheme manager may require P to pay it such sum, not exceeding the total amount of the fees and allowances payable to the board under regulation 160(1) (fees and allowances payable to the board), as the scheme manager considers appropriate.

(4) Where the board—

(a) determines an appeal in favour of P; and

(b) does not otherwise direct,

the scheme manager must refund to P the amount specified in paragraph (5).

(5) The amount is the total of—

(a) any personal expenses actually and reasonably incurred by P in respect of any interview under regulation 157(2) (procedure where appeal to be pursued); and

(b) if any such interview was attended by a qualified medical practitioner appointed by P, any fees and expenses reasonably paid by P in respect of such attendance.

(6) For the purposes of paragraphs (2) and (4) any question arising as to whether the board’s determination is in favour of the scheme manager or of P is to be decided by the board or, in default, by the Secretary of State.

Notices etc

162

Any notice, information or document which an appellant (P) is entitled to receive for any purpose of regulations 154 (appeals against determinations based on medical evidence) to 161 (expenses of each party) is, unless the contrary is proved, to be treated as having been received by P if it was posted in a letter addressed to P at P’s last known place of residence.

CHAPTER 3 — Appeals on other issues

Appeals on other issues

163

Where—

(a) a member (P) disagrees with a scheme manager’s determination under regulation 151 (determinations by the scheme manager); and

(b) the disagreement does not involve an issue of a medical nature,

PART 13 — Supplementary

CHAPTER 1 — Payment of pensions

Late payment of retirement index adjustment

164

Nothing in these Regulations requires any part of a pension attributable to a retirement index adjustment to be paid before the end of the last active scheme year.

Recovery of overpayment of benefits

165

(1) This regulation applies in respect of a financial year for which a percentage decrease in earnings is specified in an order made under section 9 of the 2013 Act[^f00055].

(2) The scheme manager must recover any overpayment of benefits that has occurred as a result of the application of the retirement index adjustment for that year.

(3) When this regulation applies the scheme manager must notify the member in writing that the amount of the overpayment is to be recovered by reducing the amount of each instalment of pension until the amount of the overpayment is recovered or by omitting to pay any increase in the amount of any pension due until the amount of the overpayment is recovered.

Guaranteed minimum pension

166

(1) If a member has a guaranteed minimum in relation to benefits under this scheme—

(a) nothing in these Regulations permits or requires anything that would cause requirements made by or under the PSA 1993 in relation to such a member and such a member’s rights under this scheme not to be met in the case of the member;

(b) nothing in these Regulations prevents anything from being done which is necessary or expedient for the purposes of meeting such requirements in the case of the member; and

(2) If apart from this regulation—

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

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

a pension at a weekly rate equal to the guaranteed minimum is payable to the member for life from the date on which the member reaches GMP age or, as the case may be, pensions the aggregate weekly rate of which is equal to the guaranteed minimum are so payable.

(3) Subject to paragraph (4), if—

(a) on reaching GMP age the member is still in employment (whether or not it is scheme employment); and

(b) if it is not scheme employment, the member consents to a postponement of the member’s entitlement under paragraph (2),

paragraph (2) does not apply until the member leaves employment.

(4) If the member continues in employment for a further five years after reaching GMP age and does not then leave employment, the member is entitled from the end of that period to so much of the member’s pension under Part 5 (retirement benefits) and Part 7 (benefits for pension credit members) as equals the member’s guaranteed minimum (or, as the case may be, to so much of the member’s pensions under Part 5 and Part 7 as together have a weekly rate equal to the member’s guaranteed minimum), unless the member consents to a further postponement of the entitlement.

(5) In the circumstances provided for in paragraph (3) or (4), the amount of the guaranteed minimum to which the member is entitled under this regulation is increased in accordance with section 15 (increase of guaranteed minimum where commencement of guaranteed minimum pension postponed) of PSA 1993.

(6) If—

(a) before reaching the age of 65 the member becomes entitled to the immediate payment of a pension; and

(b) the member has a guaranteed minimum in relation to the whole or part of a pension as a result of receipt by this scheme of a transfer payment from another pension scheme in respect of which the member had such a guaranteed minimum,

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

(7) This paragraph applies if a person has ceased to be in employment that is contracted-out employment, within the meaning of Part 3 of PSA 1993 (certification of pension schemes and effects on members’ state scheme rights and duties), by reference to this scheme and either—

(a) a transfer payment in respect of all the person’s rights to benefits under this scheme, except the person’s rights in respect of the person’s guaranteed minimum or rights under section 9(2B)(requirements for certification of schemes; general) of PSA 1993[^f00056] (“the person’s contracting-out rights”) has been made; or

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

(8) If paragraph (7) applies—

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

(b) from the date on which the person reaches normal pension age under this scheme the person is entitled to a lump sum and pension in respect of that person’s rights under section 9(2B) of PSA 1993,

but a person falling with paragraph (7) is not to be regarded as a pensioner member for the purposes of Part 6 (death benefits).

(9) Paragraphs (2) to (8) do not apply to a pension—

(a) that is forfeited—

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

(ii) in a case where the relevant offence under regulation 171 (forfeiture: offences committed by members, surviving partners or eligible children) falls under paragraph (b) of the definition in that regulation of “relevant offence” (Official Secrets Acts offences);

(b) where that pension is commuted under regulation 167 (commutation of small pensions) and where the conditions in regulation 60 of the Occupational Pension Schemes(Contracting-out) Regulations 1996[^f00057] are met,

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

(10) In this regulation, references to the amount of a pension are to its amount after the subtraction of the commutation amount, if any (but before the subtraction of the allocation amount, if any).

Commutation of small pensions

167

(1) This regulation applies if the pension entitlement of a member of the scheme or the pension entitlement of a member’s beneficiary does not exceed the small pensions commutation maximum.

(2) Unless the member has reached deferred pension age, this regulation does not apply if the pension entitlement of the member or the member’s beneficiary is equal to or exceeds the member’s guaranteed minimum.

(3) The scheme manager may pay the member, surviving partner or eligible child a lump sum of an amount as represents the cash value of the pension calculated in accordance with actuarial guidance if—

(a) the person consents to receipt of a lump sum in respect of the pension; and

(b) the requirements of the commutation provisions that apply in the circumstances are met.

(4) The payment of a lump sum under this regulation in place of a pension discharges all liabilities under this scheme in respect of that pension.

(5) In this regulation—

“the commutation provisions” means the provisions permitting the commutation of pensions set out in—regulation 2 of the Occupational Pension Schemes (Assignment, Forfeiture, Bankruptcy etc.) Regulations 1997[^f00058],paragraph 7 of Schedule 29 (authorised lump sums-supplementary) to FA 2004 (which defines trivial commutation lump sums for the purposes of Part 4 of that Act)[^f00059] and, in relation to a pension payable under Part 6 (death benefits), paragraph 20 of that Schedule (which defines trivial commutation lump sum death benefit for the purposes of Part 4 of that Act)[^f00060], andregulation 3 of the Pension Sharing (Pension Credit Benefit) Regulations 2000[^f00061]; and

“the small pensions commutation maximum” means the amount that is permitted to be commuted, having regard to the commutation provisions that apply in the circumstances.

Payments for persons incapable of managing their affairs

168

If it appears to the scheme manager that a person other than an eligible child is entitled to payment of benefits under this scheme but is, by reason of mental incapacity or otherwise, incapable of managing his or her affairs—

(a) the scheme manager may pay the benefits or any part of them to a person having the care of the person entitled, or such other person as the scheme manager may determine, to be applied for the benefit of the person entitled; and

(b) in so far as the scheme manager does not pay the benefits in that manner, the scheme manager may apply them in such manner as the scheme manager may determine, for the benefit of the person entitled, or any beneficiaries of the person entitled.

Payments due in respect of deceased persons

169

(1) Paragraph (2) applies if, when a person dies, the total amount due to that person’s personal representatives under this scheme (including anything due at that person’s death) does not exceed the amount specified in any order for the time being in force under section 6 of the Administration of Estates (Small Payments) Act 1965[^f00062] and applying in relation to that person’s death.

(2) A scheme manager may pay the whole or part of the amount due to—

(a) a person’s personal representatives; or

(b) any person or persons appearing to the scheme manager to be beneficially entitled to the estate,

without the production of probate or letters of administration of the person’s estate.

Limitation on assignment of benefits

170

An assignment of an award under these Regulations is void to the extent that it is in favour of a person other than a dependant of the person entitled to the award.

CHAPTER 2 — Forfeiture

Forfeiture: offences committed by members, surviving partners or eligible children

171

(1) If a member, surviving partner or eligible child is convicted of a relevant offence, the scheme manager may, to such extent and for such duration as it considers appropriate, withhold pensions payable under this scheme to—

(a) the member;

(b) any person in respect of the member;

(d) an eligible child.

(2) Where a surviving partner’s or an eligible child’s pension under Part 6 (death benefits) is to be withheld under paragraph (1) as a result of a relevant offence falling under paragraph (a) or (b) of the definition of that expression in paragraph (5), the offence must have been committed after the death on which the person became entitled to the surviving partner or eligible child’s pension, as the case may be.

(3) The scheme manager may only withhold that part of a person’s pension that exceeds any guaranteed minimum to which the person is entitled under—

(a) section 14 of PSA 1993 (earner’s guaranteed minimum); or

(b) section 17 (minimum pensions for widows and widowers)[^f00063] of that Act.

(4) The scheme manager may, at any time and to such extent and for such duration as it thinks fit—

(a) apply for the benefit of any dependant of the member; or

(b) restore to the member,

so much of any pension as has been withheld under this regulation.

(5) In this regulation—

“forfeiture certificate” means a certificate stating that the Secretary of State issuing the certificate considers that the offence—has been gravely injurious to the interests of the State, oris liable to lead to serious loss of confidence in the public service;

“relevant offence” means—offences of treason,offences under the Official Secrets Acts 1911 to 1989[^f00064] for which the member has been sentenced on the same occasion—to a term of imprisonment of at least 10 years,to two or more consecutive terms amounting in the aggregate to at least 10 years, oroffences—committed in connection with the member’s scheme employment; andin respect of which the Secretary of State has issued a forfeiture certificate.

Forfeiture of pensions: offences committed by other persons

172

(1) If a person (“P”) is convicted of the murder of a member, the scheme manager must withhold all of any surviving partner or eligible child’s pension otherwise payable to P in respect of the member under Part 6 (death benefits).

(2) If P is convicted of a relevant offence, the scheme manager may, to such extent as it considers appropriate, withhold any surviving partner or eligible child’s pension payable to P in respect of a member under Part 6 (death benefits).

(3) If paragraph (1) applies, Part 6 (death benefits) applies as if P had died before the member.

(4) Under paragraph (2), the scheme manager may only withhold such part of P’s pension as exceeds any guaranteed minimum to which P is entitled under section 17 of PSA 1993[^f00065].

(5) If P is convicted of the murder of a member and the conviction is subsequently quashed on appeal, any surviving partner or eligible child’s pension withheld is to be payable from the day after that on which the member died, and the scheme manager must, as soon as reasonably practicable after the conviction is quashed, pay the arrears of the pension accrued.

(6) If P is convicted of a relevant offence and the conviction is subsequently quashed on appeal any decision under paragraph (2) is to be treated as revoked and the scheme manager must, as soon as reasonably practicable after the conviction is quashed, pay the arrears of the pension accrued from the day after that on which the member died.

(7) Nothing in paragraphs (5) or (6) is to affect the application of paragraphs (1) or (2) if the person whose conviction is quashed is subsequently convicted of the murder of the member or of a relevant offence.

(8) In this regulation, relevant offence means—

(a) the manslaughter of the member; or

(b) any other offence, apart from murder, of which the unlawful killing of the member is an element.

Forfeiture of lump sum death benefit: offences committed by other persons

173

(1) If a person is convicted of a relevant offence, the scheme manager must withhold all of any lump sum death benefit payable to that person in respect of a member under Chapter 4 of Part 6 (death benefits).

(2) In this regulation, relevant offence means—

(a) the murder of the member;

(b) the manslaughter of the member; or

(3) If paragraph (1) applies and the scheme manager withholds all benefits, Part 6 (death benefits) applies as if that person had died before the member.

(4) If a person is convicted of a relevant offence and the conviction is subsequently quashed on appeal the scheme manager may, to such extent and for such duration as it thinks fit, restore to that person so much of any benefit as has been withheld under this regulation.

(5) Nothing in paragraph (4) is to affect the application of paragraph (1) if the person whose conviction is quashed is subsequently convicted of a relevant offence.

Forfeiture: relevant monetary obligations and relevant monetary losses

174

(1) If a member (P) has a relevant monetary obligation or has caused a relevant monetary loss the scheme manager may, to such extent and for such duration as it considers appropriate, withhold benefits payable to P under this scheme.

(2) The scheme manager may withhold benefits to the extent the scheme manager considers appropriate but may only withhold that part of P’s pension as exceeds any guaranteed minimum to which P is entitled under section 14 of PSA 1993.

(3) The scheme manager may not withhold more than the lesser of—

(a) the amount of the relevant monetary obligation or relevant monetary loss; and

(b) the value of P’s entitlement to benefits.

(4) The scheme manager may only withhold benefits if—

(a) there is no dispute as to the amount of the relevant monetary obligation or relevant monetary loss; or

(b) the relevant monetary obligation or relevant monetary loss is enforceable as follows—

(i) under an order of a competent court, or

(ii) in consequence of an award of an arbitrator.

(5) In this regulation—

“relevant monetary obligation” means a monetary obligation which—was incurred to P’s employer,was incurred after P became an active member of this scheme,arose out of P’s criminal, negligent or fraudulent act or omission, andarose out of or was connected with the scheme employment in respect of which P is a member of this scheme; and

“relevant monetary loss” means a monetary loss which—was caused to this scheme, andarose as a result of P’s criminal, negligent or fraudulent act or omission.

Set-off

175

(1) The scheme manager may set off a relevant monetary obligation against a member’s entitlement to benefits under this scheme.

(2) In this regulation, a “relevant monetary obligation” is a monetary obligation owed by a member (P), which satisfies the conditions in paragraphs (3), (4) or (5).

(3) The conditions in this paragraph are that the monetary obligation—

(a) was incurred to P’s employer;

(b) was incurred after P became an active member of this scheme;

(c) arose out of or was connected with service in the scheme employment in respect of which P is a member of this scheme; and

(d) arose out of P’s criminal, negligent or fraudulent act or omission.

(4) The conditions in this paragraph are that the monetary obligation—

(a) was incurred to this scheme; and

(b) arose out of P’s criminal, negligent or fraudulent act or omission.

(5) The conditions in this paragraph are that the monetary obligation—

(a) was incurred to this scheme; and

(b) arose out of a payment made to P in error by the scheme manager.

(6) Paragraph (7) applies if a set-off is to be applied as result of P owing a relevant monetary obligation which satisfies the conditions in paragraph (3).

(7) Where this paragraph applies, the scheme manager may not apply a set-off against that part of P’s entitlement to benefits that represents transfer credits within the meaning of section 124(1) (interpretation of Part 1) of the Pensions Act 1995[^f00066] other than prescribed transfer credits for the purposes of section 91(5)(d) (exceptions from the inalienability of occupational pensions) of the Pensions Act 1995[^f00067].

(8) The scheme manager may only apply a set-off against that part of a member’s pension that exceeds any guaranteed minimum to which that member is entitled under section 14 of PSA 1993.

(9) The value of the set-off applied must not exceed the lesser of—

(a) the amount of the relevant monetary obligation; and

(b) the value of P’s entitlement to benefits.

(10) The scheme manager may only set off a relevant monetary obligation against P’s entitlement to benefits if—

(a) there is no dispute as to the amount of the relevant monetary obligation; or

(b) the relevant monetary obligation is enforceable—

(i) under an order of a competent court, or

(ii) in consequence of an award of an arbitrator.

Forfeiture and set-off: procedure

176

(1) If the scheme manager proposes to withhold benefits or apply a set-off against a person’s entitlement to benefits, the scheme manager must notify the person of the proposal in writing.

(2) If the scheme manager withholds benefits under regulation 174 (forfeiture: relevant monetary obligations and relevant monetary losses) or applies a set-off against an entitlement to benefits under regulation 175 (set-off), the scheme manager must give the member a certificate showing—

(a) the amount withheld or set off; and

(b) the effect of the withholding or set-off on the member, surviving partner or eligible child’s benefits under this scheme.

CHAPTER 3 — Payment and deduction of tax

Scheme administrator for the purposes of the Finance Act 2004

177

The scheme manager is appointed to be responsible for all liabilities and responsibilities connected with the functions conferred or imposed on the scheme administrator by or under Part 4 of FA 2004 which the scheme manager assumes as sub-scheme administrator under regulation 3 of, and Schedule 3 to, the Registered Pension Schemes (Splitting of Schemes) Regulations 2006[^f00068].

Payment on behalf of members of lifetime allowance charge

178

(1) A member may request the scheme administrator to pay on the member’s behalf any amount that is payable by way of the lifetime allowance charge under section 214 of FA 2004

when—

(a) an event that is a benefit crystallisation event listed in the table in section 216(1) of FA 2004 occurs in relation to the member; and

(b) the member and the scheme manager are jointly and severally liable in relation to that event.

(2) Such a request may only be made by notice to the scheme administrator given before the event occurs.

(3) The scheme manager may only comply with such a request if—

(a) the member pays it the amount in question on or before the date on which the event occurs; or

(b) the member authorises the deduction of the amount in question from a lump sum becoming payable to the member under this scheme at the same time as the event occurs.

Reduction of benefits where lifetime allowance charge payable

179

(1) This regulation applies if—

(a) an event that is a benefit crystallisation event listed in the table in section 216(1) of FA 2004 (“the table”) occurs in relation to a member;

(b) the member and the scheme manager are jointly and severally liable in relation to that event; and

(c) no request has been duly made under regulation 178 (payment on behalf of members of lifetime allowance charge) in relation to the event or, if such a request has been made, the scheme manager is prevented from complying with it by paragraph (3) of that regulation.

(2) If this regulation applies—

(a) the scheme manager must pay the tax payable on the event;

(b) if the event is benefit crystallisation event 8 in the table (transfer to qualifying recognised overseas pension scheme), the amount or value of the sums or assets transferred must be reduced; and

(c) in the case of any other event in that table, the amount or value of the benefits payable to or in respect of the member must be reduced.

(3) The amount or value of the reduction—

(a) must be such that it fully reflects the amount of tax so paid; and

(b) in the case of any reduction to pension benefits, must be calculated according to actuarial guidance.

Information about payment of annual allowance charge

180

(1) If a member’s pension scheme input amount for this scheme for a pension input period exceeds the amount of the annual allowance for the tax year in which the pension input period ends, paragraph (2) applies in respect of the member for that tax year.

(2) The scheme manager must, no later than 6th October after the end of the tax year, provide the member with such information as the scheme manager considers appropriate to assist the member to arrange payment of the annual allowance charge for that tax year and with the information required by regulation 14A of the Registered Pension Scheme (Provision of Information) Regulations 2006[^f00069].

(3) In this regulation—

“pension scheme input amount” has the meaning given in section 237B(2) (Liability of scheme administrator) of FA 2004[^f00070];

“pension input period” has the meaning given in section 238 of FA 2004.

Reduction of benefits where annual allowance charge paid by scheme manager

181

(1) This regulation applies where—

(a) a member gives valid notice to the scheme manager of joint and several liability for an annual allowance charge under section 237B(3) of FA 2004; and

(b) the scheme manager satisfies the liability specified in the notice.

(2) The amount or value of the benefits payable to or in respect of the member for the tax year to which the notice relates must be reduced by the scheme manager in accordance with paragraph (3).

(3) Subject to paragraph (4), the amount or value of the reduction of benefits—

(a) must be such that it fully reflects the amount paid by the scheme manager; and

(b) must be determined in accordance with actuarial guidance.

(4) Benefits may only be reduced under this regulation to the extent that the reduction would not result in the loss of any part of a guaranteed minimum pension to which a person is entitled.

CHAPTER 4 — General

Calculation of periods of membership and service

182

(1) Subject to paragraph (3), for the purposes of this scheme, periods of membership and service must be expressed in the first instance in whole years, and days or fractions of a day, and the initial aggregation of periods that require to be aggregated is done by reference to periods so expressed.

(2) Subject to paragraph (3), if, when all periods of membership or service that require to be aggregated have been aggregated, there is any excess part day over the number of whole days, that excess must be rounded up to a full day.

(3) If membership or service is referred to in these Regulations as membership or service in years—

(a) the days referred to in paragraph (1); and

(b) the full days referred to in paragraph (2),

must be converted into years by dividing the number of days in excess of the period of whole years by 365, and using the result to four decimal places.

(4) If a period of membership or service is less than one year, this regulation applies as if the words “whole years, and” were omitted from paragraph (1) and the words “in excess of the period of whole years” were omitted from paragraph (3).

Annual benefit information statements

183

(1) The scheme manager must provide an annual benefit information statement to each of its members who are not pensioner members in respect of the pension account for which the statement is to be provided.

(2) The first such statements must be provided on or before 31st August 2016.

(3) Subject to paragraph (4), subsequent statements must be provided at least once per year on or before 31st August of each year that follows.

(4) If a member requests in writing that a statement is provided to them after the end of a scheme year but before 31st August of the following scheme year, the scheme manager must provide an annual benefit information statement as soon as reasonably practicable in accordance with the member’s request, unless the relevant data to enable it to do so is not available.

(5) The statement provided to active members of this scheme must be in accordance with section 14 of the 2013 Act (information about benefits).

Evidence of entitlement

184

(1) A scheme manager may by written notice require any person who is in receipt of a pension or may have an entitlement to a pension or a lump sum under this scheme to provide it with such supporting evidence as it may reasonably require to establish—

(a) the identity of that person; and

(b) that person’s continuing or future entitlement to the payment of any amount under this scheme.

(2) A notice under paragraph (1) must specify the date by which the supporting evidence is to be provided.

(3) Where a person fails to comply with the requirements of a notice given in accordance with paragraph (1), the scheme manager may withhold the whole or part of any amount that it otherwise considers to be payable under this scheme.

Information to be provided to a member before reserve forces service leave

185

The scheme manager must give a member who is about to start on a period of reserve forces service leave a statement stating—

(a) the assumed pensionable pay for that member whilst on reserve forces service leave;

(b) the member contribution rate to apply during that period;

(d) the employer contribution which applies during that period.

Transitional provisions

186

Schedule 2 has effect.

Duty to have regard to guidance

187

A scheme manager must have regard to any guidance issued by the Secretary of State for the purposes of this Part.

SCHEDULE 1 — Payments for added pension

PART 1 — Interpretation

Interpretation

1

In this Schedule—

“amount of extra pension” means the amount of accrued added pension at any time;

“appropriate pay period” means the pay period that the scheme manager considers appropriate;

“notice of election” has the meaning given in paragraph 5;

“overall limit of extra pension” has the meaning given in paragraph 2;

“periodical payment period” means the period for which periodical payments for added pension payments are payable;

“period of service” in relation to this scheme, means a continuous period of pensionable service under this scheme;

“the relevant day” means the day on which the lump sum is received by the scheme manager;

“the relevant scheme year” means the scheme year in which the relevant day falls.

Meaning of “overall limit of extra pension”

2

(1) The overall limit of extra pension is—

(a) £6,500 for any scheme year ending before 1st April 2016; and

(b) for any scheme year beginning on or after 1st April 2016—

(i) the overall limit of extra pension determined by the Treasury in respect of that scheme year as published before the start of that scheme year, or

(ii) if no such determination is made, the amount calculated under sub-paragraph (2).

(2) The amount is the amount to which the annual rate of a pension of an amount equal to the overall limit of extra pension for the previous scheme year would have been increased under the PIA 1971 if—

(a) that pension were eligible to be so increased; and

(b) the beginning date for that pension were the first day of the previous scheme year.

Limit on elections

3

An added pension election may not be exercised by an active member if the amount of extra pension would exceed the overall limit of extra pension if that election were made.

Amount of accrued added pension may not exceed overall limit of extra pension

4

(1) At any given time, the total amount of accrued added pension in a member’s added pension account may not exceed the overall limit of extra pension.

(2) If a member has elected to make periodical payments for added pension, the scheme manager may by written notice to the member cancel the election if it appears to the scheme manager that the overall limit of extra pension will be exceeded if the member continues to make the periodical payments.

(3) If the scheme manager cancels the election, the periodical payments cease to be payable from the next pay period beginning after the date specified in the notice of cancellation.

PART 2

CHAPTER 1 — Exercising the added pension election

Added pension election exercisable by member

5

(1) An active member of this scheme may elect to make added pension payments to this scheme to increase the member’s retirement benefits and death benefits.

(2) A member may make the added pension election by notice to the scheme manager in such form as the scheme manager may require.

(3) The notice given in sub-paragraph (2) is referred to in this Schedule as the notice of election.

(4) The notice of election must state—

(a) whether added pension payments are to be made by—

(i) periodical payments, or

(ii) a lump sum payment;

(b) whether the member has an added pension account with another employer; and

(5) An election to pay added pension payments by a lump sum payment may only be made if the member gives notice to the scheme manager not later than 12 months after the date on which the person last became employed by that scheme employer as a firefighter.

(6) An election to pay added pension payments by periodical payments may only be made at least two years before the member’s normal pension age and cannot be made once the scheme manager has agreed that the member will leave the scheme with entitlement to a pension or an ill-health award.

CHAPTER 2 — Periodical payments for added pension

Application of Chapter

6

This Chapter applies in relation to an active member of this scheme who elects to make periodical payments for added pension.

Member’s election to make periodical payments for added pension

7

(1) The notice of election must specify—

(a) the periodical payment period; and

(b) the amount of the periodical payment to be deducted by the member’s employer from the member’s pensionable pay in each pay period.

(2) The amount of the periodical payment may be expressed as—

(a) a percentage of the member’s pensionable pay; or

(b) a fixed sum.

(3) The amount of the periodical payment must not be less than any minimum amount determined by the scheme manager.

Periodical payments

8

(1) The periodical payments may be payable by deduction by the member’s employer from the member’s pensionable pay during the periodical payment period.

(2) The periodical payment period—

(a) begins with the first appropriate pay period beginning on or after the date on which the scheme manager receives the notice of election; and

(b) ends on the earliest of—

(i) the date of the next appropriate pay period if the member gives the notice of discontinuance under paragraph 9,

(ii) date of the next pay period after the date specified in a notice of cancellation given by the scheme manager under paragraph 4(2),

(iii) the date on which the member ceases to be an active member, and

(iv) the date specified in the notice of election.

(3) If the member does not want to pay the periodical payments by deduction from pensionable pay, the scheme manager may agree another method of payment.

Discontinuance of periodical payments

9

If a member wishes to discontinue the payment of periodical payments, the member must give written notice to the scheme manager.

Periodical payments during periods of assumed pensionable pay

10

(1) The periodical payments are payable by deduction from the member’s pensionable pay during the periodical payments period and whilst the member is treated as receiving assumed pensionable pay, reduced pay or no pay, the member may—

(a) stop the periodical payments; or

(b) continue the periodical payments as if the member were receiving pensionable pay at the full rate.

(2) During any period in which the member is receiving statutory maternity pay or is on paid ordinary maternity leave, paid ordinary adoption leave or paid paternity leave, the member may—

(a) stop the periodical payments; or

(b) pay the periodical payments of an amount determined by reference to the member’s actual pay during that period.

(3) If a member stops the periodical payments during a period of assumed pensionable pay or a period of reduced pay, the member may choose to resume the periodical payments in the next pay period after the period of assumed pensionable pay or period of reduced pay ends.

(4) After a period of assumed pensionable pay or a period of reduced pay, the member may give written notice to the scheme manager authorising the employer to deduct the aggregate of payments which would have been made during this period from the member’s pay during a period of six months from the end of the period of reduced pay or such longer period as the scheme manager may allow.

(5) Notice under sub-paragraph (4) must be given to the scheme manager not later than one month after the end of the period of assumed pensionable pay or reduced pay.

Amount of added pension for a scheme year

11

(1) This paragraph applies for each scheme year during which a member makes periodical payments to increase both the member’s retirement benefits and death benefits.

(2) An amount of added pension must be credited to the member’s added pension account for that scheme year.

(3) The amount credited to the added pension account is an amount determined by the scheme manager by reference to actuarial guidance.

CHAPTER 3 — Lump sum payments for added pension

Application of Chapter

12

This Chapter applies in relation to an active member of this scheme who has elected to make a lump sum payment for added pension.

Member’s election to make a lump sum payment for added pension

13

(1) The notice of election must specify the amount of lump sum which must not be less than any minimum amount determined by the scheme manager.

(2) If the lump sum is not paid within three months after the date on which the notice of election was given, then the notice of election is void.

Amount of added pension to be credited to added pension account

14

(1) This paragraph applies if a member elects to pay a lump sum to increase the member’s retirement benefits and death benefits.

(2) Following payment of the lump sum by the member an amount of added pension must be credited to the added pension account for the relevant scheme year.

(3) The amount credited to the added pension account is an amount determined by the scheme manager by reference to actuarial guidance.

SCHEDULE 2 — Transitional provisions

PART 1 — General

Interpretation

1

In this Schedule—

“active member of an existing scheme” has the meaning given in paragraph 6;

“active member of an existing public body pension scheme” has the meaning given in paragraph 7;

“active member of the 1992 Scheme or the NFPS” has the meaning given in paragraph 5;

“closing date”—in relation to an existing scheme, means the date referred to in section 18(4)(a) or (b) of the 2013 Act, as the case may be,in relation to an existing public body pension scheme, means the date determined under section 31(2) of the 2013 Act by the public authority responsible for that scheme, andin relation to a transition member, means—if the member is a tapered protection member of the 1992 Scheme or the NFPS, the tapered protection closing date for that member, orif the member is not a protected member of one of those schemes, the scheme closing date;

“eligible to be an active member of the NFPS” has the meaning given in paragraph 4;

“exception” means—in relation to an existing scheme, an exception under section 18(5) of the 2013 Act provided for in the scheme regulations for that scheme,in relation to an existing public body pension scheme, an exception under section 31(4) of the 2013 Act provided for by the public authority responsible for that scheme;

“existing public body pension scheme” means a public body pension scheme to which section 31 of the 2013 Act applies;

“full protection member”, in relation to the 1992 Scheme or the NFPS, has the meaning given in paragraph 9;

“fully protected member” of an existing scheme or an existing public body pension scheme means a person in respect of whom an exception applies, which exception is one to which section 18(6) of the 2013 Act (or that section as applied by section 31(4)) applies for the purposes of that scheme;

“protected member”, in relation to an existing scheme or an existing public body pension scheme, means a full protection member or tapered protection member of one of those schemes;

“protection period”—for a full protection member of the 1992 Scheme or the NFPS, has the meaning given in paragraph 10, andfor a tapered protection member of the 1992 Scheme or the NFPS, has the meaning given in paragraph 16;

“scheme closing date” means 31st March 2015;

“tapered protection closing date”, in relation to a tapered protection member of an existing scheme, has the meaning given in paragraph 3;

“tapered protection member”, in relation to the 1992 Scheme or the NFPS, has the meaning given in paragraph 15;

“transition date”, in relation to a transition member, means—if the member is a tapered protection member of the 1992 Scheme or the NFPS, the day after the tapered protection closing date for that member, andif the member is not a protected member of the 1992 Scheme or the NFPS, the day after the scheme closing date, or, if later, the day the person ceased to be a protected member of that scheme;

“transition member” means a person—who is a member of the 1992 Scheme or the NFPS by virtue of his or her pensionable service under that scheme, or who is eligible to be an active member of the NFPS, before the transition date, andwho is a member of this scheme by virtue of the person’s pensionable service under this scheme.

Meaning of “continuity of service”

2

(1) A transition member (T) has continuity of service between pensionable service in the 1992 Scheme or the NFPS, as the case may be, and pensionable service in this scheme unless T has a gap in service exceeding five years which—

(a) begins on or before T’s transition date; and

(b) ends on the day on which T becomes an active member of this scheme.

(2) For the purposes of sub-paragraph (1), after the scheme closing date T is not on a gap in service while T is in service which is pensionable under an existing scheme, an existing public body pension scheme, a scheme under section 1 of the 2013 Act or a new public body pension scheme.

Meaning of “tapered protection closing date”

3

(1) The tapered protection closing date for a tapered protection member of the 1992 Scheme is the date found by applying the relevant date in column 3 of the 1992 Scheme table in Part 4 of this Schedule to the birthday referred to in column 1 and column 2.

(2) Subject to sub-paragraphs (3) and (4), the tapered protection closing date for a tapered protection member of the NFPS is the date found by applying the relevant date in column 3 of the NFPS table in Part 4 of this Schedule to the birthday referred to in column 1 and column 2.

(3) The tapered protection closing date for a tapered protection member of the NFPS to whom paragraph 9(5) or 21 applies is a date determined by the scheme manager.

(4) In the case of a tapered protection member of the NFPS who is a special member of the NFPS, the tapered protection closing date is the date found by applying the relevant date in column 3 of the 1992 Scheme table in Part 4 of this Schedule to the birthday referred to in column 1 and column 2.

Meaning of “eligible to be an active member” of the NFPS

4

(1) For the purpose of this Schedule, a person (P) is eligible to be an active member of the NFPS on a given date if on that date P is not in pensionable service under the 1992 Scheme or the NFPS and either—

(a) P is in service as a firefighter which entitles P to be eligible to be an active member of the NFPS; or

(b) P is on a gap in pensionable service not exceeding five years.

(2) For the purpose of sub-paragraph (1)(b), after the scheme closing date P is not on a gap in service while P is in pensionable public service.

Meaning of “active member of the 1992 Scheme or the NFPS”

5

(1) For the purpose of this Schedule, a person (P) is an active member of the 1992 Scheme or the NFPS on a given date if on that date—

(a) P is in pensionable service under the 1992 Scheme or the NFPS; or

(b) P is on a gap in service not exceeding five years.

(2) For the purpose of sub-paragraph (1)(b), after the scheme closing date P is not on a gap in service while P is in pensionable public service.

Meaning of “active member of an existing scheme”

6

(1) For the purpose of this Schedule, a person (P) is an active member of an existing scheme[^f00071] (other than the 1992 Scheme or the NFPS) on a given date if on that date—

(a) P is in pensionable service under that scheme; or

(b) P is on a gap in service not exceeding five years.

(2) For the purpose of sub-paragraph (1)(b), after the closing date for the existing scheme P is not on a gap in service while P is in pensionable public service.

Meaning of “active member of an existing public body pension scheme”

7

(1) For the purpose of this Schedule, a person (P) is an active member of an existing public body pension scheme on a given date if on that date—

(a) P is in pensionable service under that scheme; or

(b) P is on a gap in service not exceeding five years.

(2) For the purpose of sub-paragraph (1)(b), after the closing date for the existing public body pension scheme, P is not on a gap in service while P is in pensionable public service.

Commencement of active membership of this scheme

8

(1) A person who is a transition member on entering pensionable service under this scheme who does not have continuity of service becomes an active member of this scheme on the day the person begins pensionable service in a scheme employment.

(2) A person who is a transition member on entering pensionable service under this scheme who has continuity of service (T) becomes an active member of this scheme—

(a) if T is in pensionable service in a scheme employment on the transition date, on that date; or

(b) if T is not in pensionable service in a scheme employment on the transition date, on the day T enters pensionable service in a scheme employment after that date.

PART 2 — Full protection members of the 1992 Scheme or the NFPS

Full protection members of the 1992 Scheme or the NFPS

9

(1) A person (P) to whom any of paragraphs 12 to 14 applies is a full protection member of the 1992 Scheme or the NFPS, as the case may be.

(2) P ceases to be a full protection member of the 1992 Scheme or the NFPS, as the case may be, when P ceases to be in pensionable service under that scheme and ceases to be eligible to be an active member of the NFPS unless sub-paragraph (3) or (4) applies.

(2A) Where P was a full protection member of the 1992 Scheme and after retiring from pensionable service in this scheme became entitled to a continuous service pension under rule B1A, or an ordinary pension under rule B1 or a short service award under rule B2 of that scheme or a continued pension under rule B2A, P ceases to be eligible to be a full protection member of the NFPS.

(3) This sub-paragraph applies if—

(a) P returns to service which is pensionable under the NFPS from service which is pensionable under an existing scheme (other than the 1992 Scheme) or an existing public body pension scheme; and

(b) P would have been a fully protected member of that existing scheme or existing public body pension scheme had P re-entered service which is pensionable under that scheme on the date P returns to service which is pensionable under the NFPS.

(4) This sub-paragraph applies if—

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