Pension Schemes (Northern Ireland) Act 1993

98 Scope of Chapter I: annual increase of certain occupational pensions

(1) This Chapter shall have effect for the purpose of requiring the provision by schemes to which it applies of annual increases in the annual rates of pensions under those schemes.

(2) This Chapter applies to any occupational pension scheme—

(a) which is neither a public service pension scheme nor a money purchase scheme; and

(b) the rules of which do not require the annual rate of every pension to be increased each year by at least the appropriate percentage of that rate;

and in this Chapter such a scheme is referred to as a “qualifying scheme”.

(3) In this Chapter—

• “annual rate”, in relation to a pension or a part of a pension, means the annual rate of the pension or that part of it, as previously increased under the rules of the scheme or under this Chapter;

• “the appointed day” means the day on which this Chapter comes into operation;

• “appropriate percentage”, in relation to an increase in the annual rate of a pension or a part of a pension, means the percentage specified in the last revaluation order made before the increase is to take effect as the revaluation percentage for the last revaluation period of 12 months;

• “pension”, in relation to a scheme, means any pension which commences or has commenced under the scheme, but does not include—

  (a)

  a guaranteed minimum pension or any increase in such a pension under section 105; or

  (b)

  any money purchase benefit;

• “revaluation order” means an order under paragraph 2(1) of Schedule 2;

• “revaluation percentage” means a percentage specified for a revaluation period by a revaluation order;

• “revaluation period” has the meaning given by paragraph 2(2) of Schedule 2.