Local Government Pension Scheme Appeal Determination By The Secretary of State

Our Ref: LGR85/19/G

5 November 1998

LOCAL GOVERNMENT PENSION APPEAL

LOCAL GOVERNMENT PENSION SCHEME REGULATIONS 1995 (the 1995 regulations)

LOCAL GOVERNMENT PENSION SCHEME REGULATIONS 1997 (the 1997 regulations)

1. I refer to your undated letter, which we received on 9 October 1998, 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 upheld the decision of the XXX Fund (the fund) that you are not entitled to enhancement of your local government pension scheme (LGPS) benefits as you do not qualify for such an award under regulation D7 of the 1995 regulations. He also found that there was no scope to award enhancement to the benefits you were receiving under regulation D11 of the 1995 regulations. You maintain that you are entitled to 6_ years additional membership enhancement of your pension awarded on ill-health grounds.

3. Question for determination: The question for determination is whether you are entitled to enhancement of your pension on ill-health grounds.

4. Secretary of State’s determination: The Secretary of State has given careful consideration to the evidence and to the regulations which, in his view, apply. He finds that you are not entitled to enhancement of your ill-health pension. His decision confirms that of the Appointed Person. The Secretary of State’s reasons and the regulations which he considers apply in this case are set out in the annex to this letter, which forms an integral part of the determination. He is acting judicially and has no power to modify the application of the regulations to the facts of the case. Having made his determination he has no power to alter it but you may refer the matter to the Pensions Ombudsman or the High Court. Because of this, the Secretary of State’s officials cannot discuss the case further.

5. This completes the second stage of the internal disputes resolution procedure. The Pensions Advisory Service (OPAS) is available to assist members and beneficiaries in connection with difficulties which they have failed to resolve. The address is 11 Belgrave Road, London, SE1V 1RB (telephone number 0171 233 8080).

6. The Pensions Ombudsman may investigate and determine any complaint or dispute of fact or law in relation to the local government pension scheme 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).

EVIDENCE RECEIVED

1. Undated letter from Mr XXX, with enclosures.

REGULATIONS CONSIDERED AND REASONS FOR DECISION

2. From the evidence submitted the following relevant points have been noted:

a. you were employed by XXX Airport from 1971;

b. on 26 March 1997 you transferred with your job to XXX Ltd (the company), when the airport was privatised;

c. you decided to leave your local government pension benefits in the local government pension scheme (LGPS);

d. you were made redundant from the company on 2 March 1998; and

e. on 16 March 1998 your preserved LGPS benefits were brought into payment early on the grounds of ill-health.

3. The Secretary of State in reaching his decision has had regard to the regulations which, in his view, apply. Your LGPS pension was brought into payment early due to ill-health, under regulation D11 of the 1995 regulations. There are no provisions for enhancement of a LGPS pension to be paid in these circumstances. Enhancement may be paid were a person is awarded an ill-health pension under regulation D7 of the 1995 regulations. Among other things, this regulation only applies where the person is permanently incapacitated when they cease their local government employment. It does not apply to your case because when you ceased your local government employment you transferred to the company and there is no evidence to suggest that you were permanently ill at that time.