Pension Schemes Act 1993
Pension Schemes Act 1993 (1993 c. 48)
- Pension Schemes Act 1993 (1993 c. 48)
- Part I Preliminary
- 1 Categories of pension schemes.
- Part II Administration
- The Occupational Pensions Board
- 2 Constitution and functions of the Board.
- 3 Membership of the Board.
- 4 Reports of the Board.
- 5 Further provisions as to constitution and procedure of the Board.
- Registration of schemes
- 6 Registration of occupational and personal pension schemes.
- Part III Schemes that were contracted-out etc and Effects on Members’ State Scheme Rights ...
- Chapter I Schemes that were contracted-out: guaranteed minimum pensions and alteration of scheme rules etc
- Preliminary
- 7 Issue of contracting-out certificates.
- 7A Meaning of “the first abolition date” and “the second abolition date”
- 7B Meaning of “contracted-out scheme” and “appropriate scheme” etc.
- 8 Meaning of “contracted-out employment”, “guaranteed minimum pension” and “minimum payment”.
- ...
- 9 Requirements for certification of schemes: general.
- 10 Protected rights and money purchase benefits.
- 11 Elections as to employments covered by contracting-out certificates.
- 12 Determination of basis on which scheme is contracted-out.
- ...
- 12A The statutory standard
- 12B Reference scheme
- 12C Transfer, commutation, etc
- 12D Entitlement to benefit
- Guaranteed minimum pensions
- 12E Former salary related contracted-out schemes to comply with GMP requirements
- 13 Minimum pensions for earners.
- 14 Earner’s guaranteed minimum.
- 15 Increase of guaranteed minimum where commencement of guaranteed minimum pension postponed.
- 15A Reduction of guaranteed minimum in consequence of pension debit.
- 16 Revaluation of earnings factors for purposes of s. 14: early leavers etc.
- 17 Minimum pensions for widows and widowers.
- 17 Minimum pensions for widows and widowers.
- 18 Treatment of insignificant amounts.
- 19 Discharge of liability where guaranteed minimum pensions secured by insurance policies or annuity contracts.
- 20 Transfer of accrued rights.
- 21 Commutation, surrender and forfeiture.
- 22 Financing of benefits.
- 23 Securing of benefits.
- 24 Sufficiency of resources.
- 24A Conversion of guaranteed minimum pension into other benefits: introduction
- 24B The conversion conditions
- 24C Actuarial equivalence
- 24D Survivors' benefits
- 24E Procedural requirements
- 24F Transfer out
- 24G Powers to amend schemes
- 24H Enforcement of GMP conversion conditions
- Discretionary requirements
- 25 Power for Board to impose conditions as to investments and resources.
- Requirements for certification of occupational and personal money purchase schemes
- 25A Requirements for schemes with members with protected rights
- 26 Persons who may establish scheme.
- 27 Identification and valuation of protected rights.
- 27A Requirements in relation to giving effect to protected rights
- 28 Ways of giving effect to protected rights.
- 28A Requirements for interim arrangements
- 28B Information about interim arrangements
- 29 The pension and annuity requirements.
- 30 Securing of liability for protected rights.
- 31 Investment and resources of schemes.
- 32 Suspension or forfeiture.
- 32A Discharge of protected rights on winding up: insurance policies
- 33 Tax requirements to prevail over requirements of section 31.
- 33A Appropriate schemes: “Blowing the whistle”
- Cancellation, variation, surrender and refusal of certificates
- 34 Cancellation, variation, surrender and refusal of certificates.
- 35 Surrender and cancellation of contracting-out certificates: issue of further certificates.
- 36 Surrender and cancellation of contracting-out certificates: cancellation of further certificates.
- Alteration of rules by former salary related contracted-out schemes
- 37 Alteration of rules of contracted-out schemes.
- 37A Transfer of liabilities etc: schemes contracted-out on or after 6 April 1997
- 38 Alteration of rules of appropriate schemes.
- General regulations as to administration of Part III
- 38A Regulations about relevant gender change cases
- 39 General power to make regulations.
- Chapter II Reduction in social security benefits for members of schemes that were contracted-out
- Preliminary
- 40 Scope of Chapter II.
- ...
- 41 Reduced rates of Class 1 contributions
- 42 Review and alteration of rates of contributions applicable under s. 41.
- Reduced rates of contributions, and rebates, for members of money purchase contracted-out schemes
- 42A Reduced rates of Class 1 contributions, and rebates
- 42B Determination and alteration of rates of contributions, and rebates, applicable under section 42A
- Minimum contributions: members of appropriate personal pension schemes
- 43 Payment of minimum contributions to personal pension schemes.
- 44 Earner’s chosen scheme.
- 45 Amount of minimum contributions.
- 45A Determination and alteration of rates of minimum contributions under section 45
- 45B Money purchase and personal pension schemes: verification of ages
- Effect of entitlement to guaranteed minimum pensions on payment of social security benefits
- 46 Effect of entitlement to guaranteed minimum pensions on payment of social security benefits.
- 46A Retirement in tax year after 5th April 2020
- 47 Further provisions concerning entitlement to guaranteed minimum pensions for the purposes of s. 46.
- 48 Reduced benefits where minimum payments or minimum contributions paid.
- Effect of reduced contributions and rebates on social security benefits
- 48A Additional pension and other benefits
- Women, married women and widows
- 49 Women, married women and widows.
- Chapter III Termination of contracted-out or appropriate scheme status: state scheme premiums
- Approval of arrangements for schemes ceasing to be certified
- 50 Powers of Inland Revenue to approve arrangements for scheme ceasing to be certified.
- 51 Calculation of guaranteed minimum pensions preserved under approved arrangements.
- Supervision of formerly certified schemes
- 52 Supervision of former salary related contracted-out schemes
- 53 Supervision: former contracted-out schemes.
- 54 Supervision: former appropriate personal pension schemes.
- State scheme premiums
- 55 Payment of state scheme premiums on termination of certified status.
- 56 Provisions supplementary to s. 55.
- 57 Elections to pay contributions equivalent premiums.
- 58 Amount of premiums payable under s. 55.
- 59 Alternative basis for revaluation of earnings factors for calculation of certain premiums.
- 60 Effect of payment of premiums on rights.
- 61 Deduction of contributions equivalent premium from refund of scheme contributions.
- 62 No recovery of state scheme premiums from earners etc.
- 63 Further provisions concerning calculations relating to premiums.
- 64 Actuarial tables for purposes of calculations relating to premiums.
- 65 Inclusion of former and future earners for some purposes of this Chapter.
- 66 Power to apply certain provisions to widowers.
- 67 Non-payment of contributions equivalent premiums.
- 68 Unpaid premiums: supplementary.
- Part IIIA Safeguarded rights
- 68A Safeguarded rights.
- 68B Requirements relating to safeguarded rights.
- 68C Reserve powers in relation to non-complying schemes.
- 68D Power to control transfer or discharge of liability.
- Part IV Protection for early leavers
- Chapter I preservation of benefit under occupational schemes
- 69 Scope of Chapter I: the preservation requirements.
- 70 Interpretation.
- 71 Basic principle as to short service benefit.
- 72 No discrimination between short service and long service beneficiaries.
- 73 Form of short service benefit and its alternatives.
- 74 Computation of short service benefit.
- 75 Credits.
- 76 Pension increases.
- 77 Assignment, surrender and commutation of benefit.
- 78 Forfeiture, etc.
- 79 Charges, liens and set-offs.
- 80 Power to modify ss. 77 to 79 as respects alternative benefits.
- 81 Discharge of liability where short service or alternative benefits secured by insurance policies or annuity contracts.
- 82 Supplementary regulations.
- Chapter II Revaluation of accrued benefits (excluding guaranteed minimum pensions)
- 83 Scope of Chapter II.
- 84 Basis of revaluation.
- 85 Revaluation not to apply to substituted benefit.
- 86 Supplementary provisions.
- Chapter III Protection of increases in guaranteed minimum pensions (“anti-franking”)
- 87 General protection principle.
- 88 The relevant sum.
- 89 The appropriate addition.
- 90 The later earnings addition.
- 91 Special provision where employment continues after it ceases to be contracted-out by reference to scheme.
- 92 Supplementary provisions.
- Chapter IV Transfer values
- Chapter 5 Early leavers: cash transfer sums and contribution refunds
- Part 4ZA Transfers and contribution refunds
- Chapter 1 Transfer rights: general
- 93 Scope of Chapter 1.
- 93A Right to statement of entitlement: benefits other than money purchase
- 94 Right to cash equivalent.
- 95 Ways of taking right to cash equivalent.
- 96 Further provisions concerning exercise of option under s. 95.
- 97 Calculation of cash equivalents.
- 97A Designation of funded public service defined benefits schemes
- 97B Designation of funded public service defined benefits schemes: Scotland
- 97C Reduction of cash equivalents in case of designated schemes
- 98 Loss of right to cash equivalent
- 99 Trustees’ duties after exercise of option.
- 99A Trustees' further duties: collective money purchase benefits
- 100 Withdrawal of applications.
- 100A Prohibition on excluding future accruals etc
- 100B Meaning of “scheme rules”: occupational pension schemes
- 100C Meaning of “normal pension age” in this Chapter
- 100D Interpretation of Chapter
- 101 Supplementary provisions.
- Chapter 2 Early leavers: cash transfer sums and contribution refunds
- 101AA Scope of Chapter 5
- 101AB Right to cash transfer sum and contribution refund
- 101AC Notification of right to cash transfer sum or contribution refund
- 101AD Exercise of right under section 101AB
- 101AE Permitted ways of using cash transfer sum
- 101AF Calculation of cash transfer sum and contribution refund
- 101AG Duties of trustees or managers following exercise of right
- 101AH Powers of trustees or managers where right not exercised
- 101AI Rights under section 101AB: further provisions
- Part IVA Requirements relating to pension credit benefit
- Chapter I Pension credit benefit under occupational schemes
- 101A Scope of Chapter I.
- 101B Interpretation.
- 101C Basic principle as to pension credit benefit.
- 101D Form of pension credit benefit and its alternatives.
- 101E Discharge of liability where pension credit or alternative benefits secured by insurance policies or annuity contracts.
- Chapter II Transfer values
- 101F Power to give transfer notice.
- 101G Restrictions on power to give transfer notice.
- 101H Benefits other than money purchase: statements of entitlement.
- 101I Calculation of cash equivalents.
- 101J Time for compliance with transfer notice.
- 101K Withdrawal of transfer notice.
- 101L Variation of the amount required to be used.
- 101M Effect of transfer on trustees’ duties.
- 101N Matters to be disregarded in calculations.
- 101NA Prohibition on excluding transfers of some rights without others etc
- 101O Service of notices.
- 101P Interpretation of Chapter II.
- 101Q Power to modify Chapter II in relation to hybrid schemes.
- Part V Annual Increases of Pensions in Payment
- Chapter I Pensions under Final Salary Schemes etc.
- 102 Scope of Chapter I: annual increase of certain occupational pensions.
- 103 Annual increase of later service component.
- 104 Annual increase of earlier service component where scheme is in surplus.
- 105 Proportional increase where first period is less than 12 months.
- 106 Restriction on increase where member is under 55.
- 107 Application of Chapter I to pensions not attributable to pensionable service.
- 108 No payments to employers from non-complying schemes.
- Chapter II Guaranteed minimum pensions
- 109 Annual increase of guaranteed minimum pensions.
- 110 Requirement as to resources for annual increase of guaranteed minimum pensions.
- Part VI Further Requirements for Protection of Scheme Members
- 111 Voluntary contributions.
- 111A Monitoring of employers’ payments to personal pension schemes.
- 111B Obtaining information for purposes of section 111A and corresponding Northern Ireland legislation.
- 112 Restrictions on investment of scheme’s resources in employer-related assets.
- 113 Disclosure of information about schemes to members etc.
- 113A Disclosure of information about transfers etc
- 113B Occupational pension schemes: requirements to refer members to guidance etc
- 114 Additional documents for members etc. and Registrar.
- 115 Powers as respects failure to comply with information requirements.
- 116 Regulations as to auditors.
- 117 Regulations as to form and content of advertisements.
- 118 Equal access requirements.
- Part VII Insolvency of employers
- Chapter I Independent trustees
- 119 Requirement for independent trustee where employer becomes insolvent etc.
- 120 Members’ powers to apply to court to enforce duty under s. 119.
- 121 Further provisions as to appointment and powers of independent trustees.
- 122 Duty of insolvency practitioner or official receiver to give information to scheme trustees.
- Chapter II Payment by Secretary of State of unpaid scheme contributions
- 123 Interpretation of Chapter II.
- 124 Duty of Secretary of State to pay unpaid contributions to schemes.
- 125 Certification of amounts payable under s. 124 by insolvency officers.
- 126 Complaint to industrial tribunal.
- 127 Transfer to Secretary of State of rights and remedies.
- Chapter III Priority in bankruptcy
- 128 Priority in bankruptcy etc.
- Part VIII Relationship between requirements and scheme rules
- 129 Overriding requirements.
- 130 Extra-statutory benefits.
- 131 Relationship of preservation requirements and scheme rules.
- 132 Duty to bring schemes into conformity with indirectly-applying requirements.
- 133 Advice of the Board as to conformity of schemes with requirements.
- 134 Determination of questions whether schemes conform with requirements.
- 135 Persons competent to make applications under s. 134.
- Part IX Modification and winding up of schemes
- Modification
- 136 Applications to the Board to modify schemes (other than public service schemes).
- 137 Persons competent to make applications under s. 136.
- 138 Further provisions concerning the Board’s powers under s. 136.
- 139 Other functions of the Board as respects modification of schemes.
- 140 Effect of orders under ss. 136 and 139.
- 141 Modification of public service schemes.
- Winding up
- 142 Powers of the Board to wind up schemes.
- 143 Winding up of public service schemes.
- 144 Deficiencies in the assets of a scheme on winding up.
- Part X Investigations: the Pensions Ombudsman
- 145 The Pensions Ombudsman.
- 145A Deputy Pensions Ombudsmen
- 146 Functions of the Pensions Ombudsman.
- 147 Death, insolvency or disability of authorised complainant.
- 148 Staying court proceedings where a complaint is made or a dispute is referred.
- 149 Procedure on an investigation.
- 150 Investigations: further provisions.
- 151 Determinations of the Pensions Ombudsman.
- 151A Interest on late payment of benefit
- 152 Power to make special county court rules.
- Part XI General and miscellaneous provisions
- Modification powers
- 153 Power to modify certain provisions of this Act.
- 154 Application of enactments as respects personal pension schemes.
- Information about schemes
- 155 Requirement to give information to the Secretary of State or the Board for the purposes of certain provisions.
- 156 Information for purposes of contracting-out.
- 157 Power of Secretary of State to obtain information in connection with applications under s. 124.
- 158 Disclosure of information between government departments etc.
- 158A Other disclosures by the Secretary of State.
- Avoidance of certain transactions and provisions
- 159 Inalienability of guaranteed minimum pension ....
- 159A No forfeiture on bankruptcy of rights under personal pension schemes.
- 160 Terms of contracts of service or schemes restricting choice to be void.
- 161 Provisions excluding Chapter II of Part VII to be void.
- 162 Removal of restrictions on friendly societies’ pension business.
- 163 Exemption of certain schemes from rule against perpetuities.
- Special classes of earner
- 164 Crown employment.
- 165 Application of certain provisions to cases with foreign element.
- Reciprocity with other countries
- 166 Reciprocity with other countries.
- Application of provisions relating to social security administration
- 167 Application of general provisions relating to administration of social security.
- General provisions as to offences
- 168 Breach of regulations.
- 168A Offence in connection with the Registrar
- 169 Offences by bodies corporate.
- General provisions as to determinations and appeals
- 170 Decisions and appeals
- 171 Questions arising in proceedings.
- 171A Reports by Inland Revenue.
- 172 Review of the Board’s determinations.
- 173 References and appeals from the Board.
- Financial provisions
- 174 Grants to advisory bodies etc
- 175 Levies towards certain expenditure
- 176 Fees for official services to schemes.
- 177 General financial arrangements.
- Part XII Supplementary Provisions
- Interpretation
- 178 Trustees and managers of schemes.
- 179 Linked qualifying service.
- 180 Normal pension age.
- 180A Insurer and long-term insurance business
- 181 General interpretation.
- 181A Interpretation of references to money purchase contracted-out schemes or appropriate schemes after abolition date
- 181B Money purchase benefits: supplementary
- Subordinate legislation etc.
- 182 Orders and regulations (general provisions).
- 183 Sub-delegation.
- 184 Consultation with Social Security Advisory Committee about regulations under s. 36(6).
- 185 Consultations about other regulations.
- 186 Parliamentary control of orders and regulations.
- 187 Northern Ireland Constitution Act 1973: “reserved matters”.
- Supplemental provisions
- 188 Repeals.
- 189 Transitional provisions and savings.
- 190 Prospective and consequential amendments.
- 191 Transitory modifications.
- 192 Extent.
- 193 Short title and commencement.
- SCHEDULES
- SCHEDULE 1 The Occupational Pensions Board
- Introductory
- Membership
- Expenses, remuneration, etc. of members
- Procedure
- Proceedings
- Staff etc.
- Fees
- Instruments and contracts
- SCHEDULE 2 Certification Regulations
- Part I Occupational Pension Schemes
- General regulations: beginning and ending of employment
- Power to modify Part III etc.
- State scheme premiums
- Schemes covering different employers
- Special provisions for certain public service pension schemes
- Incidental matters
- Part II Personal Pension Schemes
- SCHEDULE 3 Methods of revaluing accrued pension benefits
- The final salary method
- The revaluation percentage and the appropriate revaluation percentage
- The average salary method
- The cash balance method
- The flat rate method
- The money purchase method
- SCHEDULE 4 Priority in Bankruptcy etc
- Earner’s contributions to occupational pension scheme
- Employer’s contributions to occupational pension scheme
- State scheme premiums
- Interpretation
- SCHEDULE 5 Repeals
- Part I General
- Part II Provisions relating to equal access
- Part III Provisions repealed as respects Great Britain only
- Part IV Subordinate legislation revoked
- SCHEDULE 6 Transitional Provisions and Savings
- Part I General Provisions
- Part II Specific Provisions
- Contracting-out requirements for schemes providing guaranteed minimum pensions
- Overriding effect of certain requirements for existing contracted-out and appropriate schemes
- Transactions discharging trustees
- Contributions equivalent premiums: earnings before 1987-88
- Preservation
- Anti-franking
- Modifications in consequence of enactment of Part I of the Social Security Act 1986
- Savings for statutory instruments
- Provisions contained in this Act by virtue of statutory instruments
- Saving for application of general provisions relating to social security
- Saving for section 7 of the Social Security Act 1986
- SCHEDULE 7 Re-enactment or amendment of certain provisions not in force
- The Equal Pay Act 1970 (c. 41)
- The Social Security Act 1989 (c.24)
- This Act
- SCHEDULE 8 Consequential Amendments
- The Parliamentary Commissioner Act 1967 (c. 13)
- The Administration of Justice Act 1970 (c. 31)
- The Equal Pay Act 1970 (c. 41)
- The Attachment of Earnings Act 1971 (c. 32)
- The Pensions (Increase) Act 1971 (c. 56)
- The Superannuation Act 1972 (c. 11)
- The Social Security Pensions Act 1975 (c. 60)
- The Rent Act 1977 (c. 42)
- The Employment Protection (Consolidation) Act 1978 (c. 44)
- The Justices of the Peace Act 1979 (c. 55)
- The Judicial Pensions Act 1981 (c. 20)
- The Forfeiture Act 1982 (c. 34)
- The Companies Act 1985 (c. 6)
- The Bankruptcy (Scotland) Act 1985 (c. 66)
- The Insolvency Act 1986 (c. 45)
- The Coal Industry Act 1987 (c. 3)
- The Income and Corporation Taxes Act 1988 (c. 1)
- The Official Secrets Act 1989 (c. 6)
- The Finance Act 1989 (c. 26)
- The Electricity Act 1989 (c. 29)
- The Social Security Administration Act 1992 (c. 5)
- The Social Security Contributions and Benefits Act 1992 (c. 4)
- The Tribunals and Inquiries Act 1992 (c. 53)
- The Social Security Act 1993 (c.3)
- The Judicial Pensions and Retirement Act 1993 (c.8)
- SCHEDULE 9 Transitory Modifications
- Rule against perpetuities
- Limited price indexation
- Guaranteed minimum for married women and widows paying reduced rate contributions
- Friendly societies
- Judicial pensions
- TABLE OF DERIVATIONS
- Notes:
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