The Local Government Pension Scheme Regulations 1997 (As Amended)

The Secretary of State, in exercise of the powers conferred on him by sections 7 and 12 of the Superannuation Act 1972 and of all other powers enabling him in that behalf, after consultation with such associations of local authorities as appeared to him to be concerned, the local authorities with whom consultation appeared to him to be desirable and such representatives of other persons likely to be affected by the Regulations as appeared to him to be appropriate, hereby makes the following Regulations:-

PART II

PRIMARY PROVISIONS

CHAPTER II

COUNTING MEMBERSHIP FOR THE SCHEME

10. (3) The Table in Schedule 3 sets out other sorts of membership which do not count for some purposes.

(4) The first column of that Table describes the membership and the second column specifies the purposes for which such membership does not count.

(5) That Table has effect subject to the notes at the end.

(SI 2008/1083)

CHAPTER III

CONTRIBUTIONS

Meaning of "pay"

13.-(2) But an employee's pay does not include-

(f) any amount treated as the money value to the employee of the provision of a motor vehicle or any amount paid in lieu of such provision (but see paragraphs (8) and (9); or

(g) in the case of an employee or former employee of the Commission for the New Towns, any payment made under any scheme relating to the termination of the employment of employees by the Commission in respect of the completion before a specified date of specified functions; or

(h) a payment made in consequence of a School Achievement Award under the scheme established by the Secretary of State known as the School Achievement Award Scheme.

(8) Where-

(a) a member's contribution under regulation C2 or C3 of the 1986 regulations for a period including 31st December 1992 was based on pay which for the 1986 regulations as then in force included an amount representing the money value to him of the provision of a motor vehicle or an amount in lieu of such provision and immediately before the commencement date his remuneration for the 1995 regulations included such an amount, or

(b) immediately before the commencement date his remuneration for the 1995 regulations included an amount in lieu of the provision of a motor vehicle as referred to in paragraph 7(2)(b) of Schedule C2 to the 1995 regulations,

then his pay includes such an amount.

(9) But paragraph (8) shall cease to apply if-

(a) he leaves employment with the employing authority who were employing him on-

(i) 31st December 1992; or

(ii) where appropriate under the provisions of paragraph 7 of Schedule C2 to the 1995 regulations, on the commencement date of the 1995 regulations,

otherwise than as a result of a transfer to another Scheme employer which is beyond his control; or

(b) he is neither provided with a motor vehicle nor receives an amount representing the money value to him of the provision of such a vehicle.

Optional contributions during absences (SI 2008/2425)

18.-(1) If a member-

(a) is away from his employment with permission (otherwise than because of illness or injury) for a continuous period of more than 30 days, and

(b) is receiving reduced or no pay,

he may make contributions under regulation 17 at the standard contribution rate for the whole period of his absence or, if it exceeds 36 months, for 36 months, on the pay he would have received but for his absence.

(2) If-

(a) a person who is a member or has applied to be a member, is on maternity or adoption leave, other than ordinary maternity or adoption leave, and

(b) for the whole or part of the period of her maternity or adoption absence ("the unpaid period") she is not entitled to receive pay (including any statutory maternity or adoption pay payable to her under the Social Security Contributions and Benefits Act 1992) but is a member,

she may make contributions under regulation 17 at the standard contribution rate as respects the unpaid period, as if her pay in the employment were equal to the pay she was entitled to receive immediately before the unpaid period began (including any such statutory pay, but not any amount by which her actual pay is reduced on account of her possible entitlement to such statutory pay).

(2A) But in calculating the pay on which the contributions are made, any amount the person receives on account of a day’s work carried out under regulation 12A of the Maternity and Parental Leave etc. Regulations 1999 or regulation 21A of the Paternity and Adoption Leave Regulations 2002 that exceeds any maternity, paternity or parental leave pay due for that day, shall be disregarded.

(3) If a person-

(a) is away from work without permission for a period of one or more days during and because of a trade dispute ("a trade dispute absence"), and

(b) was a member immediately before that period (or, where two or more periods of absence have occurred because of one such dispute, the first such period),

he may make a contribution under regulation 17 for the relevant contribution period at the rate of 16 per cent. on his lost pay for that period.

(4) A person's lost pay is the difference between-

(a) his actual pay (if any), and

(b) the pay he would have received but for any trade dispute absence,

(disregarding any guarantee payments under Part III of the Employment Rights Act 1996).

(5) A period is a person's relevant contribution period if-

(a) it is coextensive with one of the intervals at which he was required under regulation 12 to make standard contributions, and

(b) it includes all or part of his trade dispute absence.

(6) To make contributions under this regulation a person must apply to the employing authority in writing before the expiry of the period of 30 days beginning with the day on which he returns to work or such longer period as the authority may allow.

(7) But if he ceases to be employed by that authority without returning to work, he may apply under paragraph (6) before the expiry of the period of 30 days beginning with the day he so ceases or such longer period as they may allow.

(8) An application under paragraph (6) or (7) may be made by the person's personal representatives if he has died without giving notice.

(9) The termination of a person's contract of employment because of a trade dispute does not prevent this regulation applying to him if he again becomes an employee of the same Scheme employer and a member not later than the day after the dispute ends.

CHAPTER IV

BENEFITS

Calculations

20. (4) But;

(a) benefits payable to a pension debit member are reduced as provided in regulation 20A

Pension debit member
20A. - (1) The benefits payable to a pension debit member shall be reduced to take into account the debit to which the shareable rights of the pension debit member are subject under a pension sharing order.

(2) The amount of the reduction shall be calculated in accordance with guidance issued by the Government Actuary.

Permanent reductions in pay: certificates of protection of pension benefits

23.-(1) Where a certificate has been issued as respects a member's pay under paragraph (3) or (4) and the date of reduction or, as the case may be, restriction specified in the certificate is not more than 10 years before the date on which he ceases to be an active member, he may elect that his final pay period should be-

(a) a year ending with a day-

(i) falling within the period of five years ending with the last day he was an active member, and

(ii) of which that last day is the anniversary; or

(b) any three consecutive years-

(i) falling within the period of 13 years ending with the last day he was an active member, and

(ii) ending with a day of which that last day is the anniversary.

(2) Where a member elects for the period specified in paragraph (1)(b), his final pay is the annual average of his pay during that period.

(3) If, otherwise than by virtue of a member's own circumstances-

(a) his rate of pay is reduced, or

(b) the rate at which it may be increased is restricted in such a way that it is likely that the rate of his retirement pension will be adversely affected,

he is entitled to be issued with a certificate to that effect by the employing authority (but see paragraph (4)).

(3A) A member is not entitled to be issued with a certificate under this regulation if the reduction in his rate of pay-

(a) is temporary, or

(b) consists in the termination of, or a reduction in, a temporary increase in the rate of pay.

(4) The employing authority may issue a certificate without an application from the member, but need not issue a certificate if he does not apply for one within 12 months after the date of reduction or restriction.

(5) A certificate issued under this regulation must specify the date of the reduction or restriction.

(6) The employing authority must send a copy of the certificate to the member's appropriate administering authority.

(7) The employing authority must keep a record of the certificate including such information as would be necessary for applying paragraph (1) for the period of 10 years beginning with the date of reduction or restriction specified in it.

(8) An election under this regulation by a member must be made by notice in writing given to the appropriate administering authority before the expiry of the period of one month beginning with the date on which he is notified of his entitlement to a benefit.

(9) Where a member has died without having made an election under this regulation, the appropriate administering authority may make an election on his behalf (whether or not the period within which he could have elected has expired).

Death Grants

Death Grants (SI 2008/2425)

38. 1) If a member dies before his 75th birthday, the administering authority at their absolute discretion may make payments to or for the benefit of the member's nominee or personal representatives or any person appearing to the authority to have been his relative or dependant at any time.

(2) The aggregate amount paid under paragraph (1) must not exceed the member's death grant.

(3) The multiplier for an active member's death grant is 2.

(4) The multiplier for a deferred member's death grant is

the same as for his retirement grant.

(5) The multiplier for a pensioner member's death grant is 5, but the amount so calculated is reduced by the amounts of any retirement pension paid to him.

(5A) The multiplier for the death grant of a member who remains in service after his 65th birthday as referred to in regulation 25A(1) is whichever of-

(a) 2, or

(b)

3 x the member's total membership
80

gives the greater amount.

(6) If the administering authority have not made payments under paragraph (1) equalling in aggregate the member’s death grant before the expiry of two years—

(a) beginning with his death or
(b) beginning with the date on which the administering authority could reasonably be expected to have become aware of the member’s death,

they must pay an amount equal to the shortfall to the member’s personal representatives.

(7) For these Regulations, any payments made under paragraph (1) must be treated as payments made by way of death grant.

Surviving spouse's or civil partner's pensions

Reduction of some surviving spouses' pensions

42.-(1) Where a male pensioner member or deferred member marries and dies, the pension to which his widow is entitled under regulation 40 or 41 is calculated as if his retirement pension were only so much of his actual pension as is attributable to the period of his membership in contracted-out employment after 5th April 1978.

(2) Except in the case of a short term pension payable to the widower of an active member, the pension to which a widower is entitled under regulation 40 or 41 is calculated as if the member's retirement pension were only so much of her actual pension as is attributable to her membership after 5th April 1988.

(3) But relevant additional membership also counts as membership after that date where the widower was married to the member at some time while she was in local government employment after 31st March 1972.

(4) Relevant additional membership is membership-

(a) forming the enhanced element of a member's total period of membership by virtue of a retirement to which regulation 28 applied after 5th April 1988,

(b) added by virtue of a resolution under Chapter II of Part III or regulation 143 of these regulations or under the Transitional Regulations after that date,

(c) counted by reason of a payment made under Chapter III of Part III or paragraph 7 of Schedule 4 after that date (or treated by the Transitional Regulations as so made),

(d) treated as membership after that date by virtue of the Transitional Regulations, or

(e) attributable to a transfer value accepted by the Scheme after that date.

Children's Pensions

Meaning of "eligible" child

44.—(1) Subject to paragraph (3), the child of a deceased member is an eligible child if he is wholly or mainly dependent on the member, and is less than 18 years of age, at the date of the member’s death.

(2) But a child who is born on or after the first anniversary of the date of the member’s death is not an eligible child.

(3) A dependent child who has reached the age of 18 but has not reached the age of 23 and is in full-time education or undertaking vocational training at the date of the member’s death is an eligible child.

(4) An appropriate administering authority may treat a dependent child as an eligible child after he reaches the age of 18 and until he reaches the age of 23 if he commences full time education or vocational training after the date of the member’s death.

(5) In the case of a dependent child falling within paragraph (4), an appropriate administering authority may —

(a) treat education or training as continuous despite a break; and
(b) suspend payment of any entitlement to benefits under regulation 45, 46 and 47 of the 1997 Regulations during a break in education or training.

6) An appropriate administering authority may treat a dependent child who is disabled within the meaning of the Disability Discrimination Act 1995 as an eligible child. (SI 2008/2425)

Part III

Optional Additional Benefits

CHAPTER II

INCREASE OF MEMBERSHIP BY EMPLOYING AUTHORITY

Power of employing authority to increase total membership (SI 2008/2425)

52. (1) An employing authority may resolve to increase the total membership of an active member.

(1A) Where a member leaves his employment by reason of redundancy, a resolution under paragraph (1) may be passed at any time in the period of six months beginning with the date on which the member leaves his employment, but shall be deemed to take effect on the final day of employment, and

“redundancy” includes leaving employment in the interests of efficiency, or because the member held a joint appointment which has been terminated because the other holder has left it.

(2) A member's total additional membership (including additional membership in respect of different employments) must not exceed -

(a) ten years; or

whichever is the shortest.

(6) The relevant additional period may only be counted as a period of membership if-

(a) the administering authority and the employing authority agree before the expiry of the relevant period that the employing authority will pay increased contributions under to meet the cost of the increase in membership, or

(b) the employing authority make the payment required by regulation 80(1) by reason of the resolution within that period.

(7) The relevant period is the period of one month beginning-

(a) with the date the resolution was passed, or

(b) such longer period as the employing authority and the administering authority agree.

(8) If neither paragraph (6)(a) nor (6)(b) applies, the resolution shall cease to have effect.

(10) If a person becomes entitled on leaving an employment to an ill-health pension under regulation 27 calculated by reference to an enhanced membership period, no resolution may be passed under this regulation by reason of his leaving that employment.

(11) An additional period arising from a resolution under this regulation on or after 1st April 2008 shall be treated as a period of membership after that date.

CHAPTER III

MEMBERS' OPTIONS TO INCREASE PENSIONS

Purchase of added years

Payments to increase total membership

55.-(1) An active member may elect to make additional contributions to the Scheme to increase his total membership by an additional period.

(2) That period must not exceed 6 2/3 years.

(3) The election must be made by giving notice in writing to the appropriate administering authority earlier than the member's 64th birthday.

(4) If-

(a) the member's appropriate administering authority pass a resolution requiring him to satisfy them that he is in reasonably good health by producing to them a report by a registered medical practitioner of the results of a medical examination undertaken at the member's own expense, but

(b) they are not so satisfied,

the election is void.

(6) The amounts of the additional contributions must be such percentage of the member's pay for the time being as is shown as appropriate in guidance issued by the Government Actuary.

(7) A member's pay for the time being is the pay received by him for the interval at the end of which the additional contribution falls to be paid.

(8) Where a member is away from work (otherwise than because of illness or injury) with reduced or no pay, for paragraph (7) he is treated as having received the pay he would have received if he had not been away (unless his contract of employment has ceased).

(9) For paragraph (7) any reduction in pay by reason of the actual or assumed enjoyment by the member of any statutory entitlement during any period he is away from work (other than a period of maternity, paternity or adoption absence) shall be disregarded.

(10) If a member continues paying the additional contributions until his last birthday before his NRD (or if his NRD is his birthday, that date), the whole of the additional period may be counted as part of his total membership.

(11) Otherwise, the part of that period which may be so counted must be calculated as specified in regulation 83 (discontinuance of additional contributions).

(12) The additional contributions are payable from the member's next birthday after his election.

CHAPTER IV

ADDITIONAL VOLUNTARY CONTRIBUTIONS

66. (8) A person who made an election under regulation 60(1) prior to 13th November 2001 shall continue to have the rights to make elections as to the use of the accumulated value as under the provisions of this regulation prior to its amendment by the Local Government Pension Scheme (Amendment No. 2) Regulations 2001 and accordingly, so far as is necessary to give effect to those rights and to make provision for any matters incidental to them, those provisions shall be treated as if they had continued in effect. (SI 2008/1083)

PART IV

ADMINISTRATION

CHAPTER I

PENSION FUNDS AND EMPLOYERS' PAYMENTS]

Pension funds

Accounts and audit

76. - (1)After any audit of any pension fund of theirs an administering authority shall immediately send copies-

(a) of the revenue account and balance sheet of the fund, and

(b) of any report by the auditor,

to each body whose employees are active members.

(2) The input period for the purposes of section 238 of the Finance Act 2004 is the year ending 31st March 2007 and each year ending 31st March thereafter.

CHAPTER II

MEMBERS' CONTRIBUTIONS

Discontinuance of additional contributions

83.-(1) A member paying additional contributions under regulation 55 may elect to stop payment and must do so if he ceases to be an active member.

(2) Such an election must be made by notice in writing to the administering authority and the employing authority.

(3) If a member stops paying such contributions before his NRD on leaving his employment because of such permanent incapacity as mentioned in regulation 27(1) or on his death, he is to be treated as having completed payment of those contributions.

(4) If a member stops paying such contributions before his NRD on leaving his employment by reason of redundancy at least 12 months after he elected to pay them, he may elect to make a lump sum payment to the appropriate fund.

(5) Such an election must be made by notice in writing to the administering authority given not later than the expiry of the period of three months beginning on the day after he leaves his employment (or such longer period as they allow).

(6) The amount of that payment must be calculated by an actuary appointed by the appropriate administering authority as representing the capital value of the unpaid contributions.

(7) If the member duly makes that payment before the expiry of the period of one month beginning with the date on which he is notified of its amount, he must be treated as having completed paying his additional contributions under regulation 55.

(8) If a member stops paying such contributions before his NRD and neither paragraph (3) nor (4) applies, such proportion of the original additional period covered by the election may be counted as part of his total membership as the length of the period during which he paid such contributions bears to the length of the full period during which they were to have been paid.

(9) If a member-

(a) stops paying such contributions before his NRD on leaving his employment,

(b) has not become entitled to the payment of any benefit under the Scheme for that employment,

(c) is not treated under this regulation as having completed paying his contributions, and

(d) within 12 months after leaving that employment again enters local government employment, without having received any payment under regulation 87 or 88,

he may pay his employing authority in his new employment an amount equal to the additional contributions that would have been payable if he had not stopped contributing.

(10) If he pays that amount within three months after re-entering local government employment the election under regulation 55 continues in effect and the break in payments must be disregarded.

(11) This regulation does not apply if the member who stops paying contributions receives a return of contributions which includes additional contributions under regulation 55.

(12) In paragraph (4) "redundancy" includes retirement in the interests of efficiency or because the member held a joint appointment which has been ended because the other holder has left it.

CHAPTER IV

DETERMINATIONS, INFORMATION AND RECORDS

Information and records

Provision of information, charging and prescribed persons
108A. - (1) For the purposes of section 172(1) of the Pensions Act 1995 ("the Pensions Act") (prescribed circumstances in which information may be provided) ("the prescribed circumstances") the prescribed circumstances are that the individual to whom the information relates, or, where he has died, his personal representatives, has requested or consented in writing to the provision of the information.

(2) For the purpose of section 172(1) of the Pensions Act (persons to whom information may be provided and the imposition of reasonable fees in respect of expenses incurred in providing that information) the prescribed persons are those persons described in paragraph 1 of Schedule 5A.

(3) For the purposes of section 172(2) of the Pensions Act (persons on whom fees may be imposed in respect of administrative expenses incurred in connection with admission, readmission or payment) the prescribed persons are the persons referred to in paragraph 2 of Schedule 5A.

(4) For the purposes of section 172(4) of the Pensions Act (person prescribed in place of the Secretary of State in the case of an occupational pension scheme under section 7 of the Superannuation Act 1972) an administering authority is a prescribed person.

(5) Where -

(a) information is requested by a prescribed person in the prescribed circumstances in relation to an individual to whom regulation 122A applies for the purpose of establishing what payment would need to be made to the Scheme in respect of the individual to restore the position to what it would have been if the individual had been an active member of the Scheme throughout the period in question ("the restitution payment"), or

(b) an individual to whom regulation 122A applies, applies to become a member of the Scheme or applies to have a restitution payment accepted having become a member of the Scheme after the period in question

the administering authority who maintain the pension fund which would be the appropriate pension fund for that individual shall calculate the restitution payment in accordance with the provisions of regulation 122A.

CHAPTER VI

TRANSFERS

Transfers in

Right to count credited period

122. (6C) A credited period arising from a request to accept a transfer value under regulation 121 which is made by a person who was an active member immediately before 1st April 2008 shall be treated as a period of membership before that date.

(6D) A credited period arising from a request to accept a transfer value under regulation 121 which is made by a person who becomes a member on or after 1st April 2008 shall be treated as a period of membership after that date.

Credited periods for transferring members with mis-sold pension rights

122A. - (1) Regulation 122(3) does not apply where -

(a) the transferring person is a person about whom information may be given under section 172(1) of the Pensions Act 1995 (mis-sold personal pensions), as it has effect in the case of the Scheme (see regulation 108A), and

(b) the transfer value satisfies the conditions specified in paragraph (2)

(and ~~regulation 122(6C)~~ regulation 122(6D) (SI 2008/2425) does not apply to a transfer value credited under this regulation).

(2) Those conditions are -

(a) that it is paid by the trustees or managers of the personal pension scheme mentioned in section 172(1)(a)(ii),

(b) that it represents all the rights relating to the member in that scheme,

(c) that it is paid on an application made to the appropriate administering authority before the expiry of the period of 12 months beginning with the date the transferring person becomes an active member (or such longer period as they may allow); and

(d) that in the opinion of the appropriate administering authority it is not less than the restitution amount.

(3) Where paragraph (1) applies, the credited period is the period of membership the transferring person could have counted if he had been an active member throughout the personal pension period.

(4) The restitution amount is the aggregate -

(a) of the amount that would be necessary (as at the date on which the request for the calculation of the restitution amount is received by the appropriate administering authority) to purchase a period of membership for these regulations equal to the length of the personal pension period on the basis of a transfer from a scheme which is not a club scheme (including the value of rights under the Pensions (Increase) Act 1971 and the Pensions (Increase) Act 1974),

(b) of the transfer value paid out of the Scheme to the personal pension scheme, and

(c) of interest on any such transfer value at such rate as is approved for the time being by the Government Actuary, calculated over the period from the date on which that transfer value was paid out of the Scheme to the date as at which the transfer value is taken to be paid to the Scheme.

(5) The appropriate administering authority must determine the amount mentioned in paragraph (4)(a) in such manner as is for the time being indicated in guidance issued by the Government Actuary.

(6) The personal pension period is the period for which the transferring person was eligible to be an active member but in respect of which he made contributions to the personal pension scheme instead.

(7) Where a transfer value has been accepted in relation to a woman to whom this regulation applies and in respect of whom a transfer value had been paid previously by an administering authority to a personal pension scheme any part of which transfer value was attributable to membership before 5th April 1988, then the credited period shall be apportioned as membership before 6th April 1988 and as membership after 5th April 1988 in the same proportions as it would have been had the woman become or remained a member of the Scheme throughout the personal pension period.

(8) If in the opinion of the appropriate administering authority the transfer value does not satisfy the conditions specified in paragraph (2) for the reason only that it is less than the restitution amount, the appropriate administering authority may accept the transfer value on the basis that the credited period which the member may count is such proportion of the personal pension period as the appropriate administering authority determine.

PART V

SPECIAL CASES

CHAPTER I

ELIGIBILITY

Employees in the Rent Service Agency

130C. - (1) A person may be an active member if he is employed in the service of the Secretary of State's function of providing rent officers with clerical and other assistance as mentioned in regulation 2 of the Transfer of Undertakings (Protection of Employment) (Rent Officer Service) Regulations 1999 and -

(a) immediately before 1st October 1999 he was a member, or eligible to be a member, of the Scheme and was employed by a local authority for the purposes of providing rent officers with clerical and other assistance, and

(b) on 1st October 1999 he became employed in the civil service of the State for the purposes of providing such clerical and other assistance.

(2) For the purposes of these regulations every member within paragraph (1) is deemed to be in employment with the London Pensions Fund Authority.

(3) A person described in paragraph (1) may be a member notwithstanding that he is in employment in the civil service of the State and regulation 6(1) shall not apply.

(SI 2008/2425)

CHAPTER II

MODIFICATIONS FOR CERTAIN EMPLOYEES ETC

Employees of Probation Committees

Employees of National Probation Service local boards

136. - (1) These Regulations apply to a person employed by a National Probation Service local board with the following modifications.

(2) In the application of regulation 11 (length of period of membership) to part-time service as a probation officer, instead of the fraction mentioned in paragraph (4) of that regulation, the appropriate fraction for each year of part-time service is the fraction -

(a) of which the numerator is the pay received by him in the year, and

(b) the denominator is the mean of the annual salary scale applicable to probation officers in respect of that year.

(3) For any year of part-time service before 1st April 1965, paragraph (2) applies as if the mean of the annual salary scale applicable to probation officers in respect of that year was £620 for male officers and £555 for female officers.

(4) Separate calculations must be made for each year of part-time service (and the calculations must be adjusted appropriately for periods of part-time service of less than a year).

(5) In the application of regulation 28(5) (enhanced membership periods in cases of ill-health) the appropriate fraction is the fraction specified in paragraph (2).

City of London and other contributory employees

Certain City of London employees and former contributors

137. Schedule 6 (certain City of London employees and other contributory employees) shall have effect.

Members of local authorities - general

137A. These Regulations apply to councillor members in respect of their councillor membership with the modifications set out in Schedule 8.

Local government re-organisation

Transfers under the Local Government Act 1992 etc.

138.-(1) Where-

(a) a person leaves an employment in relation to which he is an active member, because he is transferred to another employment in the circumstances set out in paragraph (2), and

(b) apart from this paragraph, he would not be treated for regulation 31 (early leavers) as leaving a local government employment,

he must be so treated for that regulation.

(2) Those circumstances are-

(a) that he leaves that employment as a result of a transfer to another employment which is-

(i) an employment with the same employing authority at lower pay, or

(ii) an employment with a different employing authority; and

(b) that transfer is made by virtue or in consequence of-

(i) an order made under section 17 of the Local Government Act 1992,

(ii) the Local Government (Wales) Act 1994, or

(iii) the transfer to the Environment Agency under section 3(1)(a)(ii) or (b)(ii) of the Environment Act 1995 of the property, rights and liabilities of a waste regulation authority in England or Wales (as defined in section 56 of that Act).

Local government reorganisation

139.-(1) The Scheme applies, in relation to a transferred employee, as if his new employment and his former employment had been one continuous employment (but see paragraph (3)).

(2) Transferred employees who are active members immediately before their transfer continue to be active members in their new employment.

(3) Where-

(a) immediately before the transfer of a transferred employee it was the usual practice of the body employing him to exercise any discretionary power exercisable by them by virtue of any enactment relating to pensions so as to pay or increase the payment of allowances or pensions for employees of his description, and

(b) that power or any corresponding one becomes exercisable in relation to him,

the new employing body shall exercise the power in a way which is not less beneficial than the general character of that practice.

(4) Paragraph (3) also applies where it was the usual practice of the Greater London Council or a metropolitan county council to exercise a discretionary power which has become exercisable by another body in consequence of regulation 3(1) of the Local Government Superannuation (Miscellaneous Provisions) Regulations 1986 in a way that was beneficial to employees.

(5) A transferred employee is-

(a) a person transferred on or after 1st April 1974-

(i) by or under a relevant statutory order, regulations, agreement or scheme; or

(ii) by the operation of the Public Libraries and Museums Act 1964;

(b) any person appointed by a local authority, or the National Water Council or a water authority (as defined in the Water Act 1973) to hold any office or employment before or as from 1st April 1974 who, but for the appointment, would have been transferred on that day under section 255 of the Local Government Act 1972; and

(c) any person who on 1st April 1974 remained in the employment of the same body as immediately before that day but who, in consequence of the Local Government Act 1972, or anything done under that Act, or of the 1974 regulations, became on that day entitled to participate in a superannuation fund maintained under those regulations by a different body from the body which maintained the superannuation fund he was entitled to participate in immediately before that day.

(6) These are relevant statutory orders, regulations, agreements and schemes-

(a) an order made under section 84 of the London Government Act 1963 or an agreement made under section 24(7) of that Act;

(b) a scheme made under Part I of the Police Act 1964;

(c) an order made under section 17 of the Transport Act 1968;

(d) an order made under section 46 of the Children and Young Persons Act 1969;

(e) an order or regulations made under the Local Government Act 1972 which, in accordance with the provisions of section 255 of that Act, contains a provision as to the transfer of that person;

(f) regulation 5 of and Schedule 1 to the Valuation and Community Charge Tribunals (Transfer of Jurisdiction) Regulations 1989.

(7) For this regulation where paragraph (5)(b) applies the taking up of the office or employment to which the appointment is made is a transfer.

Former employees of Manchester Corporation

140.-(1) This regulation applies where a transferred employee (as defined in regulation 139(5)) was a contributor to the Manchester pension fund immediately before his transfer and has continued in the employment of the body to whom he was transferred.

(2) Where this regulation applies-

(a) references in these Regulations to old statutory provisions must be taken as references to the Manchester pension provisions or to the particular corresponding provision of the Manchester pension provisions, as the case may be;

(b) references to old funds must be taken as references to the Manchester pension fund;

(c) references to contributory employees must be taken as references to contributors to that fund.

(3) The old statutory provisions are-

(a) the Acts of 1937 to 1953, or the regulations made under them (including those provisions applying as amended or extended by any local Act or scheme or together with any such provisions);

(b) the former regulations or a provision in the former regulations.

(4) The Manchester pension fund is the pension fund maintained immediately before 1st April 1974 by the Manchester City Council for the officers and servants of the Manchester Corporation.

(5) The Manchester pension provisions are the provisions of the enactments, and of the schemes and other instruments in force under them immediately before 1st April 1974, relating to the Manchester pension fund (including the provisions of the Acts of 1937 to 1953 and of any relevant instruments under them so far as applicable to that fund).

Transferees under s. 18(4)(a) of the National Health Service Reorganisation Act 1973

141.-(1) This paragraph applies to any person who was transferred to the employment of a Scheme employer ("the new employment") by or under an order made under section 18(4)(a) of the National Health Service Reorganisation Act 1973 and immediately before that transfer was in an employment ("the old employment") in which he was an officer (as defined in the Health Service regulations).

(2) If immediately before his transfer he was a person in respect of whom the Secretary of State-

(a) paid contributions under regulation 45 of the Health Service regulations (persons subject to non-statutory superannuation schemes and arrangements), or

(b) carried out any such scheme or arrangements as are referred to in that regulation,

then, that person shall only be subject to the provisions of these Regulations mentioned in paragraph (4).

(3) The body to which he was transferred shall-

(a) if immediately before 1st April 1974 the Secretary of State was paying under regulation 45 of the Health Service regulations in respect of that person the contributions authorised or required by the relevant scheme to be paid by the employer, pay those contributions, and

(b) deduct from the person's pay the amount of any contribution required by the scheme or under the arrangements to be paid by the employee.

(4) In relation to a person who gave notice under regulation J17(3)(e) of the 1974 regulations that he did not wish to avail himself of the benefits provided under those regulations and to whom regulation H6(5) of the 1986 regulations applied immediately before the commencement date of the 1995 Regulations, these Regulations-

(a) have effect as if they conferred on him rights corresponding with those which he would have enjoyed if he had remained subject to the provisions of the Health Service regulations, and

(b) continue so to apply so long as he is employed without a disqualifying break of service by a Scheme employer on duties reasonably comparable to those on which he was engaged immediately before he was transferred.

(5) Where paragraph (4) applies the modifications mentioned in paragraphs (6) and (7) apply.

(6) Regulations 109 and 110 (abatement of retirement pensions during new employment) apply instead of regulation 39 of the Health Service regulations and-

(a) as if "retirement pension" included a pension payable by virtue of paragraph (4), and

(b) in any case where the final pay of a former employment must be ascertained, as if entitlement to such a pension were not an entitlement under the Scheme.

(7) Regulations 111 (forfeiture) and regulation 112 (interim payments directions) have effect instead of regulation 55 of the Health Service regulations.

(8) The Health Service regulations are the National Health Service (Superannuation) Regulations 1961 to 1973 as in force immediately before 1st April 1974.

Reduction of pensions of certain former teachers

Deduction for teachers' pension payments

142.-(1) This regulation applies where a person-

(a) becomes entitled to be paid a retirement pension under the Scheme which is calculated by reference to section 17 teacher's membership, and

(b) has a potential retirement payment as a teacher.

(2) The amount receivable by him in any year in respect of that retirement pension must be reduced by the amount of that payment.

(3) A person has a potential retirement payment as a teacher in any year if-

(a) any amount is receivable by him in that year by virtue of the Teachers' Acts, or

(b) any sums are payable to him in that year under the Teachers' regulations,

and the aggregate of that amount and sums is the amount of that payment.

(4) If a capital payment has been paid or is payable at any time under the Teachers' Acts or the Teachers' regulations, such proportion of that payment as is indicated in guidance issued by the Government Actuary must be treated as a sum receivable by him in any year by virtue of the Teachers' Acts or the Teachers' regulations (but see paragraph (7)).

(5) If a sum representing a return of contributions in respect of a period of service which has been taken into account in calculating the amount of the retirement pension has been paid or is payable at any time under the Teachers' Acts or the Teachers' regulations, then, in computing the reduction under paragraph (2), such proportions-

(a) of the amount he has become entitled to be repaid at the date on which he became entitled to the pension, and

(b) of the amount representing the balance of his contributions under the Teachers' Acts or the Teachers' regulations which he may become entitled to be repaid after that date,

as are indicated in guidance issued by the Government Actuary must be treated as a sum receivable by him by virtue of the Teachers' Acts or payable to him by virtue of the Teachers' regulations in any year (but see paragraph (7)).

(6) But if, after paragraph (5) has become applicable to a person, a repayment of the amount representing the balance of his contributions under the Teachers' Acts or the Teachers' regulations is made to him, then, in computing the reduction under paragraph (2), paragraph (5) shall continue to apply as before as respects the repaid amount and no further account shall be taken of it.

(7) If-

(a) after paragraph (5) has become applicable to a person a superannuation allowance under the Teachers' regulations is granted to him, and

(b) the aggregate amount of the deductions previously made from his retirement pension by virtue of that paragraph is less than any lump sum granted to him under the Teachers' Acts or the Teachers' regulations,

then-

(i) that paragraph ceases to have any further effect in relation to him, and

(ii) for paragraph (4) the amount so granted shall be deemed to be the difference between that amount and that aggregate amount.

(8) The amount of a person's potential retirement payment is calculated without taking into account-

(a) deductions under the avoidance of duplicate pensions provisions, or

(b) any surrender of annual retirement pension he has made in accordance with regulation E11 of the Teachers' Superannuation (Consolidation) Regulations 1988, Part VI of the Teachers' Superannuation Regulations 1967 or Part III of the Teachers' Superannuation Regulations 1976.

(9) Section 17 teacher's membership is membership deriving from service the pensioner was entitled to count under section 17 of the Local Government Superannuation Act 1937 (teachers).

(10) The Teachers' Acts means section 9 of the Superannuation Act 1972 and the Teachers (Superannuation) Acts 1918 to 1945.

(11) The Teachers' regulations means the Teachers' Superannuation (Consolidation) Regulations 1988, the Teachers' Superannuation Regulations 1967 to 1974, and the Teachers' Superannuation Regulations 1976.

(12) The avoidance of duplicate pensions provisions are-

(a) section 7 of the Teachers (Superannuation) Act 1925,

(b) regulation 52 of the Teachers' Superannuation Regulations 1967,

(c) regulation 77 of the Teachers' Superannuation Regulations 1976, and

(d) regulation E9 of the Teachers' Superannuation (Consolidation) Regulations 1988.

Environment Agency Closed Fund

The Environment Agency Closed Fund

144.-(1) Part IV applies to the Environment Agency Closed Fund with the following modifications.

(2) Omit regulations 75, 76 and 78 to 81.

(3) In regulation 77-

(a) omit paragraph (1)(c) and the word "and" immediately preceding it;

(b) for paragraphs (3) to (7) substitute-

"(3) After obtaining a valuation under paragraph (1) the Environment Agency must obtain from the same actuary a certificate specifying the amount by which in his opinion the value of the assets of the fund exceeds or, as the case may be, falls short of, the amount required to meet its existing and prospective liabilities.";

(c) omit paragraph (10)(b) and (c).

(4) The Environment Agency Closed Fund is the Closed Fund vested in the Environment Agency by regulation 2(1) of the Local Government Pension Scheme (Environment Agency) Regulations 1996.

Former members of the Metropolitan Civil Staffs Superannuation Scheme
144A. Schedule 7 (Former members of the Metropolitan Civil Staffs Superannuation Scheme) shall have effect.

Meat Hygiene Service
144B. - (1) The NRD of a person to whom this paragraph applies shall be 60 and -

(a) regulations 25, 31(7), 55(10), 56(6), 66(10), 83, 93(2) and 122(4) shall be construed accordingly, and

(b) references to "65" or "65th birthday" in regulations 27(5), 28(3), 46(8)(b) and 52(2)(c) shall be construed as references to "60" and "60th birthday".

(2) Regulation 31(4) shall not apply to such a person.

(3) Paragraph (1) applies to a person who became a member of the Scheme as a consequence of being specified in, or being included in a specified class of employees specified in, an admission agreement made on or after 24th October 1994 and before 4th March 1997 between the London Pensions Fund Authority and the Minister of Agriculture, Fisheries and Food.".

Rights under section 12 of the Superannuation Act 1972

145.-(1) If, apart from this regulation, any provision of these regulations, which re-enacts with any modification any provision of the Scheme which ceases to have effect by virtue of the Transitional Regulations in relation to any person to whom a relevant benefit is or may become payable, would place him in a worse position in relation to that benefit than that he would have been in if that modification had not been made and he makes an election under this paragraph, these regulations shall have effect, in relation to him and to that benefit, as if these regulations had re-enacted that provision of the Scheme without modification (but see paragraph (4)).

(2) An election under paragraph (1) must be made by notice in writing given to the appropriate administering authority within the period of six months beginning with the commencement date.

(3) In this regulation-

"relevant benefit" means a benefit payable to, or in respect of, a person who before the commencement date-

(a) ceased to hold an employment in which he was an active member (whether or not he has subsequently become an active member again); or

(b) died while in such employment; and

"benefit" includes a return of contributions and any pension payable to a widow, widower or any dependant by virtue of a surrender.

(4) If an election under paragraph (1) is made in relation to a benefit in respect of a person who is an active member, or subsequently becomes an active member again-

(a) the election shall have effect in relation to the benefit only to the extent that it accrues or has accrued by virtue-

(i) of periods of membership before the cessation referred to in paragraph (3)(a) (or, if there has been more than one such cessation, the last of them before the commencement date); or

(ii) of contributions paid in respect of such periods of membership; and

(b) in determining entitlement to, or the amount of, the benefit to that extent, he shall be treated as if he had never become an active member again at any time after the cessation referred to in paragraph (2)(a) (but without prejudice to the application of this paragraph);

and these regulations shall have effect accordingly.

PART VI

PENSION SHARING

CHAPTER I - SHARING OF RIGHTS UNDER THE SCHEME

Interpretation
     146. References in this Part to a pension credit member are to that person in relation to his pension credit rights and not in relation to any other rights he may have under the Scheme.

Discharge of liability for pension credit rights
     147. - (1) An administering authority may discharge their liability in respect of a pension credit in accordance with either sub-paragraph (2) or sub-paragraph (3) of paragraph 1 of Schedule 5 to the 1999 Act.

    (2) Where the appropriate administering authority discharges its liability by conferring pension credit rights on the person entitled to the pension credit, those rights shall be to -

(a) a pension and a lump sum grant; and

(b) a death grant.

(3) But a pension credit member is not entitled to a lump sum grant if the transferor has been paid a retirement grant before the valuation date.

(4) The pension at the valuation date shall be calculated -

(a) by reference to the value of the pension credit member's credit rights calculated in accordance with regulation 10 of the Pension Sharing (Implementation and Discharge of Liability) Regulations 2000, and

(b) in accordance with guidance issued by the Government Actuary.

Aggregation
     148. - (1) Pension credit rights or pension credit benefits may not be aggregated with any other rights or benefits under the Scheme (including those attributable to a different pension credit).

    (2) Where a pension credit member is also an active member, he may not count any period which may count for any purpose as a period of membership in connection with his pension credit benefits towards the membership period required before he is entitled to any benefit which relates to his active membership.

Death of person entitled to a pension credit before discharge
     149. - (1) Where a person entitled to a pension credit dies before liability in respect of his pension credit has been discharged in accordance with regulation 147(1), such liability shall be discharged by the appropriate administering authority by the payment of a lump sum.

    (2) The lump sum shall be equal to 3 times the annual rate of the pension that would have been paid to him if on the date of his death he had become entitled to a pension as a pension credit member, calculated in accordance with guidance issued by the Government Actuary.

    (3) The appropriate administering authority shall pay the lump sum to the deceased's personal representatives.

Safeguarded rights
     150. - (1) A pension credit member's safeguarded rights for the purposes of the Scheme and of the Pension Schemes Act 1993 and regulations made under that Act are such of his rights falling within section 68A(1) of that Act as represent the safeguarded percentage of the rights acquired by him in the Scheme by virtue of the pension credit.

    (2) The "safeguarded percentage" is the percentage of the shareable rights by reference to which the amount of the pension credit is determined which are contracted-out rights.

    (3) "Contracted-out rights" has the meaning given in section 68A(5) of the Pension Schemes Act 1993.

Valuation date

151. For the purposes of -

(a) calculating the cash equivalent referred to in section 29(2) of the 1999 Act; and

(b) regulation 147(3) and (4) ~~and regulation 153(1)~~ (SI 2008/2425),

the valuation date shall be the first day of the implementation period as defined in section 34(1) of that Act.

CHAPTER II - PENSION CREDIT MEMBERS AND PENSION CREDIT

Application of the Regulations to pension credit members

152. Part I (preliminary provisions), regulations 94 (interest on late payment of certain benefits), 95 (payments due in respect of deceased persons) and 96 (non-assignability) and Chapter IV (determinations, information and records) of Part IV (Administration) of these Regulations apply to a pension credit member.

Calculation
153. - (1) The annual rate of the pension at normal benefit age shall be the pension calculated as referred to in regulation 147(4), increased in accordance with the Pensions (Increase) Act 1971 and the Pensions (Increase) Act 1974 ~~from the valuation date~~ from the day on which the pension sharing order takes effect. (SI 2008/2425)

(2) The lump sum grant shall be equal to 3 times the annual rate of the pension.

Payment of benefits
154. - (1) ~~A pension credit member~~ Subject to paragraph (4), a pension credit member (SI 2010/2090) who attains normal benefit age is entitled to immediate payment of a pension and, if applicable, a lump sum grant.

(2) The pension and the lump sum grant are payable from the pension credit member's appropriate pension fund.

(3) The pension is payable for life.

(4) A pension credit member may elect in writing to the appropriate administering authority for benefits payable under paragraph (1) to be paid at or after age 60 (but before normal benefit age), and such benefits must be reduced by the amounts as are shown to be appropriate in guidance issued by the Secretary of State. (SI 2010/2090)

Death grants
155. - (1) When a pension credit member dies before he attains the age of 70, the appropriate administering authority shall pay a death grant.

(2) The amount of the death grant of a pension credit member who dies before ~~his normal benefit age~~ retirement benefits come into payment (SI 2010/2090), is a lump sum equal to 3 times the annual rate of the pension that would have been paid to him if on the date of his death he had become entitled to a pension.

(3) The amount of the death grant of a pension credit member who dies after he is in receipt of a pension under this Part is a lump sum equal to 5 times the annual rate of that pension being paid to him at the date of his death but reduced by the amounts of any retirement pension paid to him.

(4) The appropriate administering authority at their absolute discretion may make payments of a death grant to or for the benefit of the pension credit member's nominee or personal representatives, or any person appearing to the authority to have been his relative or dependant at any time.

(5) If the appropriate administering authority have not made payments under paragraph (4) equalling in aggregate the pension credit member's death grant before the expiry of the period of 2 years beginning with his death, they must pay an amount equal to the shortfall to the pension credit member's personal representatives.

Commutation: small pensions
156. - (1) If the annual rate of the pension to which a pension credit member is entitled is -

(a) not more than £195, if he has received a lump sum grant, or

(b) otherwise, not more than £260,

the appropriate administering authority may pay him a lump sum representing the capital value of the pension.

(2) If the pension credit member is entitled to more than one pension under the Scheme, a lump sum is only payable if the aggregate amount payable to that member is less than £195 or £260, as the case may be.

(3) The capital value of a pension must be calculated as shown in guidance issued by the Government Actuary.

(4) The payment of a lump sum in respect of a pension due to the pension credit member under this Part discharges the appropriate administering authority from their liability for it.

(5) The appropriate administering authority must deduct from any payment under this regulation any tax to which they become chargeable under section 599 of the Taxes Act.

Commutation: serious ill-health
157. - (1) In circumstances where a pension credit member is suffering from serious ill-health at any time prior to the date when he first becomes entitled to receive a pension under this Part, the whole of that pension may be commuted for a lump sum and the total of -

(a) that lump sum, and

(b) the lump sum grant (if applicable)

("the commutation payment") may be paid to the pension credit member.

(2) The lump sum referred to in paragraph (1)(a) shall be equal to five times the annual rate of the pension to which the pension credit member would have been entitled if on the date of commutation he had reached the normal benefit age.

(3) The lump sum grant shall be equal to three times that annual rate.

(4) In this regulation, "serious ill-health" means ill-health which is such as to give rise to a life expectancy of less than one year from the date on which commutation of the pension is to take effect.

(5) Before making any decision as to whether a pension credit member may be entitled under paragraph (1), the appropriate administering authority must have produced to them or obtain a certificate from an independent registered medical practitioner as to whether in his opinion the pension credit member suffers from serious ill-health.

(6) Payment of the commutation payment discharges the authority's liability to the pension credit member in respect of his pension credit benefits.

(7) The authority must deduct from the commutation payment any tax to which they may become chargeable under section 599 of the Taxes Act.

Appropriate fund and appropriate administering authority
158. For a pension credit member -

(a) the appropriate fund is the fund which is the appropriate fund for the transferor on the transfer date, and

(b) his appropriate administering authority is the adminstering authority of that fund.

CHAPTER III

TRANSFERS

Transfers out
159. For the purposes of Chapter II of Part IVA of the Pension Schemes Act 1993 (requirements relating to pension credit benefits), the managers of the Scheme in relation to a pension credit member are his appropriate administering authority.

Transfers in
160. - (1) A pension credit member is not entitled to request his appropriate administering authority to accept a transfer value for relevant pension rights and an administering authority may not accept a transfer value of such rights where they have accrued to a pension credit member.

(2) "Relevant pension rights" has the meaning given in regulation 121(2).

Changes of funds
161. No transfer of pension credit rights may be made from a pension credit member's appropriate fund to another fund of the Scheme notwithstanding that that fund may be an appropriate fund for that member in respect of other rights he may have accrued under the Scheme.

SCHEDULES

SCHEDULE 1A

Regulation 2(1)

INTERPRETATION FOR PENSION SHARING ON DIVORCE AND DISSOLUTION ORDERS

In these Regulations -

"the 1999 Act" means the Welfare Reform and Pensions Act 1999;

"normal benefit age" means 65;

"pension credit" means a credit under section 29(1)(b) of the 1999 Act or corresponding Northern Ireland legislation;

"pension credit benefits" means benefits payable under the Scheme to or in respect of a pension credit member by virtue of rights under the Scheme attributable to a pension credit;

"pension credit member" means a person who has pension credit rights or benefits under the Scheme;

"pension credit rights" means rights to future benefits under the Scheme which are attributable to a pension credit;

"pension debit" means a debit under section 29(1)(a) of the 1999 Act or corresponding Northern Ireland legislation;

"pension debit member" means a member, whether an active member, a deferred member or a pensioner member, whose shareable rights under the Scheme are subject to a pension debit;

"pension sharing order" in relation to a pension credit member, a pension debit member, a person entitled to a pension credit or pension credit rights means the order or provision by virtue of which section 29 of the 1999 Act takes effect;

"shareable rights" has the same meaning as in section 27(2) of the 1999 Act;

"transfer date" in relation to a pension credit member and pension credit rights means the day on which the pension sharing order takes effect;

"transferor" in relation to a pension credit member or a person entitled to a pension credit means the person to whose shareable rights the pension sharing order relates."

SCHEDULE 3

EXCLUDED MEMBERSHIP

Description of membership

Purposes for which membership does not count

Relevant Notes

3. Any period which has already been counted to determine whether a relevant member was entitled to the relevant benefit or has been or may be used to calculate its amount.

All regulations but see regulation 32(5)(aa).

(1) and (2).

Notes:

(1) For paragraph 3, a relevant member is a member who-

(a) has entered the employment of a Scheme employer or former local authority after becoming entitled to payment of a pension benefit (other than a benefit under the National Insurance Act 1965), or

(b) has entered such employment after becoming entitled to a benefit under regulation 31 and has not made an election under regulation 32(1) (or, in a case where he was able to do so, gave notice under regulation D12(1)(c) of the 1995 regulations (retention of entitlement to preserved benefits),

and the relevant benefit for a relevant member is the benefit mentioned in paragraph (a) or, as the case may be, paragraph (b).

(2) Paragraph 3 applies to a maternity rights returner-

(a) unless she has made an election under regulation 32(1), or

(b) in a case where she was able to give notice under regulation D12(1)(c) of the 1995 regulations (retention of entitlement to preserved benefits), if she did so.

(SI 2008/1083)

SCHEDULE 5A

Regulation 108A

MIS-SOLD PENSIONS

Prescribed persons
1 . For the purposes of regulation 108A(2) (prescribed persons to whom information may be provided) the persons are: -

(a) a person who is an authorised person within the meaning of the Financial Services and Markets Act 2000 ("the 2000 Act"), or who has been an authorised person within the meaning of the Financial Services Act 1986 ("an authorised person");

(b) an appointed representative within the meaning of section 39 of the 2000 Act ("an appointed representative");

(d) a designated professional body within the meaning of section 326 of the 2000 Act;

(e) the Financial Services Authority,

(f) the scheme manager (within the meaning of section 212(1) of the 2000 Act);

(g) a professional indemnity insurer of an authorised person or an appointed representative;

(h) The Chartered Accountants Compensation Scheme Limited;

(i) The Solicitors Indemnity Fund Limited;

(j) a person or body arbitrating or adjudicating in, or investigating or considering, a complaint brought by such an individual as is mentioned in section 172(1) of the Pensions Act against an authorised person or an appointed representative;

(k) a person or body appointed to act on behalf of any of the above.

2 . For the purposes of regulation 108A(3) (persons on whom fees may be imposed) the persons are any person listed in sub-paragraphs (a) to (d) and (f) to (i) of paragraph 1 and any person or body appointed to act on behalf of any of those persons.

SCHEDULE 6

Regulation 137

CERTAIN CITY OF LONDON EMPLOYEES AND FORMER CONTRIBUTORS

PART I - CITY OF LONDON EMPLOYEES

1. For any member who is an existing contributor (as defined in the Local Government Superannuation (City of London) Regulations 1977) regulation 141 applies with these modifications-

(a) omit paragraphs (1) to (3), and

(b) in paragraph (4) for the words "regulation J17(3)(e) of the 1974 regulations", "those regulations" and "Scheme employer" substitute the words "regulation 19(3) of the Local Government Superannuation (City of London) Regulations 1977", "the 1974 regulations" and "City of London employing body" respectively.

2.-(1) For any member who is an existing contributor or a former contributor (as so defined) regulation 141 applies with these modifications.

(2) References to old statutory provisions must be taken as references to the local Act superannuation provisions or, as the case may be, to the particular corresponding provision of the local Act superannuation provisions.

(3) The old statutory provisions are-

(a) the Acts of 1937 to 1953, or the regulations made under them (including those provisions applying as amended or extended by any local Act or scheme or together with any such provisions) or

(b) the former regulations or a provision in the former regulations.

(4) References to old funds must be taken as references to the local Act superannuation fund (as defined in the Local Government Superannuation (City of London) Regulations 1977).

(5) References to contributory employees must be taken as references to contributors to that fund.

(6) If immediately before the commencement date the member was entitled by virtue of paragraph 3 of Schedule M3 to the 1995 regulations to make contributions at a lower rate, regulation 12 has effect, while he continues in the employment of the same City of London employing body, as if he were a member with lower rate rights whose standard contribution rate was that lower rate.

(7) If immediately before the commencement date he-

(a) was prospectively entitled under the local Act superannuation provisions to benefits which did not include a lump sum retiring allowance and a pension payable to his widow, and

(b) did not make an election under regulation E19(2) of the 1974 regulations,

these Regulations apply with the modifications set out in paragraphs 3 and 5.

(8) But if a person within paragraph (7)-

(a) first married on or after 1st October 1977,

(b) has continued to contribute to the pension fund maintained by the Common Council from the day on which he first became a member and without a break of 12 months or more, and

(c) at a time when he is a member and within three months after first marrying elects by notice in writing to the Common Council to be treated as a person falling within paragraph (7),

these Regulations apply with the modifications set out in paragraphs 4 and 5.

(9) These Regulations also apply with the modifications set out in paragraphs 4 and 5-

(a) if a person within paragraph (7) who does not fall within paragraph (8)(a) and (b) made a similar election to that mentioned in paragraph (8)(c) under regulation E19(2) of the 1974 regulations; or

(b) if a person who does not fall within paragraph (7)-

(i) was prospectively entitled under the local Act superannuation provisions to benefits which did not include a lump sum retiring allowance, and

(ii) did not make an election under regulation E19(2) of the 1974 regulations.

3.-(1) In regulation 20(2) for "80" substitute "60".

(2) In regulation 41-

(a) for "spouse" and "spouse's" wherever they occur, substitute "widow" and "widow's" respectively;

(b) for paragraph (4) to (6) substitute-

"(4) The long-term pension is the aggregate of-

(a) one four hundred and eightieth of the deceased's pay multiplied by the length in years of his period of membership before 1st April 1972, and

(b) one one hundred and sixtieth of his pay, multiplied by the length in years of the period of his membership after 31st March 1972.".

(3) Omit regulations 45(7) and (8), 46, 54 and 57.

4.-(1) In regulation 20 for paragraph (2) substitute-

"(2) Unless another multiplier is indicated, the appropriate multiplier for a pension is the aggregate of-

(a) the appropriate fraction of A, and

(b) the appropriate fraction of B,

where-

the appropriate fraction mentioned in paragraph (a) is-

the member's period of membership before 1st April 1972;
his total membership

the appropriate fraction mentioned in paragraph (b) is-

the member's period membership after 31st March 1972;
his total membership

A is

the member's period of membership before 1st April 1972;
70

B is

the member's period membership after 31st March 1972".
60

(2) In regulation 41-

(a) for "spouse" and "spouse's" wherever they occur, substitute "widow" and "widow's" respectively;

(b) for paragraph (4) to (6) substitute-

"(4) The long-term pension is the aggregate of-

(a) three tenths of the retirement pension to which the deceased was or would have been entitled at the time of his death in respect of the period of his membership before 1st April 1972 (but see paragraph (5)),

(b) one four hundred and eightieth of the deceased's pay, multiplied by his period of membership before 1st April 1972, and

(5) Where-

(a) the widow's age at the date of the deceased's death is greater than his, or

(b) her age is less and she has no eligible child,

the amount calculated under paragraph (4)(a) is to be increased or reduced by an amount certified by an actuary appointed by the appropriate administering authority to be appropriate.".

(3) In regulation 45-

(a) after paragraph (3) insert-

"(3A) Where a widow's long-term pension is payable under regulation 41, no children's long-term pension is payable until the day after the widow's death."; and

(b) for paragraphs (5) to (7) substitute-

"(5) The pension is the appropriate fraction of the aggregate of-

(a) three tenths of the retirement pension to which the deceased was or would have been entitled at the time of his death in respect of his membership before 1st April 1972,

(b) one four hundred and eightieth of his pay, multiplied by the length in years of his period of membership before 1st April 1972, and

(c) one one hundred and sixtieth of his pay, multiplied by the length in years of his period of membership after 31st March 1972.

(6) For paragraph (5) no account shall be taken of any period of membership before attaining the age of 60 years beyond a total of 40 years; and any period of membership which is accordingly to be left out of account shall be taken from the beginning of the member's period of membership.".

(4) In regulation 46(10), for the words from "training rate" onwards substitute the words "the pension is reduced by the excess".

(5) Omit regulations 54 and 57.

5.-(1) In regulations 25(1), 26(1) and 31(3) omit the words "and retirement grant".

(2) In regulations 25(2) and 26(2) and 27(2) for the words "and grant are" substitute the word "is".

(3) In regulations 27(1), and 31(4), (5) and (7) omit the words "and grant".

(4) In regulation 28(1) omit the words "or grant".

(6) In regulation 38 for paragraph (5) substitute-

"(5) The amount of a pensioner member's death grant is the greater of his pay or his pay multiplied by-

3 x his pension membership period
80

(but see paragraphs (5A) and (5B)).

(5A) The amount mentioned in paragraph (5) must be reduced-

(a) by any retirement grant paid to him, and

(b) by any payments which were made to him in respect of retirement pension (or would have been so made apart from regulation 33 or 110).

(5B) If the pensioner member became entitled to his pension under regulation 31-

(a) paragraphs (5) and (5A) do not apply, and

(b) the amount of his death grant is the greater of amount A or amount B.

(5C) Amount A is his pay multiplied by-

(3 x his pension membership period) / 80, less the reduction

mentioned in paragraph (5A).

(5D) Amount B is the amount of his pay (less that reduction), multiplied by-

his pension membership period
the total membership he would have had at NRD.

(5E) A pensioner member's pension membership period is the period of membership taken into account in calculating the multiplier for his retirement pension.".

(7) After paragraph (4) of regulation 41 insert-

"(4A) For paragraph (4) no account shall be taken of any period of membership before attaining the age of 60 years beyond a total of 40 years; and any period of membership which is accordingly to be left out of account shall be taken from the beginning of the member's period of membership.".

(8) Omit regulations 54 and 57.

PART II - FORMER COMMON COUNCIL LOCAL ACT SCHEME MEMBERS

(DISCRETIONARY RIGHTS)

6.-(1) For any active member who-

(a) immediately before 1st October 1977 was a contributor to the superannuation fund maintained by the Common Council under their local Act scheme,

(b) became a member on that date and has remained an active member since that date, and

(c) has been employed by a City of London employing body since that date without a disqualifying break of service,

these regulations apply with these modifications.

(2) After regulation 28(2) insert-

"(2A) But if, in any case where the enhanced membership period would otherwise be less-

(a) the employing authority consider it appropriate to do so, and

(b) if they are not the Common Council, that Council consent,

the employing authority may resolve that the enhanced membership period should be increased to any period not exceeding the member's total membership plus 10 years.".

(3) In regulation 52(2) at the end add the words "or, if the employing authority consider it appropriate to do so and resolve accordingly, any longer period not exceeding 10 years".

PART III - FORMER CONTRIBUTORS

7.-(1) This paragraph applies to a person-

(a) who immediately before 1st April 1974 was a contributory employee to whom the Acts of 1937 to 1953 and the regulations made under them applied either as modified or extended by, or together with, any local Act or scheme,

(b) who on that date became a pensionable employee under a scheduled body (within the meaning of the 1986 regulations), and

(c) to whom immediately before the commencement date paragraph 6 of Schedule M2 to the 1995 regulations applied.

(2) Where any relevant provision of the former scheme of a person to whom this paragraph applies would have been more beneficial than the corresponding provision of these Regulations, these Regulations have effect, for the appropriate period, as if the relevant provision had applied.

(3) For sub-paragraph (2) the person's former scheme is the provisions which applied as mentioned in sub-paragraph (1)(a).

(4) For sub-paragraph (2) a provision of a former scheme is a relevant provision if it was similar to one of the provisions of these Regulations specified in sub-paragraph (5).

(5) They are-

(a) regulation 6(3) (latest joining date);

(b) regulation 12 (member's contributions);

(c) regulation 13(2)(a) (exclusion from pay of non-contractual overtime);

(d) regulations 21 to 23 (pay);

(e) regulation 25(3) to (5) (normal retirement age and NRD);

(f) regulation 110 (application of abatement policy in individual cases); and

(g) if the person made no election under regulation E19 of the 1974 regulations, regulation 33 (surrenders).

(6) Where the person-

(a) having voluntarily resigned from his employment during the appropriate period, becomes entitled to receive a payment under regulation 87 (rights to return of contributions), and

(b) if his former scheme had still applied to him, would have been entitled to interest on the contributions,

he is entitled to receive out of the appropriate fund interest on so much of the amount of that payment as is equal to the contributions paid by him in respect of service before 1st April 1972 to any pension fund under Part I of the Act of 1937 or a local Act scheme.

(7) Interest under sub-paragraph (6) is to be calculated, to the date the person left employment, at the same rate and with the same rests as if payable under his former scheme.

(8) For this paragraph the appropriate period is-

(a) the period of application specified in the relevant provision of the person's former scheme, or

(b) if none is specified, the period during which he continues in the employment of the body mentioned in sub-paragraph (1)(b).

SCHEDULE 7

Regulation 144A

FORMER MEMBERS OF THE METROPOLITAN CIVIL STAFFS SUPERANNUATION SCHEME

General

1. This paragraph applies to any member -

(a) who was a member of the Metropolitan Civil Staffs Superannuation Scheme immediately before 1st April 2000;

(b) whose name is listed in the Schedule to the Metropolitan Police District (School Crossing Patrols) Transfer Scheme 2000 or in Schedule 2 to the Metropolitan Police District (Boundary Changes) (Essex) Transfer Scheme 2000, the Metropolitan Police District (Boundary Changes) (Hertfordshire) Transfer Scheme 2000 or the Metropolitan Police District (Boundary Changes) (Surrey) Transfer Scheme 2000; and

(c) who is a member of the Scheme by reason of the transfer of his contract of employment on 1st April 2000 to a London borough council or a county council under those Transfer Schemes.

2. - (1) These Regulations apply to a person to whom paragraph 1 applies ("a former MCSSS member") with these modifications to regulation 31.

(2) Omit paragraph (2).

(3) After paragraph (3), insert -

" (3A) The pension and retirement grant are paid without actuarial reduction to a member who is aged 60 or more at the date of rettirement."

(4) In paragraph (4),add at the beginning "Unless, at the date of retirement, the member is aged 55 or more but less than 60 and has total membership of at least 25 years".

3. Any period of service as a member of the Metropolitan Civil Staffs Superannuation Scheme, and any other period of service which, under the Metropolitan Civil Staffs Superannuation Scheme, is treated as a period counting towards the membership period required to qualify for any benefit under that Scheme, which a former MCSSS member has, shall count towards the membership period required before the person is entitled to any benefit under these Regulations and such service shall be counted as its actual length.

School Crossing Patrols

4. - (1) In the case of a former MCSSS member who was appointed prior to 1st April 2000 by the Commissioner of Police of the Metropolis under section 26 of the Road Traffic Regulation Act 1984 to patrol school crossings and was performing that service when he transferred to the Scheme, these Regulations shall apply with these additional modifications.

(2) He may remain an active member of the Scheme until his 75th birthday or, if earlier, the date on which his period of total membership is 45 years (in the case of a Class B or Class C member) or 40 years (in the case of a Class A member).

(3) In regulation 28(3) (enhanced membership period in cases of ill health), regulation 52(2)(c) (power of employing authority to increase total membership) and paragraph 8(2)(b) of Schedule 4 (maximum addition under regulations 53 and 55), for "65" substitute "75".

(4) Omit regulations 9(1A), 20(4A), 25A and 38(5A).

SCHEDULE 8

Regulation 137A

COUNCILLOR MEMBERS

MEMBERSHIP

Joining the Scheme

2. In regulation 7(6) (joining the scheme), omit "or" at the end of sub-paragraph (b) and after sub-paragraph (c) add -

" , or

(d) to eligible councillors".

CONTRIBUTIONS

Pay

4. For regulation 13 (meaning of "pay") substitute -

" 13. - (1) A councillor member's pay in any year -

(a) in the case of a councillor member who is a member of a local authority in England, is the total of such of his -

(i) basic allowance, and

(ii) special responsibility allowance

as may be treated as amounts in respect of which pensions under these Regulations are payable as set out in a scheme made in accordance with the Local Authorities (Members' Allowances) (England) Regulations 2003, and

(b) in the case of a councillor member who is a member of a county council or a county borough council in Wales, is his basic allowance and special responsibility allowance.

(2) "Basic allowance" and "special responsibility allowance" have the same meaning as in -

(a) regulations 4 and 5 respectively of the Local Authorities (Members' Allowances) (England) Regulations 2003 in respect of councillor members who are members of a local authority in England; and

(b) regulations 7 and 8 respectively of the Local Authorities (Allowances for Members of County and County Borough Councils and National Park Authorities) (Wales) Regulations 2002 in respect of councillor members who are members of a county council or a county borough council in Wales.

(3) All references to "pay" in these Regulations in respect of a councillor member and his councillor membership shall be construed accordingly.

(4) "Career average pay" in these Regulations shall mean an amount equal to the total of a councillor member's pay for each year or part year of his active membership divided by the number of those years or part years.

(5) When calculating a councillor member's career average pay, the pay for any year other than the final year shall be increased in proportion to the increase in the Retail Price Index from the last day of that year up to the last day of the month in which the councillor member's active membership ends.

(6) "Year" means the 12 months ending with 31st March save that in respect of the year ending with 31st March 2004, it means the period from 1st May 2003 until 31st March 2004 in respect of councillor members who are members of a local authority in England and in respect of the year ending 31st March 2005, it means the period from 10th June 2004 until 31st March 2005 in respect of councillor members who are members of a county council or a county borough council in Wales.

(7) "Final year" means the year during which, or at the end of which, the councillor member's active membership ends.

(8) "Retail Price Index" means the index of retail prices for the United Kingdom published by the Office of National Statistics.

(9) No sum may be taken into account in calculating pay unless income tax liability has been determined on it.".

BENEFITS

Preliminary

5. For regulation 20 (calculations) substitute -

" 20. - (1) The pension of a councillor member shall be

his career average pay × councillor membership
80

(2) The retirement grant of a councillor member shall be three times his pension.

(2A) A councillor member in respect of whom a benefit crystallisation event occurs on or after 6th April 2006 may elect in writing to the appropriate administering authority before any benefits become payable to increase the retirement grant payable under paragraph (3) by commuting his pension, or a part thereof, at a rate of £12 for every £1 of annual pension entitlement surrendered.

(2B) But the total amount of the member's retirement grant, including any sum received in accordance with an election under paragraph (3A), shall not exceed 25% of the capital value of his accrued rights.

(2C) For the purposes of this regulation, a member's accrued rights include rights accrued in respect of any payments made by him in accordance with Chapter IV of Part III (Additional Voluntary Contributions).

(2D) The capital value of a member's accrued rights shall be calculated as shown in guidance issued by the Government Actuary.

(4) Unless otherwise indicated, references to the amounts of pensions are to their annual rate.

(5) Benefits payable to a councillor member who remains in service after his 65th birthday as referred to in regulation 25A(1) (as that regulation applies to a councillor member) shall be increased at such a rate as is shown as appropriate in guidance issued by the Government Actuary in respect of each day that payment of benefits is delayed between his 65th birthday and the date of his retirement."

6. Omit regulations 21 (final pay), 22 (other final pay periods) and 23 (permanent reductions in pay).

Retirement benefits

7. In regulation 25A(1) omit the words "with the consent of his employing authority".

8. Omit regulation 26 (redundancy).

9. In regulation 27 (ill-health) -

(a) for paragraph (1) substitute -

" (1) Where a councillor member ceases to be a member of his local authority by reason of being permanently incapable of discharging efficiently the duties of that office because of ill-health or infirmity of mind or body, he is entitled to an ill-health pension and grant"; and

10. In regulation 28 (amounts of ill-health pension and grant) -

(b) in paragraph (4) for "a member" substitute "a councillor member" and delete "(because of having been a member in two or more employments)", and

11. Omit regulations 29 (re-employed pensioners) and 30 (further provisions about elections under regulation 29).

13. - (1) Regulation 32(1) (re-employed and rejoining deferred members) shall only apply to a councillor member in respect of any councillor membership where both the former membership and the membership as an active member referred to in that paragraph are councillor membership in the same appropriate fund.

(2) In regulation 32 -

(a) in paragraph (5), for "Where a member who may elect under paragraph (1) does not do so or does not elect as respects all periods of his membership" substitute "In the case of a councillor member"; and

(b) omit paragraph (8).

14. Omit regulation 32A (concurrent employments).

Death grants

15. In regulation 38 (death grants), for paragraphs (3) to (5A) substitute -

" (3) The death grant of a councillor member shall be twice his career average pay.

(4) The death grant for a councillor member who is a deferred member at the date of his death is 3 times the annual pension that would have been payable to him if he had retired at the date of his death.

(5) The death grant for a councillor member who is a pensioner member at the date of his death is -

(a) where he was in receipt of a pension at the date of his death, an amount equal to 5 times his former retirement pension less the amount of any pension paid to him, or

(5A) The amount of a deceased councillor member's former retirement pension is the amount of the pension he would have received immediately before his death, but for -

(a) regulation 31 (elections for early payment),

(b) regulation 33 (surrenders),

(d) regulation 110 (application of abatement policy in individual cases).

(5B) A pensioner member includes a councillor member who would have been entitled to a pension but for regulation 110 (application of abatement policy in individual cases).

(5C) But paragraph (5B) does not stop a councillor member to whom it applies from also being an active member.".

Surviving spouses' or Civil Partners pensions

16. In regulation 40 (surviving spouse's or civil partner's short-term pension) -

(a) in paragraph (4), for "final pay" substitute "career average pay"; and

(b) in paragraph (5), omit "(but see regulation 42)".

17. In regulation 41 (surviving spouse's or civil partner's long-term pension) -

(a) in paragraph (5), for "the multiplier for" to the end of that paragraph, substitute -

" the long-term pension is -

the deceased's total membership × career average pay
160";

and

(b) in paragraph (6), omit "(but see regulation 42)".

Children's pensions

18. In regulation 45(4) (children's short-term pensions) for "final pay" substitute "career average pay".

20. Omit regulation 48 (dependants of re-employed pensioners).

OPTIONAL ADDITIONAL BENEFITS

Increases of Membership and pensions

21. Omit regulation 52 (power of employing authority to increase total membership, and regulation 55 (payments to increase total membership).

Additional Voluntary Contributions

22. In regulation 66 (elections as to use of accumulated value of AVCs) -

(a) in paragraph (1)(c)(i), delete "or 26 (redundancy etc.)"; and

(b) omit paragraphs (4) and (5).

Shared Cost Schemes

23. Omit regulations 67 to 72 (establishment of shared cost AVC schemes).

ADMINISTRATION

Rights to return of contributions

24. Omit paragraph (4) of regulation 87 (rights to return of contributions).

Transfers

25. Omit regulations 119 to 126 (bulk transfer arrangements, transfers in, community scheme transfers and payments between funds and authorities).".