Regulation 4
1.—(1) The composition of the Pension Board (the Board) is to be determined from time to time by the scheme manager—
(a)having regard to the nature of the matters on which the Board may be required to assist;
(b)having regard to the desirability of securing the effective and efficient governance and administration of—
(i)this scheme, and
(ii)any statutory pension scheme that is connected with it; and
(c)must include employer representatives and member representatives (see section 5(6) of the 2013 Act) in equal numbers.
(2) The members of the Board are to be appointed by the scheme manager.
(3) The scheme manager cannot appoint a person to be a member of the Board unless satisfied that the person does not have a conflict of interest.
2.—(1) The duration of the term of office of each member of the Board is to be determined by the scheme manager on appointment.
(2) No person may hold office as a member of the Board for more than an aggregate of nine years during any continuous period of twelve years.
3.—(1) A person is disqualified from appointment as a member of the Board in any of the circumstances set out in sub-paragraph (2).
(2) Those circumstances are if that person—
(a)has a conflict of interest;
(b)has at any time been convicted of an offence involving dishonesty or deception in the United Kingdom and the conviction is not a spent conviction;
(c)has at any time been convicted of an offence in the United Kingdom, and—
(i)the final outcome of the proceedings was a sentence of imprisonment or detention; and
(ii)the conviction is not a spent conviction;
(d)has at any time been removed from the office of charity trustee or trustee for a charity by an order made by the Charity Commissioners, the Charity Commission or the High Court on the grounds of any misconduct or mismanagement in the administration of the charity—
(i)for which the person was responsible or to which the person was privy; or
(ii)which the person by the person's conduct contributed to or facilitated,
from being concerned with the management or control of any body;
(e)has at any time been removed under—
(i)section 7 of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 M1 (powers of Court of Session to deal with management of charities); or
(ii)section 34(5)(e) of the Charities and Trustee Investment (Scotland) Act 2005 (powers of the Court of Session),
from being concerned with the management or control of any body;
(f)has at any time been removed from office as the chair, member, convenor or director of any public body on the grounds, in terms, that it was not in the interests of, or conducive to the good management of, that body that the person should continue to hold that office;
(g)at any time has been [F1made] bankrupt or sequestration of the person's estate has been awarded, and—
(i)the person has not been discharged; or
(ii)the person is the subject of a bankruptcy restrictions order or an interim bankruptcy restrictions order under Schedule 4A to the Insolvency Act 1986 M2 (bankruptcy restrictions order and undertaking);
(h)has at any time made a composition or arrangement with, or granted a trust deed for, the person's creditors and the person has not been discharged in respect of it;
(i)is subject to—
(i)a disqualification order or disqualification undertaking under the Company Directors Disqualification Act 1986 M3;
(ii)a disqualification order under Part H of the Companies (Northern Ireland) Order 1986 M4;
(iii)a disqualification undertaking under the Company Directors Disqualification (Northern Ireland) Order 2002 M5; or
(iv)an order made under section 429(2) of the Insolvency Act 1986 M6 (disabilities on revocation of a county court administration order);
(j)has at any time been convicted of an offence elsewhere than in the United Kingdom and the scheme manager is satisfied that the person's presence on the pension board would be liable to undermine public confidence in the governance, management or administration of—
(i)this scheme; or
(ii)any statutory pension scheme that is connected with it.
Textual Amendments
F1Word in Sch. 1 para. 3(2)(g) substituted (6.4.2016) by The Enterprise and Regulatory Reform Act 2013 (Consequential Amendments) (Bankruptcy) and the Small Business, Enterprise and Employment Act 2015 (Consequential Amendments) Regulations 2016 (S.I. 2016/481), reg. 1, Sch. 2 para. 13
Marginal Citations
M11990 c.40. Section 7 was repealed by section 104 of, and paragraph 7(b) of Schedule 4 to, the Charities and Trustee Investment (Scotland) Act 2005 (asp 10).
M21986 c.45. Schedule 4A was inserted by section 257(2) of, and Schedule 20 to, the Enterprise Act 2002 (c.40).
M6Section 429(2) has been amended by section 269 of, and paragraphs 1 and 15 of Schedule 23 to, the Enterprise Act 2002.
4.—(1) The scheme manager is to appoint the chair of the Board.
(2) If the person appointed is not already a member of the Board, by virtue of the appointment, the person becomes a member of the Board.
(3) The term of office of a member of the Board as chair is to be determined by the scheme manager on appointment of the member as chair, but it must be for a period that is no longer than the period between the chair's date of appointment as chair and the date on which the chair's term of office as a member is due to expire (irrespective of whether or not they are thereafter reappointed as a member).
(4) A member serving as chair ceases to be chair—
(a)on ceasing to be a member;
(b)if the member resigns as chair, which the member may do at any time by giving a minimum of six months' notice (or such shorter period as the scheme manager is prepared to accept) in writing to the scheme manager;
(c)if the member's membership of the Board is suspended by the scheme manager.
5.—(1) Only the following members of the Board are entitled to vote at meetings of the Board—
(a)members who are representatives of employers;
(b)members who are representatives of scheme members;
(c)the chair in the event of an equality of votes by those mentioned in sub-paragraphs (a) and (b).
(2) The quorum of the Board—
(a)is the lowest whole number of members which is equal to or exceeds two thirds of the total number of members of the Board entitled to vote;
(b)must include the chair.
6.—(1) The scheme manager must, from time to time, be satisfied that none of the members of the Board has a conflict of interest.
(2) For the purpose of enabling the scheme manager to be satisfied that a person referred to in sub-paragraph (3) does not have a conflict of interest, that person must provide the scheme manager with such information as the scheme manager reasonably requires.
(3) Those persons are—
(a)a member of the Board;
(b)a person proposed to be appointed by the scheme manager as a member of the Board.
7.—(1) The information about the Board required to be published by section 6 (Pension Board: information) of the 2013 Act must additionally include a statement in relation to each member of the Board setting out any financial or other interest not being a conflict of interest but which has the potential to constitute a conflict of interest in the future.
(2) The obligation to include a statement mentioned in sub-paragraph (1) may be satisfied in whole or in part by the publication of any information provided to the scheme manager for the purposes of paragraph 6(2).