The Health and Social Care Pension Schemes (Amendment No.2) Regulations (Northern Ireland) 2024

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations further amend the Health and Personal Social Services (Superannuation) Regulations (Northern Ireland) 1995 (S.R.1995 No. 95) (“the 1995 Regulations”), the Health and Social Services (Superannuation) (Additional Voluntary Contributions) Regulations (Northern Ireland) 1999 (S.R.1999 No.294), the Health and Social Care (Pension Scheme) Regulations (Northern Ireland) 2008 (S.R. 2008 No.256) (“the 2008 Regulations”), the Health and Social Care Pension Scheme Regulations (Northern Ireland) 2015 (S.R. 2015 No. 120) (“the 2015 Regulations”), the Health and Social Care Pension Scheme (Transitional and Consequential Provisions) Regulations (Northern Ireland) 2015 (S.R. 2015 No.122) (“the 2015 Transitional Regulations”), the Health and Social Care (Amendment) Regulations (Northern Ireland) 2023 (S.R. 2023 No.33) and the Health and Social Care Pension Schemes (Partial Retirement etc.) Regulations (Northern Ireland) 2024 (S.R. 2024 No. 50).

These Regulations come into operation on 12th June 2024, although regulation 1(2) provides for certain provisions to have effect from an earlier date, 1st April 2015. Section 3(3)(b) of the Public Service Pensions Act (Northern Ireland) 2014 (c. 2) provides that Scheme Regulations may make retrospective provision.

Regulations 3 and 4 amend the 1995 Regulations to make provision regarding definitions.

Regulations 5, 6 and 7 make provision regarding partial retirement in the 1995 Scheme in two ways. Firstly, regulations 5(2)(a) and (b), (3), (5) and (6), and regulation 7(2) ensure that members of the 1995 Scheme who have reached maximum service are able to access partial retirement with respect to their 1995 Scheme benefits. Secondly, regulations 5(2)(c), 6, 7(3) and (4) ensure that the effect on superannuable pay of entering into or leaving a salary sacrifice arrangement is disregarded for partial retirement purposes.

Regulations 5(4) amends the 1995 Regulations to reflect changes made by the Finance Act 2024, in removing the lifetime allowance and replacing this with the lump sum and death benefit allowance. The 2008, 2015 and Transitional Regulations are amended to similar effect by regulations 12(4), 16(3), 22(3) and 28 respectively.

Regulations 8 and 30 amend the 1995 Regulations and the Transitional Regulations respectively to remove special class abatement.

Regulation 9 amends the 1999 Regulations to reflect the changes made by the Finance Act 2024 to include a pension commencement excess lump sum as an optional payment, having received proceeds from an investment made under regulation 7(1), 8(2) or 9(4) of the 1999 Regulations.

Regulation 11 and 15 amend the 2008 Regulations to make provision regarding definitions.

Regulation 12, 13, 14, 16 and 17 make provision regarding partial retirement in the 2008 Scheme in two ways. Firstly, regulations 12(2)(a), (3), (5) and (6), 14(2), 16(2) and 17 ensure that members of the 2008 Scheme who have reached maximum service are able to access partial retirement with respect to their 2008 Scheme benefits. Secondly, regulations 12(2)(b), 13, 14(3) and (4) ensure that the effect on pensionable earnings of entering into or leaving a salary sacrifice is disregarded for partial retirement purposes.

Regulation 19 corrects a pre-existing error in the 2015 Regulations.

Regulations 20 and 21 update member contribution provisions to reflect the start of scheme years 2024/25 to 2027/28. Regulation 20 updates the tables in paragraph (3) and 3(A) of regulation 30 (members’ contributions: employees), which set out pensionable earnings bands and contribution rates, to reflect scheme years 2024/25 to 2027/28. Regulation 21 inserts table 3 in regulation 31 (members’ contributions: practitioners and non-GP providers) which sets out the pensionable earnings bands and contribution rates for year 2024/25 to 2027/28. Regulations 20 and 21 also introduce an automatic increase to the pensionable earnings bands in column 1 of the tables in paragraph (3) and (3A) of regulation 30 and regulation 31, from scheme year 2025/26 and ending with (and including) scheme year 2027/28, where there is an increase in the consumer price index for that scheme year.

Regulations 22, 23 and 24 ensure that the effect on pensionable earnings of entering or leaving a salary sacrifice arrangement is disregarded for partial retirement purposes in the 2015 Scheme.

Regulation 25 makes provision regarding definitions, notably by amending the definition of overtime. Regulations 30(3)(a), (c), (d) and (e) correct omissions in the 2015 Regulations.

Regulation 27 amends the Transitional Regulations by making provision regarding definitions.

Regulation 29 makes provision for the calculation of lump sums on death with regards to non-pensionable old scheme members who have partially retired with respect to their 1995 or 2008 Scheme benefits.

Regulation 31 amends S.R. 2023 No.33 to extend the temporary modifications made by that statutory rule.

Regulation 32 amends S.R. 2024 No.50 to correct a pre-existing error.