Hyperlawhypertext legal database Pensions Act 2011 current to 2024-04-02

UKPGA-2011-19 Pensions Act 2011 UK

Current to 2024-04-02

Contents
preamble

Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Part 1

State pension

s. 1 — Equalisation of and increase in pensionable age for men and women
s. 1(1)

In Schedule 4 to the Pensions Act 1995 (equalisation of and increase in pensionable age for men and women) paragraph 1 is amended as follows.

s. 1(2)

In sub-paragraph (1) for “6th April 1959” substitute “ 6th December 1953 ”.

s. 1(3)

Omit sub-paragraph (4).

s. 1(4)

In table 1 for the entries (in both columns) relating to each of the periods from “6th April 1953 to 5th May 1953” to “6th March 1955 to 5th April 1955” substitute—

s. 1(5)

For table 2 substitute—

s. 1(6)

In sub-paragraph (6) for “5th April 1960” substitute “ 5th October 1954 ”.

s. 1(7)

Schedule 1 (equalisation of and increase in pensionable age for men and women: consequential amendments) has effect.

s. 2 — Abolition of certain additions to the state pension
s. 2(1)

In section 150 of the Social Security Administration Act 1992 (annual up-rating of benefits)—

s. 2(1)(a)

in subsection (1)(e)(i) for “person who is also entitled to a Category A or Category B retirement pension” substitute “ relevant person ”;

s. 2(1)(b)

after subsection (1) insert—

s. 2(2)

In that section after subsection (10A) insert—

s. 2(3)

In section 151 of that Act (up-rating - supplementary) omit subsection (5).

s. 2(4)

The repeal made by subsection (3) does not affect the application of section 151(5) of that Act in relation to a person who became entitled to a Category A or Category B retirement pension before the day on which subsection (3) comes into force.

s. 2(5)

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s. 2(6)

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s. 2(7)

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s. 2(8)

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s. 2(9)

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s. 2(10)

In this section a reference to becoming entitled to a pension before a day includes a reference to becoming entitled on or after that day to the payment of a pension in respect of a period before that day.

s. 3 — Consolidation of additional pension

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Part 2

Automatic enrolment

s. 4 — Automatic re-enrolment where scheme membership interrupted
s. 4(1)

In section 2 (continuity of scheme membership) of the Pensions Act 2008 (“the 2008 Act”) for subsection (3) substitute—

s. 4(2)

In section 5 of the 2008 Act (automatic re-enrolment) after subsection (1) insert—

s. 4(3)

For subsection (4) of that section substitute—

s. 4(4)

In subsection (8) of that section omit “, after the automatic enrolment date,”.

s. 4(5)

In section 6 of the 2008 Act (timing of automatic re-enrolment) in subsection (4)—

s. 4(5)(a)

in paragraph (a) omit “at any time after the jobholder's automatic enrolment date,”;

s. 4(5)(b)

in that paragraph omit “or a qualifying scheme of which the jobholder is an active member ceases to be such a scheme”;

s. 4(5)(c)

in paragraph (b) omit “or the employer”;

s. 4(5)(d)

in paragraph (c) for “time” substitute “ event ”.

s. 4(6)

In section 54 of the 2008 Act (inducements)—

s. 4(6)(a)

in subsection (1)(a) for “within the period prescribed under section 2(3)” substitute;

s. 4(6)(b)

in subsection (1)(b) for “within the period prescribed under section 2(3)” substitute.

s. 5 — Earnings trigger for automatic enrolment and re-enrolment
s. 5(1)

In section 3 of the 2008 Act (automatic enrolment) for subsection (1) substitute—

s. 5(2)

After subsection (6) of that section insert—

s. 5(3)

In section 5 of the 2008 Act (automatic re-enrolment) for subsection (1) substitute—

s. 5(4)

After subsection (7) of that section insert—

s. 6 — Postponement or disapplication of automatic enrolment
s. 6(1)

In section 3 of the 2008 Act (automatic enrolment) at the end of subsection (7) insert—

s. 6(2)

For section 4 of the 2008 Act substitute—

s. 6(3)

In section 5 of the 2008 Act (automatic re-enrolment) omit subsection (5).

s. 6(4)

In section 6 of the 2008 Act (timing of automatic re-enrolment)—

s. 6(4)(a)

omit subsections (3) and (6);

s. 6(4)(b)

in subsection (4) for “second case” substitute “ first case ”;

s. 6(4)(c)

in subsection (5) for “third case” substitute “ second case ”.

s. 6(5)

In section 7 of the 2008 Act (jobholder's right to opt in) omit paragraph (b) of subsection (2) and the “or” before it.

s. 6(6)

In section 30 of the 2008 Act (transitional period for defined benefits and hybrid schemes) in subsection (7)—

s. 6(6)(a)

for “applies, section” substitute;

s. 6(6)(b)

for “day on which” substitute “ day with effect from which ”;

s. 6(6)(c)

at the end insert—

s. 7 — Timing of automatic re-enrolment

In section 6 of the 2008 Act (timing of automatic re-enrolment) in subsection (1)(b) for “three years” substitute “ 2 years and 9 months ”.

s. 8 — Review of earnings trigger and qualifying earnings band
s. 8(1)

For section 14 of the 2008 Act (review of qualifying earnings band) substitute—

s. 8(2)

For the italic heading before section 13 of the 2008 Act substitute— “ Qualifying earnings and earnings trigger ”.

s. 8(3)

In section 143(5) of the 2008 Act (statutory instruments subject to affirmative resolution procedure) in paragraph (c) after “section” insert “ 14(2), ”.

s. 9 — Rounded figures for earnings trigger and qualifying earnings band

After section 15 of the 2008 Act insert—

s. 10 — Qualifying schemes: administration charges

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s. 11 — Test scheme standard for schemes that produce sum of money for provision of benefits
s. 11(1)

In section 22 of the 2008 Act (test scheme standard) after subsection (7) insert—

s. 11(2)

For section 23 of the 2008 Act substitute—

s. 12 — Certification that alternative to quality requirement is satisfied
s. 12(1)

Section 28 of the 2008 Act (sections 20, 24 and 26: certification that quality requirement is satisfied) is amended as follows.

s. 12(2)

For the heading substitute “ Certification that quality requirement or alternative requirement is satisfied ”.

s. 12(3)

In subsection (1) for “any jobholder of an employer” substitute “ each of an employer's relevant jobholders ”.

s. 12(4)

After subsection (1) insert—

s. 12(5)

In subsection (2)—

s. 12(5)(a)

for “state that” substitute;

s. 12(5)(b)

for “the jobholders” substitute “ relevant jobholders ”;

s. 12(5)(c)

at the end insert

s. 12(6)

After subsection (2) insert—

s. 12(7)

In subsection (6)—

s. 12(7)(a)

in paragraph (e) for “any jobholder” substitute “ any relevant jobholder ”;

s. 12(7)(b)

in paragraph (f) for “jobholders” substitute “ relevant jobholders ”.

s. 12(8)

In section 32 of the 2008 Act (power to modify by resolution) in subsection (1)(b) for the words after “the scheme” substitute

s. 13 — Certification for non-UK schemes
s. 13(1)

Section 28 of the 2008 Act is amended as follows.

s. 13(2)

After subsection (3) insert—

s. 13(3)

In subsection (4) at the end insert—

s. 13(4)

In paragraphs (e) and (f) of subsection (6) for “section 26 agreements” substitute “ contribution agreements ”.

s. 13(5)

In subsection (8)—

s. 13(5)(a)

for “ “section 26 agreements” means the agreement” substitute “ “contribution agreements” means—;

s. 13(5)(b)

at the end insert

s. 14 — Transitional period for defined benefits and hybrid schemes to be optional
s. 14(1)

Section 30 of the 2008 Act (transitional period for defined benefits and hybrid schemes) is amended as follows.

s. 14(2)

In subsection (3) for “Where this subsection applies” substitute “ If by the end of the prescribed period the employer has given the jobholder notice that the employer intends to defer automatic enrolment until the end of the transitional period for defined benefits and hybrid schemes ”.

s. 14(3)

In subsection (4) for “at any time” substitute “ a notice is given under subsection (3) and at any later time ”.

s. 14(4)

After subsection (7) insert—

s. 15 — Arrangements where transitional conditions cease to be satisfied
s. 15(1)

Section 30 of the 2008 Act is amended as follows.

s. 15(2)

In subsection (5) after “money purchase scheme” insert “ or personal pension scheme ”.

s. 15(3)

In subsection (6)(b) omit “(in accordance with section 20(1))”.

s. 16 — Power of managers to modify by resolution

In section 32 of the 2008 Act (power of trustees to modify by resolution) in subsection (1) and in the heading after “trustees” insert “ or managers ”.

s. 17 — No indemnification for civil penalties

In section 256 of the Pensions Act 2004 (no indemnification for fines or civil penalties) in subsection (1)(b)—

s. 17(a)

for “or section” substitute “ , section ”;

s. 17(b)

after “1993 (c. 48)” insert “ or section 40 or 41 of the Pensions Act 2008 ”.

s. 18 — Power to exempt certain cross-border employment from enrolment duty

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Part 3

Occupational pension schemes

Indexation and revaluation

s. 19 — Indexation and revaluation
s. 19(1)

Section 84 of the Pension Schemes Act 1993 (basis of revaluation of accrued benefits) is amended as follows.

s. 19(2)

In subsection (5)(b) for the words from “maintains” to “index” substitute “ , in the opinion of the Secretary of State, maintains the value of the pension or other benefit by reference to the rise in the general level of prices in Great Britain ”.

s. 19(3)

Omit subsection (6).

s. 19(4)

Schedule 3 to the 1993 Act (which sets out methods for revaluing accrued benefits for the purposes of section 84 of the 1993 Act) is amended as follows.

s. 19(5)

After paragraph 1(4) insert—

s. 19(6)

After paragraph 2 insert—

s. 19(7)

Section 51 of the Pensions Act 1995 (annual increase in rate of certain pensions) is amended as follows.

s. 19(8)

For subsections (3) and (4) substitute—

s. 19(9)

Section 40 of the Welfare Reform and Pensions Act 1999 (indexation of certain pensions giving effect to pension credit rights) is amended as follows.

s. 19(10)

In subsection (1) for “increases in the retail prices index” substitute “ relevant percentage increases ”.

s. 19(11)

After subsection (2A) insert—

s. 20 — Pension compensation: annual increases in periodic compensation
s. 20(1)

In Schedule 7 to the Pensions Act 2004 (pension compensation provisions) paragraph 28 (annual increase in periodic compensation) is amended as follows.

s. 20(2)

In sub-paragraph (3) in paragraph (a) of the definition of “appropriate percentage” for “retail prices index” substitute “ general level of prices in Great Britain ”.

s. 20(3)

After sub-paragraph (3) insert—

s. 20(4)

In paragraph 37(1) of that Schedule (definitions) omit the definition of “retail prices index”.

s. 20(5)

In Schedule 5 to the Pensions Act 2008 (pension compensation payable on discharge of pension compensation credit) paragraph 17 (annual increase in periodic compensation) is amended as follows.

s. 20(6)

In sub-paragraph (4) in paragraph (a) of the definition of “the appropriate percentage” for “retail prices index” substitute “ general level of prices in Great Britain ”.

s. 20(7)

After sub-paragraph (4) insert—

s. 21 — Indexation requirements for cash balance benefits
s. 21(1)

Section 51 of the Pensions Act 1995 (annual increase in rate of certain pensions) is amended as follows.

s. 21(2)

In subsection (1) for “subsection (6)” substitute “ subsections (6) and (7) ”.

s. 21(3)

After subsection (6) insert—

s. 21(4)

After section 51ZA of the Pensions Act 1995 insert—

Pension Protection Fund

s. 22 — Pension Protection Fund

Schedule 4 (which makes provision relating to the Pension Protection Fund) has effect.

Financial assistance scheme

s. 23 — Financial assistance scheme: amount of payments
s. 23(1)

In section 286 of the Pensions Act 2004 (financial assistance scheme) after subsection (1B) insert—

s. 23(2)

In section 18 of the Pensions Act 2007 (financial assistance scheme: increased levels of payments) after subsection (9) insert—

s. 23(3)

In that section in subsection (10) (affirmative resolution procedure) after “subsection (9)” insert “ or (9A) ”.

s. 24 — Financial assistance scheme: transfer of assets

In section 286 of the Pensions Act 2004 (financial assistance scheme) in subsection (3)(c) (power to make provision for property, rights and liabilities of qualifying pension schemes to be transferred to the scheme manager) for “the scheme manager” substitute “ a prescribed person ”.

Miscellaneous

s. 25 — Payment of surplus to employer: transitional power to amend scheme
s. 25(1)

Section 251 of the Pensions Act 2004 (payment of surplus to employer: transitional power to amend scheme) is amended as follows.

s. 25(2)

In subsection (1) after “scheme” insert—.

s. 25(3)

After subsection (2) insert—

s. 25(4)

In subsection (3) for “then applied” substitute “ applied immediately before the commencement of section 250 ”.

s. 25(5)

In subsection (6)—

s. 25(5)(a)

after paragraph (a) insert—;

s. 25(5)(b)

in paragraph (b) for “only be exercised once” substitute “ be exercised, after the commencement of section 25 of the Pensions Act 2011, only once (whether or not also exercised before 6 April 2011) ”;

s. 25(5)(c)

in paragraph (c) for “five years after the commencement of this section” substitute “ on 6 April 2016 ”.

s. 25(6)

After subsection (6) insert—

s. 25(7)

The amendments made by this section do not affect the continued operation of any resolution passed under section 251(3) or (4) of the 2004 Act before 6 April 2011.

s. 26 — Contribution notices and financial support directions
s. 26(1)

Section 38 of the Pensions Act 2004 (contribution notices where avoidance of employer debt) is amended as follows.

s. 26(2)

In subsections (5)(c)(i) and (6)(b)(ii) for “determination by the Regulator to exercise the power to issue” substitute “ giving of a warning notice in respect of ”.

s. 26(3)

After subsection (13) insert—

s. 26(4)

Section 43 of the Pensions Act 2004 (financial support directions) is amended as follows.

s. 26(5)

In subsection (9) for “determination by the Regulator to exercise the power to issue” substitute “ giving of a warning notice in respect of ”.

s. 26(6)

After subsection (11) insert—

s. 26(7)

In section 96 of the Pensions Act 2004 (exercise of regulatory functions: standard procedure) after subsection (6) insert—

s. 27 — Technical amendment to Schedule 4 to the Pensions Act 2007

In Schedule 4 to the Pensions Act 2007 (abolition of contracting-out for defined contribution pension schemes) in paragraph 60(4) for paragraphs (b) and (c) substitute—

s. 28 — Technical amendment to section 42(6) of the Pension Schemes Act 1993
s. 28(1)

In section 42 of the Pension Schemes Act 1993 (review and alteration of rates of contributions applicable under section 41) in subsection (6) for “paragraph 2(3)” substitute “the definition of “the percentage for contributing earners” or “the percentage for non-contributing earners” in paragraph 2(5)”.

s. 28(2)

After that subsection insert—

Part 4

Money purchase benefits

s. 29 — Definition of money purchase benefits
s. 29(1)

In section 181 of the Pension Schemes Act 1993 (interpretation), in the definition of “money purchase benefits” in subsection (1), for “which are not average salary benefits” substitute “ which fall within section 181B ”.

s. 29(2)

After section 181A of that Act insert—

s. 29(3)

In section 99 of the Pensions Act 2008 (interpretation) in the definition of “money purchase benefits” for “which are not average salary benefits” substitute “ which fall within section 99A ”.

s. 29(4)

After that section insert—

s. 29(5)

In paragraph 1(2) of Schedule 10A to the Building Societies Act 1986 (disclosures about directors etc), in the definition of “money purchase benefits”, for “which are not average salary benefits” substitute “ which fall within paragraph 1A ”.

s. 29(6)

In that Schedule, after paragraph 1 insert—

s. 29(7)

The amendments made by subsections (1) and (2) are to be regarded as having come into force on 1 January 1997.

s. 29(8)

The amendments made by subsections (3) and (4) are to be regarded as having come into force at the same time as section 99 of the Pensions Act 2008.

s. 30 — Transitional
s. 30(1)

The Secretary of State may by regulations make transitional provision in relation to the coming into force of the amendments in section 29.

s. 30(2)

That provision includes in particular—

s. 30(2)(a)

provision disapplying the amendments in section 29 in relation to an occupational or personal pension scheme which is wound up before the coming into force of that section;

s. 30(2)(b)

provision disapplying the amendments in section 29 to any extent, or as regards any period, in respect of an occupational or personal pension scheme in relation to which those amendments would otherwise have applied on the coming into force of that section;

s. 30(2)(c)

provision modifying the application of an enactment in respect of an occupational or personal pension scheme in relation to which the amendments in section 29 apply on the coming into force of that section;

s. 30(2)(d)

provision requiring trustees or managers of an occupational pension scheme in relation to which the amendments in section 29 apply on the coming into force of that section to obtain an actuarial valuation of a description specified in the regulations.

s. 30(3)

In subsection (2) “occupational pension scheme” and “personal pension scheme” have the meanings given by section 1 of the Pension Schemes Act 1993.

s. 31 — Consequential and supplementary
s. 31(1)

The Secretary of State may by regulations make consequential or supplementary provision in relation to the amendments made by section 29.

s. 31(2)

In section 307 of the Pensions Act 2004 (modification of Act) in subsection (2) after paragraph (b) insert—.

s. 32 — Power to make further provision
s. 32(1)

The Secretary of State may by regulations amend for any purpose—

s. 32(1)(a)

the definition of “money purchase benefit” in the Pension Schemes Act 1993, the Pensions Act 2008 or Schedule 10A to the Building Societies Act 1986 , or

s. 32(1)(b)

section 2 of the Pension Schemes Act 2021 (collective money purchase benefits: meaning of “qualifying benefits”).

s. 32(2)

Regulations under subsection (1) may in particular amend the provisions inserted by section 29 above or by Schedule 1 to the Pension Schemes Act 2021.

s. 32(3)

Regulations under this section may include transitional, consequential or supplementary provision.

s. 33 — Regulations
s. 33(1)

Regulations under this Part may—

s. 33(1)(a)

make different provision for different cases (including different provision for pension schemes of different descriptions);

s. 33(1)(b)

provide for a person to exercise a discretion in dealing with any matter;

s. 33(1)(c)

amend Acts (as well as other enactments);

s. 33(1)(d)

have retrospective effect.

s. 33(2)

Regulations under this Part must be made by statutory instrument.

s. 33(3)

A statutory instrument containing regulations under this Part which amend an Act may not be made unless a draft of the instrument has been laid before, and approved by resolution of, each House of Parliament.

s. 33(4)

A statutory instrument containing any other regulations under this Part is subject to annulment in pursuance of a resolution of either House of Parliament.

Part 5

Judicial pensions

s. 34 — Contributions towards cost of judicial pensions etc
s. 34(1)

After section 9 of the Judicial Pensions and Retirement Act 1993 insert—

s. 34(2)

Schedule 5 (which makes provision for contributions towards the cost of certain other judicial pensions etc) has effect.

Part 6

Miscellaneous and general

Miscellaneous

s. 35 — Grants by the Secretary of State to advisory bodies etc
s. 35(1)

Section 174 of the Pension Schemes Act 1993 (grants by the Pensions Regulator to advisory bodies etc) is amended as follows.

s. 35(2)

After subsection (2) insert—

s. 35(3)

For the heading substitute “ Grants to advisory bodies etc ”.

s. 36 — Service of documents and electronic working
s. 36(1)

After section 144 of the Pensions Act 2008 insert—

s. 36(2)

In section 60 of that Act (requirement to keep records) in subsection (1)(c) for “, on request, to the Regulator” substitute “ to the Regulator on receiving a notification requesting them ”.

s. 36(3)

In section 150 of that Act (extent) in subsection (2)(f) for “143 to 146” substitute “ 143, 144, 145 and 146 ”.

General

s. 37 — Extent

An amendment or repeal by this Act has the same extent as the enactment amended or repealed.

s. 38 — Commencement
s. 38(1)

Any provision of Part 2 that amends another Act so as—comes into force, for the purposes of the exercise of the power, on the day on which this Act is passed.

s. 38(1)(a)

to modify a power to make an order or regulations, or

s. 38(1)(b)

to confer any such power,

s. 38(2)

The following provisions of this Act come into force on that day—

s. 38(2)(a)

sections 30 to 33;

s. 38(2)(b)

section 37;

s. 38(2)(c)

this section;

s. 38(2)(d)

section 39.

s. 38(3)

The following provisions of this Act come into force at the end of the period of 2 months beginning with that day—

s. 38(3)(a)

section 1 (and Schedule 1);

s. 38(3)(b)

section 25;

s. 38(3)(c)

section 27;

s. 38(3)(d)

section 28.

s. 38(4)

The other provisions of this Act come into force in accordance with provision made by order by the Secretary of State.

s. 38(5)

An order under subsection (4) may appoint different days for different purposes.

s. 38(6)

The Secretary of State may by order make transitional, transitory or saving provision in connection with the coming into force of any provision of this Act.

s. 38(7)

An order under subsection (4) or (6) is to be made by statutory instrument.

s. 39 — Short title

This Act may be cited as the Pensions Act 2011.

Sch 1

Equalisation of and increase in pensionable age for men and women: consequential amendments

Gas Act 1986 (c. 44)

Sch 1 para 1

In section 48 of the Gas Act 1986 (interpretation of Part 1) in subsection (2B)(b) for “6th April 1955” substitute “ 6th December 1953 ”.

Social Security Administration Act 1992 (c. 5)

Sch 1 para 2

The Social Security Administration Act 1992 is amended as follows.

Sch 1 para 3

In section 2A (claim or full entitlement to certain benefits conditional on work-focused interview) in subsection (1A) for “6 April 1955” substitute “ 6 December 1953 ”.

Sch 1 para 4

In section 2AA (full entitlement to certain benefits conditional on work-focused interview for partner) in subsection (1A) for “6 April 1955” substitute “ 6 December 1953 ”.

Sch 1 para 5

In section 2D (work-related activity) in subsection (9)(e) for “6 April 1955” substitute “ 6 December 1953 ”.

Pensions Act 1995 (c. 26)

Sch 1 para 6

In section 126 of the Pensions Act 1995 (equalisation of and increase in pensionable age etc) in paragraph (a) for the words from “progressively” (where it appears first) to the end of the paragraph substitute “ and then to increase it ”.

Consumers, Estate Agents and Redress Act 2007 (c. 17)

Sch 1 para 7

In section 6 of the Consumers, Estate Agents and Redress Act 2007 (general provision about functions of National Consumer Council) in subsection (10)(b) for “6 April 1955” substitute “ 6 December 1953 ”.

Pensions Act 2007 (c. 22)

Sch 1 para 8

The Pensions Act 2007 is amended as follows.

Sch 1 para 9

In section 13 (increase in pensionable age for men and women)—

Sch 1 para 9(a)

in subsection (1) omit from “progressively” to the end;

Sch 1 para 9(b)

in subsection (3) for “6th April 2024” substitute “ 6th December 2018 ”.

Sch 1 para 10

In Schedule 3 (increase in pensionable age for men and women) omit paragraph 4(4).

Sch 2

Abolition of certain additions to the state pension: consequential amendments etc

Social Security Contributions and Benefits Act 1992 (c. 4)

Sch 2 para 1

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Sch 2 para 2

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Sch 2 para 3

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Repeals of spent enactments

Sch 2 para 4

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Sch 3

Consolidation of additional pension

Social Security Contributions and Benefits Act 1992 (c. 4)

Sch 3 para 1

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Sch 3 para 2

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Sch 3 para 3

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Sch 3 para 4

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Sch 3 para 5

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Sch 3 para 6

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Sch 3 para 7

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Social Security Administration Act 1992 (c. 5)

Sch 3 para 8

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Pension Schemes Act 1993 (c. 48)

Sch 3 para 9

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Sch 3 para 10

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Sch 3 para 11

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Pensions Act 2008 (c. 30)

Sch 3 para 12

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Sch 3 para 13

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Sch 4

Pension Protection Fund

Requirements to obtain actuarial valuations

Sch 4 para 1

The Pensions Act 2004 is amended as follows.

Sch 4 para 2

In section 58(3) (right to apply under section 423 of the Insolvency Act 1986)—

Sch 4 para 2(a)

for the words from “an actuarial” to the first “scheme” substitute “ a determination made, or actuarial valuation obtained, in respect of the scheme by the Board of the Pension Protection Fund under section 143(2) ”, and

Sch 4 para 2(b)

for “that section” substitute “ section 143 ”.

Sch 4 para 3
Sch 4 para 3(1)

Section 141 (effect of review of ill-health pension) is amended as follows.

Sch 4 para 3(2)

In subsection (4) after “which” insert “ a determination under section 143(2)(a) or ”.

Sch 4 para 3(3)

In subsection (5)(a) after “first” insert “ makes a determination under section 143(2)(a) or ”.

Sch 4 para 4

In section 142(1) (interpretation) in the definition of “scheme valuation” for “143” substitute “ 143(2)(b) ”.

Sch 4 para 5
Sch 4 para 5(1)

Section 143 (Board's obligation to obtain valuation of assets and protected liabilities) is amended as follows.

Sch 4 para 5(2)

For subsection (2) substitute—

Sch 4 para 5(3)

In subsection (3) for “those purposes” substitute “ the purposes of this section ”.

Sch 4 para 5(4)

In subsection (4) for “this section” substitute “ a determination made under subsection (2)(a) or an actuarial valuation obtained under subsection (2)(b) ”.

Sch 4 para 5(5)

In subsection (5B) for “mentioned in subsection (2)” substitute “ of this section ”.

Sch 4 para 5(6)

After subsection (5B) insert—

Sch 4 para 5(7)

In subsection (6)—

Sch 4 para 5(7)(a)

after “subsection (4),” insert “ for the purposes of an actuarial valuation obtained under subsection (2)(b) ”, and

Sch 4 para 5(7)(b)

for “paragraphs (a) and (b) of that subsection” substitute “ subsection (4)(a) and (b) ”.

Sch 4 para 5(8)

In subsection (9)—

Sch 4 para 5(8)(a)

for “requires the” substitute “ requires a determination to be made, or an ”, and

Sch 4 para 5(8)(b)

after “purposes of” insert “ the determination or ”.

Sch 4 para 5(9)

In subsection (10) for “requires the” substitute “ requires a determination to be made, or an ”.

Sch 4 para 5(10)

In subsection (11)(b)(ii) after “first” insert “ makes a determination under subsection (2)(a) or ”.

Sch 4 para 6

After section 143 insert—

Sch 4 para 7
Sch 4 para 7(1)

Section 144 (approval of valuation) is amended as follows.

Sch 4 para 7(2)

In subsection (1) for “143” substitute “ 143(2)(b) ”.

Sch 4 para 7(3)

In subsection (2) for “that section” substitute “ section 143 ”.

Sch 4 para 8

In section 145(1) (binding valuations) for “143” substitute “ 143(2)(b) ”.

Sch 4 para 9
Sch 4 para 9(1)

Section 151 (application for Board to assume responsibility for schemes) is amended as follows.

Sch 4 para 9(2)

In subsections (2)(b) and (3)(b) for the words from “the valuation” to “scheme” substitute “ the determination made by the Board or valuation obtained by the Board in respect of the scheme under section 143(2) ”.

Sch 4 para 9(3)

In subsection (6)—

Sch 4 para 9(3)(a)

in paragraphs (a)(ii) and (b)(ii) after “binding” insert “ determination or ”, and

Sch 4 para 9(3)(b)

in paragraph (a)(ii) for “section” substitute “ subsection ”.

Sch 4 para 9(4)

In subsection (10) for “under that section” substitute “ under section 143(2)(b) ”.

Sch 4 para 10

In section 154(5)(b) (requirement to wind up scheme) after “that the” insert “ determination made by the Board or ”.

Sch 4 para 11
Sch 4 para 11(1)

Section 158 (Board's duty to assume responsibility for closed schemes) is amended as follows.

Sch 4 para 11(2)

For subsection (3) substitute—

Sch 4 para 11(3)

In subsection (4) for “those purposes as it applies for the purposes mentioned in subsection (2)” substitute “ the purposes of this section as it applies for the purposes ”.

Sch 4 para 11(4)

In subsection (5)—

Sch 4 para 11(4)(a)

for “a valuation obtained under subsection (3)” substitute “ a determination made under subsection (3)(a) and a valuation obtained under subsection (3)(b) ”,

Sch 4 para 11(4)(b)

for “a valuation obtained under section 143” substitute “ a determination made under section 143(2)(a) and a valuation obtained under section 143(2)(b) ”, and

Sch 4 para 11(4)(c)

after paragraph (a) insert—.

Sch 4 para 11(5)

In subsection (6)—

Sch 4 para 11(5)(a)

after “sections 143” insert “ , 143A ”,

Sch 4 para 11(5)(b)

omit “and” at the end of paragraph (a), and

Sch 4 para 11(5)(c)

after that paragraph insert—.

Sch 4 para 12
Sch 4 para 12(1)

Section 160 (transfer notice) is amended as follows.

Sch 4 para 12(2)

In subsection (3) for “valuation obtained under section 143” substitute “ determination made or valuation obtained under section 143(2) ”.

Sch 4 para 12(3)

In subsection (4) after “until the” insert “ determination made or ”.

Sch 4 para 13
Sch 4 para 13(1)

Schedule 9 (reviewable matters) is amended as follows.

Sch 4 para 13(2)

For paragraph 8 substitute—

Sch 4 para 13(3)

After paragraph 14 insert—

Requirement to obtain protected benefits quotation

Sch 4 para 14

In section 151(4)(a) of the Pensions Act 2004 (application for Board to assume responsibility for scheme) after “form,” insert “ or evidence in the prescribed form which shows that the trustees or managers of the scheme have taken all reasonable steps to obtain a protected benefits quotation but were unable to do so, ”.

Sch 4 para 15
Sch 4 para 15(1)

Section 152 of the Pensions Act 2004 (Board's duty to assume responsibility for scheme) is amended as follows.

Sch 4 para 15(2)

After subsection (1) insert—

Sch 4 para 15(3)

After subsection (2) insert—

Sch 4 para 15(4)

In subsection (3)—

Sch 4 para 15(4)(a)

after “subsection (2)” insert “ or (2B) ”, and

Sch 4 para 15(4)(b)

for “a determination notice” substitute “ a notice to that effect (a “determination notice”) ”.

Sch 4 para 15(5)

Omit subsection (4).

Sch 4 para 15(6)

In subsection (5)—

Sch 4 para 15(6)(a)

after “in subsection (2)” insert “ or (2B) ”, and

Sch 4 para 15(6)(b)

for “under subsection (2)” substitute “ under that subsection ”.

Sch 4 para 15(7)

Omit subsection (8).

Sch 4 para 15(8)

In subsection (10) for “Regulations” substitute “ Where subsection (2) applies, regulations ”.

Sch 4 para 15(9)

After subsection (10) insert—

Sch 4 para 16

In the following provisions of the Pensions Act 2004 after “152(2)” insert “ or (2B) ”

Sch 4 para 16(a)

section 154(2)(c) (requirement to wind up certain schemes), and

Sch 4 para 16(b)

section 172(4) and (5)(c) (fraud compensation regime).

Removal of restriction on transfer notices

Sch 4 para 17
Sch 4 para 17(1)

The Pensions Act 2004 is amended as follows.

Sch 4 para 17(2)

In section 160(7) (transfer notice)—

Sch 4 para 17(2)(a)

for “172(1) and (2)” substitute “ 172(2) ”, and

Sch 4 para 17(2)(b)

omit “within first 12 months of assessment period or”.

Sch 4 para 17(3)

Omit section 172(1) (no transfer notice within first 12 months of assessment period).

Parliamentary control of subordinate legislation

Sch 4 para 18
Sch 4 para 18(1)

Section 316(2) of the Pensions Act 2004 (subordinate legislation subject to affirmative procedure) is amended as follows.

Sch 4 para 18(2)

Omit paragraph (a) (the administration levy).

Sch 4 para 18(3)

In paragraph (f) (the levy ceiling) after “ceiling)” insert “ which is made by virtue of section 178(8) ”.

Sch 4 para 18(4)

In paragraph (s) (the compensation cap) after “Fund)” insert“ except an order which is made by virtue of paragraph 27 of that Schedule ”.

Pension credit members

Sch 4 para 19
Sch 4 para 19(1)

Schedule 7 to the Pensions Act 2004 (pension compensation provisions) is amended as follows.

Sch 4 para 19(2)

For paragraph 21 (pension credit members under normal benefit age at assessment date) substitute—

Sch 4 para 19(3)

In each of the following after “21” insert “ or 21A ”

Sch 4 para 19(3)(a)

paragraph 25(1) (early payment of compensation),

Sch 4 para 19(3)(b)

paragraph 25(3) (as amended by paragraph 12 of Schedule 8 to the Pensions Act 2008),

Sch 4 para 19(3)(c)

in paragraph 25B(4) (terminal illness lump sum) paragraph (b) of the definition of “relevant age”, and

Sch 4 para 19(3)(d)

paragraph 28(8)(c) (annual increase in periodic compensation).

Sch 4 para 19(4)

In paragraph 36(5)(a) (meaning of “pensionable service”) after “credit” insert “ (except for the purposes of paragraphs 21 and 21A) ”.

Sch 4 para 20

In the Pensions Act 2008 omit paragraphs 10 and 11 of Schedule 8 (which amend paragraph 21 of Schedule 7 to the Pensions Act 2004).

Postponement of compensation

Sch 4 para 21

Schedule 7 to the Pensions Act 2004 (pension compensation provisions) is amended as follows.

Sch 4 para 22

For paragraph 25A (deferral of compensation) and the heading before it substitute—

Sch 4 para 23
Sch 4 para 23(1)

In paragraph 5(3) (periodic compensation for postponed pensioner at assessment date)—

Sch 4 para 23(1)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 23(1)(b)

after that paragraph insert—.

Sch 4 para 23(2)

In paragraph 7(2) (lump sum compensation for postponed pensioner at assessment date) for the words from “the amount” to the end substitute

Sch 4 para 23(3)

In paragraph 8(3) (periodic compensation for active member over pension age at assessment date)—

Sch 4 para 23(3)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 23(3)(b)

after that paragraph insert—.

Sch 4 para 23(4)

In paragraph 10(2) (lump sum compensation for active member over pension age at assessment date)—

Sch 4 para 23(4)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 23(4)(b)

after paragraph (b) insert

Sch 4 para 23(5)

In paragraph 11(3) (periodic compensation for active member under pension age at assessment date)—

Sch 4 para 23(5)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 23(5)(b)

after that paragraph insert—.

Sch 4 para 23(6)

In paragraph 14(3) (lump sum compensation for active member under pension age at assessment date) for “the protected amount” substitute

Sch 4 para 23(7)

In paragraph 15(3) (periodic compensation for deferred member under pension age at assessment date)—

Sch 4 para 23(7)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 23(7)(b)

after that paragraph insert—.

Sch 4 para 23(8)

In paragraph 19(3) (lump sum compensation for deferred member under pension age at assessment date) for “the protected amount” substitute

Sch 4 para 23(9)

In paragraph 26 (compensation cap)—

Sch 4 para 23(9)(a)

in sub-paragraphs (3)(c) and (6)(e) for “14(3)” substitute“ 14(3)(a) ”, and

Sch 4 para 23(9)(b)

in sub-paragraphs (3)(e) and (6)(g) for “19(3)” substitute“ 19(3)(a) ”.

Sch 4 para 24
Sch 4 para 24(1)

In paragraph 6 (periodic compensation for widow or widower of postponed pensioner at assessment date)—

Sch 4 para 24(1)(a)

in sub-paragraph (3) after “including” insert “ any actuarial increase under paragraph 25A and ”, and

Sch 4 para 24(1)(b)

after sub-paragraph (3) insert—

Sch 4 para 24(2)

In paragraph 9 (periodic compensation for widow or widower of active member over pension age at assessment date)—

Sch 4 para 24(2)(a)

in sub-paragraph (3) after “including” insert “ any actuarial increase under paragraph 25A and ”, and

Sch 4 para 24(2)(b)

after sub-paragraph (3) insert—

Sch 4 para 24(3)

In paragraph 13 (periodic compensation for widow or widower of active member under pension age at assessment date)—

Sch 4 para 24(3)(a)

in sub-paragraph (3)(a) after “including” insert “ any actuarial increase under paragraph 25A and ”,

Sch 4 para 24(3)(b)

in sub-paragraph (3)(b) after sub-paragraph (ii) insert—, and

Sch 4 para 24(3)(c)

after sub-paragraph (3) insert—

Sch 4 para 24(4)

In paragraph 18 (periodic compensation for widow or widower of deferred member under pension age at assessment date)—

Sch 4 para 24(4)(a)

in sub-paragraph (3)(a) after “including” insert “ any actuarial increase under paragraph 25A and ”,

Sch 4 para 24(4)(b)

in sub-paragraph (3)(b) after sub-paragraph (ii) insert—, and

Sch 4 para 24(4)(c)

after sub-paragraph (3) insert—

Sch 4 para 25

In paragraph 24(1) (commutation of periodic compensation) for “becomes payable” substitute “ commences ”.

Sch 4 para 26
Sch 4 para 26(1)

In paragraph 25B (eligibility for terminal illness lump sum)—

Sch 4 para 26(1)(a)

in sub-paragraph (4) in the definition of “relevant age”—

Sch 4 para 26(1)(a)(i)

in paragraph (a) omit “or deferred” and “or (as the case may be) 25A”, and

Sch 4 para 26(1)(a)(ii)

in paragraph (b) omit “or deferred”, and

Sch 4 para 26(1)(b)

after sub-paragraph (4) insert—

Sch 4 para 26(2)

In paragraph 25E (effect of successful application for terminal illness lump sum) after sub-paragraph (6) insert—

Sch 4 para 27
Sch 4 para 27(1)

Paragraph 28 (annual increase in periodic compensation) is amended as follows.

Sch 4 para 27(2)

In sub-paragraph (3)—

Sch 4 para 27(2)(a)

in the definition of “underlying rate” for “any of the paragraphs mentioned in sub-paragraph (1)” substitute “ paragraph 3 or 22 ”, and

Sch 4 para 27(2)(b)

after that definition insert—

Sch 4 para 27(3)

In sub-paragraph (5)—

Sch 4 para 27(3)(a)

in paragraph (a) for the second “the” substitute “ each ”,

Sch 4 para 27(3)(b)

omit the “and” at the end of that paragraph, and

Sch 4 para 27(3)(c)

after paragraph (b) insert—

Sch 4 para 27(4)

After sub-paragraph (5) insert—

Sch 4 para 28
Sch 4 para 28(1)

In paragraph 29 (Board's powers to alter rates of revaluation and indexation) after sub-paragraph (6) insert—

Sch 4 para 28(2)

In paragraph 30 (Secretary of State's powers to vary percentage paid as compensation) after sub-paragraph (6) insert—

Pension compensation sharing: postponement of compensation

Sch 4 para 29

Schedule 5 to the Pensions Act 2008 (pension compensation payable on discharge of pension compensation credit) is amended as follows.

Sch 4 para 30
Sch 4 para 30(1)

Omit paragraph 11 (deferral of compensation).

Sch 4 para 30(2)

In Part 4 after the Part heading insert—

Sch 4 para 31
Sch 4 para 31(1)

In paragraph 4(3) (periodic compensation for transferee over pension compensation age on transfer day)—

Sch 4 para 31(1)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 31(1)(b)

after that paragraph insert—.

Sch 4 para 31(2)

In paragraph 4(4) (provisions to which paragraph 4 is subject) after “subject to” insert “ paragraph 16A (postponement of compensation) and ”.

Sch 4 para 31(3)

In paragraph 6(3) (periodic compensation for transferee under pension compensation age on transfer day)—

Sch 4 para 31(3)(a)

omit “and” at the end of paragraph (b), and

Sch 4 para 31(3)(b)

after that paragraph insert—.

Sch 4 para 31(4)

In paragraph 6(4) (provisions to which paragraph 6 is subject)—

Sch 4 para 31(4)(a)

omit the entry for paragraph 11,

Sch 4 para 31(4)(b)

omit “and” at the end of the entry for paragraph 15, and

Sch 4 para 31(4)(c)

after that entry insert— “ paragraph 16A (postponement of compensation), and ”.

Sch 4 para 32
Sch 4 para 32(1)

In paragraph 5 (periodic compensation for widow etc of transferee over pension compensation age on transfer day)—

Sch 4 para 32(1)(a)

in sub-paragraph (3) after “(including” insert “ any actuarial increase under paragraph 16A and ”, and

Sch 4 para 32(1)(b)

after sub-paragraph (3) insert—

Sch 4 para 32(2)

In paragraph 7 (periodic compensation for widow etc of transferee under pension compensation age on transfer day)—

Sch 4 para 32(2)(a)

in sub-paragraph (3)(a) after “(see paragraph 8)” insert “ , any actuarial increase under paragraph 16A ”,

Sch 4 para 32(2)(b)

in sub-paragraph (3)(b) after sub-paragraph (ii) insert—, and

Sch 4 para 32(2)(c)

after sub-paragraph (3) insert—

Sch 4 para 33

In paragraph 9(1) (commutation of periodic compensation) for “becomes payable” substitute “ commences ”.

Sch 4 para 34
Sch 4 para 34(1)

In paragraph 12 (eligibility for terminal illness lump sum)—

Sch 4 para 34(1)(a)

in sub-paragraph (4) in the definition of “relevant age”—

Sch 4 para 34(1)(a)(i)

in paragraph (a) omit “or deferred” and “or (as the case may be) 11”, and

Sch 4 para 34(1)(a)(ii)

in paragraph (b) omit “or deferred”, and

Sch 4 para 34(1)(b)

after sub-paragraph (4) insert—

Sch 4 para 34(2)

In paragraph 15 (effect of successful application for terminal illness lump sum) after sub-paragraph (3) insert—

Sch 4 para 35
Sch 4 para 35(1)

Paragraph 17 (annual increase in periodic compensation) is amended as follows.

Sch 4 para 35(2)

In sub-paragraph (4) in the definition of “the underlying rate”—

Sch 4 para 35(2)(a)

omit “and” at the end of paragraph (a), and

Sch 4 para 35(2)(b)

after that paragraph insert—.

Sch 4 para 35(3)

In sub-paragraph (7)—

Sch 4 para 35(3)(a)

after “references in” insert “ paragraph (a) of ”, and

Sch 4 para 35(3)(b)

at the end insert “ (and paragraph (aa) of the definition applies accordingly). ”

Sch 4 para 35(4)

After sub-paragraph (7) insert—

Sch 4 para 36

In paragraph 20 (Board's power to alter rates of revaluation and indexation) after sub-paragraph (5) insert—

Calculation of compensation: admissible rules etc

Sch 4 para 37
Sch 4 para 37(1)

Schedule 7 to the Pensions Act 2004 (pension compensation provisions) is amended as follows.

Sch 4 para 37(2)

In paragraph 3(6) (pensions in payment at assessment date) for “35(3)” substitute “ 35(3A) ”.

Sch 4 para 37(3)

In paragraph 5(5) (pensions postponed at assessment date) for “35(3)” substitute “ 35(3A) ”.

Sch 4 para 37(4)

In paragraph 35 (admissible rules, recent discretionary increases etc)—

Sch 4 para 37(4)(a)

for sub-paragraph (3) substitute—, and

Sch 4 para 37(4)(b)

in sub-paragraph (4) for “sub-paragraph (3)” substitute “ sub-paragraphs (3) and (3A) ”.

Sch 5

Contributions towards cost of judicial pensions etc

Sch 5

Contributions towards cost of judicial pensions

District Judges (Magistrates' Courts) Pensions Act (Northern Ireland) 1960 (c. 2 (N.I.))

Sch 5 para 1
Sch 5 para 1(1)

The District Judges (Magistrates' Courts) Pensions Act (Northern Ireland) 1960 is amended as follows.

Sch 5 para 1(2)

Before section 9 (and after the heading “Contributions”) insert—

Sch 5 para 1(3)

In section 10(a) (district judges (magistrates' courts) serving again after retirement) after “any contribution” insert “ by virtue of section 9 ”.

Judicial Pensions Act 1981 (c. 20)

Sch 5 para 2
Sch 5 para 2(1)

The Judicial Pensions Act 1981 is amended as follows.

Sch 5 para 2(2)

In section 25(1)(a) (persons serving again after retirement) after “any contribution” insert “ by virtue of section 23 ”.

Sch 5 para 2(3)

After section 33 insert—

Sch 5 para 2(4)

In Schedule 1 (certain Senior Courts and county court officers and President of Transport Tribunal) in paragraph 3(2)(b) after “Part II” insert “ and section 33ZA ”.

Constitutional Reform Act 2005 (c. 4)

Sch 5 para 3
Sch 5 para 3(1)

Paragraph 4 of Schedule 7 to the Constitutional Reform Act 2005 (Lord Chancellor's protected functions) is amended as follows.

Sch 5 para 3(2)

In the entries relating to the Judicial Pensions Act 1981 at the appropriate place insert “ Section 33ZA. ”

Sch 5 para 3(3)

In the entries relating to the Judicial Pensions and Retirement Act 1993 at the appropriate place insert “ Section 9A. ”

Sch 5 para 3(4)

In the entries relating to the District Judges (Magistrates' Courts) Pensions Act (Northern Ireland) 1960 at the appropriate place insert “ Section 8A. ”

Sch 5

Minor amendments relating to judicial pensions

Sheriffs' Pensions (Scotland) Act 1961 (c. 42)

Sch 5 para 4

In section 9A of the Sheriffs' Pensions (Scotland) Act 1961 (appeals) after subsection (4) insert—

Judicial Pensions Act 1981 (c. 20)

Sch 5 para 5

In section 32A of the Judicial Pensions Act 1981 (appeals) after subsection (5) insert—