Schedule 3 - Early leavers: transfer values

Part of Pension Schemes Bill – in a Public Bill Committee at 2:15 pm on 28th October 2014.

Alert me about debates like this

“Pension credits: transfer values

10 Chapter 2 of Part 4A of the Pension Schemes Act 1993 (pension credit benefit: transfer values) is amended as follows.

11 In section 101F (power to give transfer notice), in subsection (4)(a), for “salary related occupational pension scheme” substitute “scheme to which section 101H applies”.

12 In section 101G (restrictions on power to give transfer notice), in subsection (1), for “salary related occupational pension scheme” substitute “scheme to which section 101H applies”.

13 (1) Section 101H (salary related schemes: statements of entitlement) is amended as follows.

(2) For subsection (1) substitute—

“(1) This section applies to a qualifying scheme that is—

(a) a defined benefits scheme,

(b) a shared risk scheme, or

(c) a defined contributions scheme that is not a scheme under which all the benefits that may be provided are money purchase benefits,

other than a scheme that falls within a prescribed class.

(1A) The trustees or managers of a scheme to which this section applies must, on the application of any eligible member, provide the member with a written statement of the amount of the cash equivalent of the member’s pension credit benefit under the scheme.”

(3) In subsections (2) and (3), for “(1)” substitute “(1A)”.

(4) In subsection (4)—

(a) for “to whom subsection (1)” substitute “of a scheme to which this section”;

(b) for “that subsection” substitute “subsection (1A)”.

(5) In the heading, for “Salary related schemes” substitute “Schemes with a promise or target”.

14 (1) Section 101J (time for compliance with transfer notice) is amended as follows.

(2) In subsection (1), for paragraphs (a) and (b) substitute—

“(a) in the case of a scheme to which section 101H applies, within 6 months of the valuation date, and

(b) in the case of any other scheme, within 6 months of the date on which the notice is given.”

(3) For subsection (7) substitute—

“(7) In subsection (1)(a), “valuation date” means the date by reference to which the amount shown in the relevant statement under section 101H is determined.”

15 (1) Section 101P (interpretation) is amended as follows.

(2) Omit subsection (2).

(3) In subsection (3), for “salary related occupational pension scheme” substitute “scheme to which that section applies”.”