584 INDEX Our Ref: LGR85/18/200
14 July 1999
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 17 June 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. The Appointed Person upheld the decision of XXX Council (the council) that they cannot replace your local government pension scheme (LGPS) long-term widow’s pension with a lump sum payment.
2. The Secretary of State’s powers under regulations 102 and 103 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 effective means whether the statutory provisions governing the LGPS have been correctly applied in the circumstances. The Appointed Person and the Secretary of State have no powers to direct a local authority to act outside the provisions of the regulations.
3. The question for decision: The question for decision by the Secretary of State is whether your long-term widow’s pension (which is paid monthly) can be paid as a one-off lump sum payment.
4. The Secretary of State has considered all the representations and evidence. Copies of the documents supplied by the Appointed Person have been sent to you under cover of the Department’s letter of 29 June 1999.
5. Secretary of State’s decision: The Secretary of State has taken into account the appropriate regulations. He finds that there are no provisions for your long-term widow’s pension to be paid as a one-off lump sum payment. The Secretary of State’s reasons and the regulatory provisions which he considers apply in your case are set out in the annex to this letter, which forms an integral part of this decision. His decision confirms that of the Appointed Person. The Secretary of State 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. The Pensions Advisory Service (OPAS) is available to assist members and beneficiaries in connection with difficulties which they have failed to resolve. His 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. His address is 11 Belgrave Road, London, SW1V 1RB (telephone number 0171 834 9144).
EVIDENCE RECEIVED
1. The following evidence has been received and taken into account:
a) from you: letter dated 17 June 1999; and
b) from the Appointed Person: letter dated 23 June 1999 (with the enclosures listed in the Department’s letter of 29 June 1999).
REGULATIONS CONSIDERED AND REASONS FOR DECISION
2. From the evidence submitted the following relevant points have been noted:
a) your former husband had deferred entitlement to LGPS benefits; and
b) he subsequently died and you were paid a short-term and then a long-term widow’s pension.
3. You explain that you are about to become unemployed due to ill-health. Because of the long-term LGPS widow’s pension you will not be entitled to better benefits. You further explain that you do not want the money (pension) monthly.
4. The Appointed Person found that because your long-term pension was £481.07 per annum when it came into payment in January 1998 the council, in order to comply with the regulations, cannot replace it with a lump sum payment.
5. The Secretary of State in reaching his decision has considered all the evidence and has had regard to the regulations which, in his view, apply. At the time your widow’s pension became payable the 1995 regulations applied. These regulations provide for the widow of an eligible member to be entitled to a widow’s short-term and then a long-term pension (regulations F1 and F2). The 1995 regulations do allow the council to make a one-off payment where the long-term annual pension is less than £260 per year (regulation H5).
6. The Secretary of State notes that at the time your long-term pension was paid in 1998 it was £481.07 per annum. He finds that in the circumstances there are no provisions in the 1995 regulations for your long-term annual pension to be paid as a one-off lump sum. He therefore dismisses your appeal.