LOCAL GOVERNMENT PENSION APPEAL

 

SUPERANNUATION ACT 1972

LOCAL GOVERNMENT PENSION SCHEME REGULATIONS 1995 (the 1995 regulations)

LOCAL GOVERNMENT PENSION SCHEME REGULATIONS 1997 (the 1997 regulations)

 

 

1.                  I refer to your letter of 8 February 1999 in which you appeal (under regulation 102 of the 1997 regulations) to the Secretary of State for the Environment, Transport and the Regions against the decision of Mr XXX, the Appointed Person.

2.                  The Appointed Person decided not to award you compensation following the decision of XXX Fund (the fund) to pay your local government pension scheme (LGPS) retirement benefits at your normal retirement age (that is from your 65th birthday) because you did not make an election under the 1995 regulations to receive them earlier.  You allege maladministration against XXX Council and the fund.  You maintain they did not give the option to receive payment of your pension when you ceased employment on 2 April 1996 at the age of 62.

3.                  The Secretary of State’s powers under regulations 102 and 103 of the 1997 regulations are to reconsider the original disagreement referred to the Appointed Person under regulation 100.  This regulation refers to a matter relating to the LGPS, which effectively means whether the LGPS regulations have been correctly applied in the circumstances.  There are no provisions to award compensation where claims are made that information has not been provided with regard to the LGPS.  Like the Appointed Person the Secretary of State has no powers to direct a local authority to act outside the provisions of the regulations.

4.                  The question for decision: The question for decision by the Secretary of State is whether you are entitled to receive compensation because you did not receive your retirement pension from when you ceased local government employment on 2 April 1996.

5.                  Secretary of State’s decision: The Secretary of State has taken into account the appropriate regulations.  He finds that whether or not you were informed of your entitlement to elect to receive your retirement pension, actuarially reduced, from when you ceased local government employment on 2 April 1996, there are no powers to award compensation where no such election is made and pension is not paid until normal retirement age.  Although you allege maladministration, even if this were proved, the Secretary of State has no appropriate powers to order redress in the context of a pensions appeal.  The Secretary of State cannot therefore reasonably consider this issue.  His decision confirms that made by the Appointed Person.  He is acting judicially and has no power to modify the way the regulations apply to the facts of the case.  Having made his decision he has no power to alter it but you may refer the matter to the Pensions Ombudsman or to the High Court.  Because of this the Secretary of State’s officials cannot discuss the case further.

6.                  This completes the second stage of the internal disputes resolution procedure.  As you are aware the Pensions Advisory Service (OPAS) is available to assist members and beneficiaries in connection with difficulties which they have failed to resolve.  Their address is 11 Belgrave Road, London, SW1V 1RB (telephone number 0171 233 8080).

7.                  The Pensions Ombudsman may investigate and determine any complaint or dispute of fact or law in relation to the LGPS made or referred in accordance with the Pensions Schemes Act 1993.  His address is 11 Belgrave Road, London, SW1V 1RB (telephone number 0171 834 9144).

8.                  A copy of this letter has been sent to the Appointed Person and to your pension manager.