The National Health Service Pension Scheme (Transitional and Consequential Provisions) Regulations 2015

(1A) A person who was born on, or after, 1st September 1960 is not eligible to be an active member of this Section of the Scheme in respect of practitioner service on, or after, 1st April 2015. (1B) A person is not eligible to be an active member of this Section of the Scheme if that person has had a break in service ending on or after 2nd April 2012, and any of the following apply— (a) that break in service is for any one period of five years or more; (b) that person receives a repayment of contributions under regulation 3.C.16 in respect of their service before that break (see regulation 3.B.1(3)(a)); (c) that person becomes entitled to a repayment of contributions under regulation 3.C.16 by virtue of paragraph (2)(a) to (c) of that regulation in respect of their service before that break; (d) that person’s rights under this Section of the Scheme in respect of their service before that break have been extinguished under regulation 3.F.7 because a transfer value payment is made in respect of them. (1C) A person who on 1st April 2012 has attained the age of 55 may not contribute or accrue further pensionable service under this Section of the Scheme unless that person either— (a) is, on 1st April 2015, an active member of this Section of the Scheme in accordance with regulation 3.B.1; or (b) returns to NHS employment on or after 2nd April 2015 in circumstances where paragraph (1B)(a) does not apply. (1D) Paragraph (1E) applies to a person— (a) who, on 1st April 2012, has attained the age of 51 years and 7 months but has not attained the age of 55, and (b) whose eligibility cessation date has not been reached (see paragraph (1F)). (1E) A person referred to in paragraph (1D) may not contribute or accrue further pensionable service under this Section of the Scheme unless that person either— (a) is, on 1st April 2015, an active member of this Section of the Scheme in accordance with regulation 3.B.1; or (b) returns to NHS employment on or after 2nd April 2015 in circumstances where paragraph (1B)(a) does not apply. (1F) For the purposes of paragraph (1D), a person’s eligibility cessation date is to be determined according to the formula— $$A−(2×T)$ where— A is 1st April 2022 T is the number of months (rounded up to the nearest whole month) by which the person’s age on 1st April 2012 is less than 55.$ (1G) For the purposes of paragraphs (1C)(b) and (1E)(b), any break in service where the member was in pensionable service in an existing scheme (within the meaning of Schedule 5 to the 2013 Act) is to be disregarded. (1H) Paragraph (1I) applies to a person who in the opinion of the Secretary of State— (a) was previously an active member of a corresponding 2008 scheme; (b) the regulations governing that corresponding scheme include provisions pursuant to subsection (5) of section 18 of the 2013 Act that provide for exceptions to subsection (1) of that section, and (c) pursuant to those provisions, the member would have been eligible to re-join that corresponding scheme if the member had returned to NHS employment for the purposes of that scheme on the day the member commenced NHS employment within the meaning of these Regulations. (1I) The Secretary of State may permit a person referred to in paragraph (1H) to join this Section of the Scheme and, for the purposes of paragraphs (1C) to (1G), the member’s previous pensionable employment under the corresponding scheme referred to in paragraph (1H) will be treated as if it were previous pensionable employment under this Section of the Scheme. (1J) Paragraph (1K) applies to a person who, in the opinion of the Secretary of State— (a) was previously an active member in respect of service in an existing scheme (within the meaning of Schedule 5 to the 2013 Act), (b) is not receiving a pension in respect of that service on the relevant day, (c) the regulations of that existing scheme include provisions pursuant to subsection (5) of section 18 of the 2013 Act that provide for exceptions to subsection (1) of that section, (d) pursuant to those provisions, the person would have been eligible to be an active member of the existing scheme if the member had returned to employment for the purposes of that scheme on the relevant day, and (e) the member would, if the member’s previous service in the existing scheme had been previous service under this Section of the Scheme, have been eligible for active membership of this Section of the Scheme on the relevant day pursuant to paragraphs (1A) to (1G). (1K) The Secretary of State may permit a person referred to in paragraph (1J) to join this section of the scheme and, for the purposes of paragraphs (1C) to (1G), the member’s previous service as an active member under the existing scheme referred to in paragraph (1J) will be treated as if it were previous service as an active member of this section of the scheme. (1L) For the purposes of paragraphs (1J) and (1K) “the relevant day” is the day the member commences NHS employment for the purposes of these Regulations. (1M) A person referred to in paragraph (1C), (1E), (1I) or (1K) may elect, using a form provided by the Secretary of State, not to make contributions or accrue further service under this Section of the Scheme in accordance with whichever of those paragraphs apply, but instead (where eligible) to become an active member of the 2015 Scheme. (1N) Such an election— (a) is irrevocable; (b) must be given to the Secretary of State before the date specified by the Secretary of State in the election form; (c) is to be treated as having been given on the date the election form is received by the Secretary of State. (1O) The date referred to in (1N)(b) must be a date that is at least three months later than the date on which the Secretary of State provided the member with an election form. (1P) An election shall be effective from the first day of the member’s pensionable employment in the 2008 Section falling on, or after, 1st April 2015, and from that date— (a) that member is to be treated as if that member had been an active member of the 2015 Scheme, and (b) contributions made in respect of the member in the 2008 Section shall be treated as if they had been contributions made in respect of that member in the 2015 Scheme. (1Q) The Secretary of State may allow a member to exercise an election after the date specified under paragraph (1N)(b) where the Secretary of State considers that the member has not had a reasonable opportunity to consider whether to exercise an election before that date.

Amendment of regulation 3.D.18

18

After regulation 3.D.18 of the 2008 Regulations, insert—

(3.D.19) (1) A member is not prevented from becoming entitled to a pension under regulation 3.D.1 in respect of pensionable service in respect of which the member is a deferred member because of continuing in NHS employment if paragraph (2) applies. (2) This paragraph applies if the member— (a) is in employment with an employing authority in respect of which the member is eligible to join the 2015 Scheme; and (b) has a break of service under the 2015 Regulations that exceeds five years.

Amendment of regulation 3.F.9

19

For sub-paragraph (c) of paragraph (1) of regulation 3.F.9 (procedure for applications under regulation 3.F.8), substitute—

(c) may only be made— (i) during the period of one year beginning with the day on which the applicant becomes eligible to be an active member of this Section of the Scheme and before the applicant reaches the age of 65; or (ii) where the applicant is not eligible to be an active member of this Section of the Scheme and the application is made in respect of a transfer from a corresponding 2008 Scheme during the period of one year beginning with the day on which the applicant becomes eligible to be an active member of the 2015 Scheme if on that day paragraph 2 of Schedule 7 to the 2013 Act applies to the period of service in respect of which the transfer value payment will be made,

Substitution of regulation 3.F.13

20

For regulation 3.F.13 (public sector transfer arrangements), substitute—

(3.F.13) (1) This Chapter applies to a transfer where— (a) the member is an active member of the 2015 Scheme, (b) the member makes an application under regulation 3.F.8 for a transfer value payment in respect of some or all of the rights that have accrued to or in respect of the member under— (i) an existing scheme listed in Schedule 5 to the 2013 Act, (ii) an existing public body scheme listed in Schedule 10 to that Act, (iii) another occupational pension scheme that participates in the Public Sector Transfer Club, (c) the application under regulation 3.F.8 is made within one year beginning with the day the member became eligible to be an active member of the 2015 Scheme and before the member reaches the member’s normal pension age in the 2015 Scheme, (d) the transfer value payment is made and accepted under the public sector transfer arrangements, and (e) on the day the transfer is completed, paragraph 2 of Schedule 7 to the 2013 Act applies to the period of service in respect of which the transfer value payment is made. (2) This Chapter also applies in the case of any other transfer to which the public sector transfer arrangements apply (not being a transfer referred to in paragraph (1)) as it applies in other cases, except to the extent that— (a) any provision in this Chapter provides otherwise; or (b) the arrangements themselves make different provision.

New regulation 3.J.15

21

After regulation 3.J.14 (employing authority and certain member record keeping and contribution estimates), add—

(3.J.15) (1) The Secretary of State must provide a benefit information statement to each member in accordance with— (a) section 14 (information about benefits) of the 2013 Act, and (b) any Treasury directions given from time to time pursuant to that section. (2) Paragraph (1) does not provide a right for a member to request a benefit information statement. (3) The Secretary of State is only required to provide a member with one benefit information statement per scheme year. (4) A benefit information statement provided pursuant to sub-paragraph (1) is to be treated as though it is the information mentioned in regulation 16(2)(a) of the Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013³⁸ for the purposes of determining whether or not information must be given under regulation 16(1) of those Regulations.

Signed

Signed by authority of the Secretary of State for Health.

Daniel Poulter — Parliamentary Under-Secretary of State, — Department of Health — 4th February 2015

We consent

David Evennett — Harriett Baldwin — Two of the Lords Commissioners of Her Majesty’s Treasury — 5th February 2015

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

These Regulations make transitional and consequential provision in relation to the National Health Service Pension Scheme Regulations 2015 (S.I. 2015/94) (“the new scheme”) for persons who have previous service under the National Health Service Pension Scheme contained in the National Health Service Pension Scheme Regulations 1995 (S.I. 1995/300) (“the 1995 Regulations”) and the National Health Service Pension Scheme Regulations 2008 (S.I. 2008/653) (“the 2008 Regulations) (the latter two Regulations together referred to here as “the old scheme”).

Part 1 deals with introductory matters and sets out definitions used in the Regulations.

Part 2 sets out transitional provisions by way of modification of the operation of the old scheme and the new scheme.

• Chapter 1 introduces Schedule 1, which sets out when existing pensioners of the old scheme are eligible to become members of the new scheme.

• Chapter 2 provides for nominations, notices and declarations given in the old scheme to have effect in the new scheme and vice versa.

• Chapter 3 provides for members of the old scheme who are transferred to the new scheme to remain active members of the old scheme, and sets out when a break in service affects that continuing active membership.

• Chapter 4 makes transitional provision in respect of contributions and final pay.

• Chapter 5 deals with arrangements for existing contracts for additional service, unreduced lump sums and additional pension.

• Chapter 6 provides for part of bulk transfer payments received into the new scheme to be paid into the old scheme in certain circumstances.

• Chapter 7 makes transitional provision in respect of retirement benefits.

• Chapter 8 deals with death in service benefits.

• Chapter 9 provides for certain members to be able to elect to convert their service under the 1995 Regulations into service under the 2008 Regulations.

Part 3 introduces Schedule 2, which makes a number of amendments to the old scheme.

• Parts 1 and 2 of Schedule 2 make similar amendments in respect of both the 1995 Regulations and the 2008 Regulations. They also introduce amendments specific to either the 1995 Regulations or the 2008 Regulations.

• The changes dealing with similar issues in Parts 1 and 2— amend the provision governing participation in the old scheme so that participation is only open to those who benefit from full protection (members within 10 years of retirement age under the Scheme) or who benefit from tapered protection (members more than 10 years but less than 13 years and 5 months away from retirement age under the Scheme); amend provisions of the old scheme to allow deferred benefits in the old scheme to be paid at the normal retirement age for that scheme despite the member remaining in NHS employment; insert new provisions dealing with a member’s right to an annual benefit statement.

• Amendments specific to the 1995 Regulations— insert new provisions for crediting service in the 1995 Section in the 2008 Section.

• Amendments specific to the 2008 Regulations— amend the provisions relating to applications for transfers; insert new provisions (regulation 2.F.13 and 3.F.13) making provision for transfers between schemes that participate in the Public Sector Transfer Club.

An impact assessment has not been prepared for this instrument as no impact on the costs of business or the voluntary sector is foreseen.

Footnotes

Effect of recommencing service after break

10A

• (1) Paragraph (2) applies where—

• (a) on the date a person other than a non-pensionable old scheme member becomes eligible to join the new scheme that person is absent from work because of illness or injury and that person’s earnings have ceased either—

• (i) in the circumstances described in regulation P1 of the 1995 Regulations, or

• (ii) in the circumstances described in regulations 2.A.9(7), or 3.A.8(4) of the 2008 Regulations, and

• (b) on the date the person’s employment is terminated or the person dies (“the relevant date”)—

• (i) that person’s earnings have not recommenced, and

• (ii) for the purposes of the new scheme, that person’s pensionable earnings are zero.

• (2) Where paragraph (1) is satisfied, if the earnings of a person referred to in that paragraph had recommenced at the relevant date the scheme manager may determine that the person would have become entitled to either—

• (a) the benefit set out at paragraph (4)(b) of regulation 28 (ill health benefits: members below normal pension age) where that person’s employment is terminated, or

• (b) one or more of the benefits set out at regulation 40 (death in service) where that person dies.

• (3) Where the scheme manager does so determine, for the purposes of calculating the benefits referred to in paragraph (2)—

• (a) the person is treated as if they were in pensionable service on their last day of NHS employment, and

• (b) contributions in respect of that day are deemed to have been paid.

Editorial notes