2020 No. 1511 (W. 323)

Public Service Pensions, Wales

The Firefighters’ Pension Schemes and Compensation Scheme (Wales) (Amendment) Regulations 2020

Made10 December 2020

Laid before Senedd Cymru14 December 2020

Coming into force23 February 2021

The Welsh Ministers make these Regulations in exercise of the powers conferred by section 26(1), (2) and (5) of the Fire Services Act 19471; section 12 of the Superannuation Act 19722, as applied by section 16(3) of that Act3; and section 34(1) to (4) of the Fire and Rescue Services Act 20044 5, now vested in the Welsh Ministers.

The Welsh Ministers also make these Regulations in exercise of the powers conferred by sections 1(1) and (2)(f)6, 2(1), 3(1) to (3) and 18(5)(a) and (6) of, and Schedules 2 (paragraph 6(b)) and 3 (paragraphs 1 to 4) to, the Public Service Pensions Act 20137.

Before making these Regulations, and in accordance with section 34(5) of the Fire and Rescue Services Act 2004, the Welsh Ministers consulted such persons as they considered appropriate.

In accordance with section 21(1) of the Public Service Pensions Act 2013, the Welsh Ministers have consulted the representatives of such persons as appear to the Welsh Ministers likely to be affected by these Regulations.

PART 1General

Title, commencement and application1

1

The title of these Regulations is the Firefighters’ Pension Schemes and Compensation Scheme (Wales) (Amendment) Regulations 2020.

2

These Regulations come into force on 23 February 2021.

3

The provisions in—

a

regulations 4(1), 4(2), 4(4) and 11 have effect from 5 December 2005;

b

regulation 12 has effect from 1 April 2006;

c

regulation 7 has effect from 6 April 2006;

d

regulation 3 has effect from 1 April 2007;

e

regulations 5 and 8 have effect from 1 December 2009;

f

regulation 4(3) has effect from 13 March 2014;

g

regulation 14 has effect from 1 April 20158.

4

These Regulations apply in relation to Wales.

PART 2Firemen’s Pension Scheme Order 1992

Amendments to the Firemen’s Pension Scheme Order 19922

Schedule 2 to the Firemen’s Pension Scheme Order 19929 (in which is set out the Firefighters’ Pension (Wales) Scheme10 (“the 1992 Scheme”)) is amended as set out in regulations 3 to 5.

Increases to split pensions: the 1992 Scheme3

In Part B (personal awards), in rule B5A (entitlement to two pensions)11—

a

in paragraph (2), for “exceeds” substitute “is lower than”;

b

after paragraph (3) insert—

3A
The amount of the first pension determined under paragraph (3) or (4B)(a), is increased for each year before the firefighter’s last day of service by an amount equivalent to that which would apply if the first pension were a pension in payment commencing from the day after the date of the firefighter’s last day of service at the higher rate of pay, to which the Pensions (Increase) Act 197112 applied.

c

in paragraph (6), after “B1,” insert “B1A,”;

d

in paragraph (9), for “paragraph (3)” substitute “paragraph (4)”.

Survivor benefits for civil partners and same sex spouses: the 1992 Scheme4

1

In Part C (awards on death – spouses)—

a

in rule C1 (spouse’s ordinary pension)—

i

in paragraph (2)13, after “spouse” insert “or surviving civil partner”;

ii

omit paragraph (2A)14;

b

in rule C4 (spouse’s accrued pension), in paragraph (3)15—

i

in sub-paragraph (a), after “spouse” insert “or surviving civil partner”;

ii

omit sub-paragraph (b) and the “and” preceding it;

c

in rule C5 (limitation on award to spouse or civil partner by reference to date of marriage or formation of partnership)16—

i

in paragraph (2), after “spouse” insert “or surviving civil partner”;

ii

omit paragraph (3);

d

in rule C6 (spouse or civil partner’s requisite benefit and temporary pension), in paragraph (4)17—

i

in sub-paragraph (a), omit “in the case of a surviving spouse,”;

ii

omit sub-paragraph (b) and the “and” preceding it;

e

in rule C8 (limitation where spouses living apart), in paragraph (2)18—

i

in sub-paragraph (a), omit “in the case of a surviving spouse,”;

ii

omit sub-paragraph (b) and the “and” preceding it.

2

In Part J (special cases), in rule J1 (guaranteed minimum pensions)19—

a

in paragraph (2)—

i

for sub-paragraph (b) substitute—

b
in the case of a person who dies at any time and leaves a widow, a surviving same sex spouse or surviving civil partner, that person is entitled to a pension of a weekly rate equal to half the deceased person’s guaranteed minimum, and

ii

omit sub-paragraph (d) and the “and” preceding it;

b

in paragraph (4), for “, (c) or (d)” substitute “or (c)”.

3

In Schedule 1 (interpretation) to the 1992 Scheme, omit paragraphs 1 and 2 of Part 3 (provision relating to same sex couples)20.

4

In Schedule 3 (awards on death – spouses) to the 1992 Scheme—

a

in Part 3 (spouse’s accrued pension)—

i

in paragraph 2(1), after “spouse’s” insert “, or surviving civil partner’s,”;

ii

in paragraph 3(1), after “spouse” insert “or surviving civil partner”;

b

in Part 4 (pension for surviving spouse of post-retirement marriage), in paragraphs 1(1)21 and 2(1), after “surviving spouse” insert “or surviving civil partner”.

Commutation of small pension credits: the 1992 Scheme5

In Part IA (pension credit members), in rule IA2(1)22 (commutation of the pension credit benefits), for “In the circumstances described in regulation 3(2)(b) of the Pension Sharing (Pension Credit Benefit) Regulations 2000 (commutation of pension credit benefit: small pensions)” substitute “Where the amount of pension payable under rule IA1 does not exceed the trivial commutation lump sum limit in paragraph 7 of Schedule 29 to the Finance Act 2004 (lump sum rule)23”.

PART 3Firefighters’ Pension Scheme (Wales) Order 2007

Amendments to the Firefighters’ Pension Scheme (Wales) Order 20076

Schedule 1 to the Firefighters’ Pension Scheme (Wales) Order 200724 (in which is set out the New Firefighters’ Pension Scheme (Wales) (“the 2007 Scheme”)) is amended as set out in regulations 7 to 9.

Increases to split pensions: the 2007 Scheme7

In Part 3 (personal awards), in rule 7 (entitlement to two pensions)25—

a

in paragraph (2) for “paragraphs (3) and (4)” substitute “paragraphs (3), (3A) and (4)”;

b

after paragraph (3) insert—

3A
The amount of the first pension determined under paragraph (3), is increased for each year before the firefighter’s last day of service by an amount equivalent to that which would apply if the first pension were a pension in payment commencing from the date that paragraph (1) first applied to the member, to which the Pensions (Increase) Act 1971 applied.

Commutation of small pension credits: the 2007 Scheme8

In Part 6 (pension sharing on divorce), in rule 2 (commutation of whole of pension credit benefits), in paragraph (1), for “In the circumstances described in regulation 3(2)(b) of the Pension Sharing (Pension Credit Benefit) Regulations 2000 (commutation of pension credit benefit: small pensions)” substitute “Where the amount of pension payable under this Part does not exceed the trivial commutation lump sum limit in paragraph 7 of Schedule 29 to the Finance Act 2004 (lump sum rule)26”.

Commuted portion: special members: the 2007 Scheme9

In Annex ZA, for the Table substitute—

Years
Age in years and completed months on day pension commences
0
1
2
3
4
5
6
7
8
9
10
11
Below
50
23.4
50
22.4
22.3
22.3
22.3
22.3
22.2
22.2
22.2
22.2
22.1
22.1
22.1
51
22.1
22.0
22.0
22.0
22.0
21.9
21.9
21.9
21.9
21.8
21.8
21.8
52
21.8
21.7
21.7
21.7
21.7
21.6
21.6
21.6
21.6
21.5
21.5
21.5
53
21.5
21.4
21.4
21.4
21.3
21.3
21.3
21.3
21.2
21.2
21.2
21.1
54
21.1
21.1
21.1
21.0
21.0
21.0
21.0
20.9
20.9
20.9
20.9
20.8
55
20.8
20.8
20.8
20.7
20.7
20.7
20.6
20.6
20.6
20.5
20.5
20.5
56
20.4
20.4
20.4
20.4
20.3
20.3
20.3
20.2
20.2
20.2
20.1
20.1
57
20.1
20.0
20.0
20.0
19.9
19.9
19.9
19.8
19.8
19.8
19.7
19.7
58
19.7
19.6
19.6
19.6
19.5
19.5
19.5
19.4
19.4
19.4
19.3
19.3
59
19.3
19.2
19.2
19.2
19.1
19.1
19.1
19.0
19.0
19.0
18.9
18.9
60
18.9
18.8
18.8
18.7
18.7
18.7
18.6
18.6
18.6
18.5
18.5
18.5
61
18.4
18.4
18.4
18.3
18.3
18.2
18.2
18.2
18.1
18.1
18.1
18.0
62
18.0
18.0
17.9
17.9
17.8
17.8
17.8
17.7
17.7
17.7
17.6
17.6
63
17.5
17.5
17.5
17.4
17.4
17.4
17.3
17.3
17.2
17.2
17.2
17.1
64
17.1
17.1
17.0
17.0
16.9
16.9
16.9
16.8
16.8
16.8
16.7
16.7
65
16.6
16.6
16.6
16.5
16.5
16.5
16.4
16.4
16.3
16.3
16.3
16.2
66
16.2
16.2
16.1
16.1
16.0
16.0
16.0
15.9
15.9
15.9
15.8
15.8
67
15.7
15.7
15.7
15.6
15.6
15.6
15.5
15.5
15.4
15.4
15.4
15.3
68
15.3
15.2
15.2
15.2
15.1
15.1
15.1
15.0
15.0
14.9
14.9
14.9
69
14.8
14.8
14.7
14.7
14.7
14.6
14.6
14.5
14.5
14.5
14.4
14.4
70
14.3
14.3
14.3
14.2
14.2
14.1
14.1
14.0
14.0
14.0
13.9
13.9
71
13.8
13.8
13.8
13.7
13.7
13.6
13.6
13.5
13.5
13.5
13.4
13.4
72
13.3
13.3
13.2
13.2
13.2
13.1
13.1
13.0
13.0
12.9
12.9
12.8
73
12.8
12.8
12.7
12.7
12.6
12.6
12.5
12.5
12.4
12.4
12.3
12.3
74
12.3
12.2
12.2
12.1
12.1
12.0
12.0
11.9
11.9
11.8
11.8
11.7
75
11.7

Years	Age in years and completed months on day pension commences
0	1	2	3	4	5	6	7	8	9	10	11
Below 50	23.4
50	22.4	22.3	22.3	22.3	22.3	22.2	22.2	22.2	22.2	22.1	22.1	22.1
51	22.1	22.0	22.0	22.0	22.0	21.9	21.9	21.9	21.9	21.8	21.8	21.8
52	21.8	21.7	21.7	21.7	21.7	21.6	21.6	21.6	21.6	21.5	21.5	21.5
53	21.5	21.4	21.4	21.4	21.3	21.3	21.3	21.3	21.2	21.2	21.2	21.1
54	21.1	21.1	21.1	21.0	21.0	21.0	21.0	20.9	20.9	20.9	20.9	20.8
55	20.8	20.8	20.8	20.7	20.7	20.7	20.6	20.6	20.6	20.5	20.5	20.5
56	20.4	20.4	20.4	20.4	20.3	20.3	20.3	20.2	20.2	20.2	20.1	20.1
57	20.1	20.0	20.0	20.0	19.9	19.9	19.9	19.8	19.8	19.8	19.7	19.7
58	19.7	19.6	19.6	19.6	19.5	19.5	19.5	19.4	19.4	19.4	19.3	19.3
59	19.3	19.2	19.2	19.2	19.1	19.1	19.1	19.0	19.0	19.0	18.9	18.9
60	18.9	18.8	18.8	18.7	18.7	18.7	18.6	18.6	18.6	18.5	18.5	18.5
61	18.4	18.4	18.4	18.3	18.3	18.2	18.2	18.2	18.1	18.1	18.1	18.0
62	18.0	18.0	17.9	17.9	17.8	17.8	17.8	17.7	17.7	17.7	17.6	17.6
63	17.5	17.5	17.5	17.4	17.4	17.4	17.3	17.3	17.2	17.2	17.2	17.1
64	17.1	17.1	17.0	17.0	16.9	16.9	16.9	16.8	16.8	16.8	16.7	16.7
65	16.6	16.6	16.6	16.5	16.5	16.5	16.4	16.4	16.3	16.3	16.3	16.2
66	16.2	16.2	16.1	16.1	16.0	16.0	16.0	15.9	15.9	15.9	15.8	15.8
67	15.7	15.7	15.7	15.6	15.6	15.6	15.5	15.5	15.4	15.4	15.4	15.3
68	15.3	15.2	15.2	15.2	15.1	15.1	15.1	15.0	15.0	14.9	14.9	14.9
69	14.8	14.8	14.7	14.7	14.7	14.6	14.6	14.5	14.5	14.5	14.4	14.4
70	14.3	14.3	14.3	14.2	14.2	14.1	14.1	14.0	14.0	14.0	13.9	13.9
71	13.8	13.8	13.8	13.7	13.7	13.6	13.6	13.5	13.5	13.5	13.4	13.4
72	13.3	13.3	13.2	13.2	13.2	13.1	13.1	13.0	13.0	12.9	12.9	12.8
73	12.8	12.8	12.7	12.7	12.6	12.6	12.5	12.5	12.4	12.4	12.3	12.3
74	12.3	12.2	12.2	12.1	12.1	12.0	12.0	11.9	11.9	11.8	11.8	11.7
75	11.7

PART 4Firefighters’ Compensation Scheme (Wales) Order 2007

Amendments to the Firefighters’ Compensation Scheme (Wales) Order 200710

Schedule 1 to the Firefighters’ Compensation Scheme (Wales) Order 200727 (in which is set out the Firefighters’ Compensation Scheme (Wales) 2007 (“the 2007 Compensation Scheme”)) is amended as set out in regulations 11 and 12.

Survivor benefits for civil partners and same sex spouses: the 2007 Compensation Scheme11

In Part 3 (awards on death: spouses and civil partners)—

a

in rule 1 (special award for spouse or civil partner), in paragraph (3)28—

i

in sub-paragraph (a), after “spouse” insert “or surviving civil partner”;

ii

omit sub-paragraph (b);

b

in rule 3 (limitation on award to spouse or civil partner by reference to date of marriage or formation of partnership)—

i

in paragraph (2), after “spouse” insert “or surviving civil partner”;

ii

omit paragraph (3);

c

in rule 4 (limitation where spouse or civil partner is living apart), in paragraph (2)29—

i

in sub-paragraph (a), after “spouse” insert “or surviving civil partner”;

ii

omit sub-paragraph (b) and the “and” preceding it.

Awards on death: children: the 2007 Compensation Scheme12

In Part 4 (awards on death: children), in rule 3 (child’s special allowance or gratuity: limitations)—

a

in the heading, omit “or gratuity”;

b

omit paragraph (1);

c

in paragraph (5)(a), for “(b) or (c)” substitute “(2)(b) or (c)”.

PART 5 Firefighters’ Pension Scheme (Wales) Regulations 2015

Amendments to the Firefighters’ Pension Scheme (Wales) Regulations 201513

The Firefighters’ Pension Scheme (Wales) Regulations 2015, which establishes the Firefighters’ Pension Scheme (Wales) 201530 (“the 2015 Scheme”), are amended in accordance with regulation 14.

Club transfer value payments: the 2015 Scheme14

In Schedule 2 (transitional provisions), in paragraph 45 (acceptance of club transfer value payments), after “relates to a member’s final salary benefit” insert “, apart from a payment from the 1992 Scheme as that scheme has effect in England, Scotland and Northern Ireland,”.

Hannah BlythynDeputy Minister for Housing and Local Government, one of the Welsh Ministers10 December 2020

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend—

a

the Firemen’s Pension Scheme Order 1992 which sets out, in Schedule 2, the Firefighters’ Pension (Wales) Scheme (“the 1992 Order”),

b

the Firefighters’ Pension Scheme (Wales) Order 2007 which sets out, in Schedule 1, the New Firefighters’ Pension Scheme (Wales) (“the 2007 Order”),

c

the Firefighters’ Compensation Scheme (Wales) Order 2007 which sets out, in Schedule 1, the Firefighters’ Compensation Scheme (Wales) 2007 (“the 2007 Compensation Order”), and

d

the Firefighters’ Pension Scheme (Wales) Regulations 2015 which set out the Firefighters’ Pension Scheme (Wales) 2015 (“the 2015 Regulations”).

Certain of the regulations have retrospective effect – these are set out in regulation 1(3). The following provisions in the enabling legislation permit regulations made under those provisions to have retrospective effect—

a

section 12 of the Superannuation Act 1972, as applied by section 16(3) of that Act in relation to orders made under section 26 of the Fire Services Act 1947,

b

section 34(3) of the Fire and Rescue Services Act 2004, and

c

section 3(3)(b) of the Public Service Pensions Act 2013.

Regulations 3 to 5 make amendments to the 1992 Order. The amendments made by regulation 3(a), (c) and (d), ensure that a firefighter is not disadvantaged by the provision which allows for two pensions to be awarded, calculated separately, after a significant reduction in pay, and also make other minor updates. Regulation 3(b) clarifies that where a firefighter has an entitlement to two pensions under the 1992 Order, the amount of the first pension is uprated annually from the date that the firefighter ceased to earn the higher rate of pay.

The effect of the amendments in regulation 4 is to bring the benefits payable to survivors of civil partnerships and same sex marriages into line with the benefits payable to survivors of opposite-sex marriages.

Regulation 5 updates an out of date statutory reference in the 1992 Order.

Regulations 7 to 9 make amendments to the 2007 Order. Regulation 7 clarifies that where a firefighter has an entitlement to two pensions under the 2007 Scheme, the amount of the first pension is uprated annually from the date that the firefighter ceased to earn the higher rate of pay.

Regulation 8 updates an out of date statutory reference in the 2007 Order.

Regulation 9 substitutes the table of commutation factors for special members set out in Annex ZA to the 2007 Order to include factors beyond age 65, up to age 75. The commutation factors as on 31 March 2014 (up to age 65) have been replicated in the substituted table and have not changed.

Regulations 11 and 12 make amendments to the 2007 Compensation Order.

The effect of the amendments in regulation 11 is to bring the benefits payable to survivors of civil partnerships and same sex marriages into line with the benefits payable to survivors of opposite-sex marriages.

Regulation 12 amends rule 3 (child’s special allowance: limitations) in Part 4 of the 2007 Compensation Order by removing some of the limitations applied to dependent, step and adopted children, as well as to children of unmarried parents. It also amends the heading of rule 3 and clarifies a cross reference in rule 3(5)(a).

Regulation 14 makes an amendment to the 2015 Regulations to clarify that protected members of the Scheme constituted by the 1992 Order transferring to Wales from England, Scotland and Northern Ireland continue to be entitled to remain as members of that Scheme.

The amendments made by—

a

regulations 4(1), 4(2), 4(4) and 11 have effect from 5 December 2005;

b

regulation 12 has effect from 1 April 2006;

c

regulation 7 has effect from 6 April 2006;

d

regulation 3 has effect from 1 April 2007;

e

regulations 5 and 8 have effect from 1 December 2009;

f

regulation 4(3) has effect from 13 March 2014;

g

regulation 14 has effect from 1 April 2015;

h

regulation 9 has effect from 23 February 2021.

The Welsh Ministers’ Regulatory Impact Assessment Code for Subordinate Legislation has been considered in relation to these Regulations. As a result, it was not considered necessary to carry out a regulatory impact assessment as to the likely costs and benefits of complying with these Regulations.