The New Firefighters’ Pension Scheme (Amendment) (No. 2) Order (Northern Ireland) 2014

EXPLANATORY NOTE

(This note is not part of the Order)

This Order amends the New Firefighters’ Pension Scheme Order (Northern Ireland) 2007. Some of the amendments introduce new provisions to the New Firefighters’ Pension Scheme Order (Northern Ireland) 2007 (“the Scheme”) set out in that Order. Others make minor corrections to the Scheme.

Except as mentioned below the Order has effect from 1st July 2014. Power to give the Order retrospective effect is conferred by article 10 of the Fire Services (Northern Ireland) Order 1984.

The amendments made by paragraphs 1, 2(a), 4 and 5 of the Schedule are to make minor changes to the Scheme. The amendment made by paragraph 1 is to ensure that those who took up employment as a firefighter before 6th April 2006 and were either not eligible to be a member of the Firefighters’ Pension Scheme 2007 or made an election not to pay pension contributions required by that scheme, are treated as a firefighter member of the Scheme when automatically enrolled into that Scheme. This amendment has retrospective effect from 1st October 2013.

The amendment made by paragraph 2(b)(i) is to make a correction so that it is clear which pensionable service can count for the additional pension benefit: long service increment in article 17A of Part 3.

Paragraph 3 of the Schedule inserts a new article 17B which extends additional pension benefit so that it covers—

• payments to reward additional skills and responsibilities outside the requirements of the firefighter member’s duties under the contract of employment but which are within the wider functions of the job;

• any additional pay received whilst on temporary promotion or whilst temporarily carrying out the duties of a higher role;

• any non-consolidated performance related payment.

Any payments in respect of a firefighter member’s continuing professional development continue to be covered by additional pension benefit.

The amendments made by sub-paragraphs (ii), (iii) and (iv) of paragraph 2(b) and paragraph 3 in relation to paragraphs (3) and (4) of the new article 17B amend the method of uprating additional pension benefit for the long service increment (article 17A of Part 3) and continuing professional development (article 17B) from a specific index, retail price index, to an index in accordance with the Pension (Increase) Act (Northern Ireland) 1971. There is a specific provision to provide that the consumer price index is used for the tax year 2010/2011. These amendments have effect from 11^th April 2011.

Paragraph 5(a) of the Schedule amends the definition of pensionable pay to include payments which are pensionable under additional pension benefit (article 17B) and provide that payments which are not within the definition of pensionable pay in article 61(1)(a) as amended, or additional pension benefits payable for long service or in respect of a firefighter’s continual professional development, should remain pensionable whilst the firefighter continues to receive them. Paragraph 5(b) amends the payments treated as final pensionable pay to exclude additional pension benefit payments payable within article 17B of Part 3.

The amendments made by paragraph 6 of the Schedule require the Board to transfer into the Firefighters’ Pension Fund an amount equal to the amount of pension paid to a person in respect of whom the authority choose not to exercise its discretion to withdraw or abate the permitted part of that individual’s pension under article 52 (withdrawal of pension during service as a firefighter) of Part 9 (review, withdrawal and forfeiture of awards).

The amendment made to Schedule 2 (appeal to independent medical referee) by paragraph 7 of the schedule enable—

• the independent medical referee to reconsider its decision where the parties agree that it has made a material error of fact;

• the Board to recover some or all of the expenses of the independent medical referee where the appellant has withdrawn the appeal or requested the date for an interview or examination to be cancelled or postponed less than 21 working days before the date appointed.

A full impact assessment has not been produced for this Order as no impact on the private or voluntary sector is foreseen.