Pensions Act 2014

1. Introduction

2. Background

   1. State pension reform

   2. Option to boost old retirement pensions

   3. Pensionable age

   4. State pension credit

   5. Bereavement benefits

   6. Automatic transfers

   7. Charges and requirements in pension schemes

   8. Pensions Regulator’s objective

3. Summary

4. Overview of the Structure of the Act

   1. Part 1 – State pension

   2. Part 2 – Option to boost old retirement pensions

   3. Part 3 – Pensionable age

   4. Part 4 – State pension credit

   5. Part 5 – Bereavement support payment

   6. Part 6 – Private pensions

   7. Part 7 – Final provisions

5. Territorial Extent

6. Commentary on Sections

   1. Part 1 – State Pension

      1. Section 1: State pension

         Section 2: Entitlement to state pension at full or reduced rate

         Section 3: Full and reduced rates of state pension

      2. Section 4: Entitlement to state pension at transitional rate

         Section 5: Transitional rate of state pension

         Section 6: Recalculation and backdating of transitional rate in special cases

         Schedule 1: Transitional rate of state pension: calculating the amount

         Schedule 2: Transitional rate of state pension: up-rating

      3. Section 7: Survivor’s pension based on inheritance of additional old state pension

         Schedule 3: Survivor’s pension under section 7: inherited amount

         Schedule 4: Survivor’s pension under section 7: up-rating

      4. Section 8: Choice of lump sum or survivor’s pension under section 9 in certain cases

         Section 9: Survivor’s pension based on inheritance of deferred old state pension

         Section 10: Inheritance of graduated retirement benefit

         Schedule 5: Survivor’s pension under section 9: inherited deferral amount

      5. Section 11: Reduced rate elections: effect on section 4 pensions

         Section 12: Reduced rate elections: pension for women with no section 4 pension

         Schedule 6: Reduced rate elections: effect on rate of section 4 pension

         Schedule 7: Reduced rate elections: basic amount of state pension under section 12

      6. Section 13: Shared state pension on divorce etc

         Section 14: Pension sharing: reduction in the sharer’s section 4 pension

         Section 15: Pension sharing: amendments

         Schedule 8: Pension sharing: appropriate weekly rate under section 13

         Schedule 9: Pension sharing: up-rating state pension under section 13

         Schedule 10: Pension sharing: appropriate weekly reduction under section 14

         Schedule 11: Pension sharing: amendments

      7. Section 16: Pensioner’s option to suspend state pension

         Section 17: Effect of pensioner postponing or suspending state pension

         Section 18: Section 17 supplementary: calculating weeks, overseas residents, etc

      8. Section 19: Prisoners

         Section 20: Overseas residents

      9. Section 23: Amendments

         Schedule 12: State pension: amendments

      10. Section 24: Abolition of contracting-out for salary related schemes etc

          Schedule 13: Abolition of contracting-out for salary related schemes

          Schedule 14: Power to amend schemes to reflect abolition of contracting-out

   2. Part 2 – Option to Boost Old Retirement Pensions

      1. Section 25: Option to boost old retirement pensions

         Schedule 15: Option to boost old retirement pensions

   3. Part 3 – Pensionable Age

      1. Section 26: Increase in pensionable age to 67

      2. Section 27: Periodic review of rules about pensionable age

   4. Part 4 – State Pension Credit

      1. Section 28: State pension credit: phasing out assessed income periods

      2. Section 29: Preserving indefinite status of certain assessed income periods

   5. Part 5 – Bereavement Support Payment

      1. Section 30: Bereavement support payment

         Section 31: Bereavement support payment: contribution condition and amendments

         Section 32: Bereavement support payment: prisoners

         Schedule 16: Bereavement support payment: amendments

   6. Part 6 – Private Pensions

      1. Section 33: Automatic transfer of pension benefits etc

         Schedule 17: Automatic transfer of pension benefits etc

      2. Section 34: Power to prohibit offer of incentives to transfer pension rights

         Section 35: Expiry of power in Section 34

      3. Section 36: Short service benefit for scheme member with money purchase benefits

      4. Section 37: Automatic re-enrolment: exceptions where automatic enrolment deferred

      5. Section 38: Automatic enrolment: powers to create general exceptions

      6. Section 39: Alternative quality requirements for UK defined benefits schemes

      7. Section 40: Automatic enrolment: transitional period for hybrid schemes

      8. Section 41: Penalty notices under sections 40 and 41 of the Pensions Act 2008 etc

      9. Section 42: Unpaid scheme contributions

      10. Section 43: Power to restrict charges or impose requirements in relation to schemes

          Schedule 18: Power to restrict charges or impose requirements in relation to schemes

      11. Section 44: Disclosure of information about transaction costs to members etc

      12. Section 45: Power to require pension levies to be paid in respect of past periods

      13. Section 46: Prohibition and suspension orders: directors of corporate trustees

          Schedule 19: Prohibition orders: consequential amendments

      14. Section 47: Preparation of guidance for pensions illustrations

      15. Section 48: Pensions Regulator’s objectives

      16. Section 49: Maximum period between scheme returns to be 5 years for micro schemes

      17. Section 50: Pension Protection Fund: increased compensation cap for long service

          Schedule 20: Pension Protection Fund: increased compensation cap for long service

      18. Section 51: Pension Protection Fund: compensation cap to apply separately to certain benefits

      19. Section 52: Public service pension schemes: transitional arrangements

   7. Part 7 – Final Provisions

      1. Section 55: Extent

7. Commencement Dates

8. Hansard References