Child Support, Pensions and Social Security Act 2000

Prospective

44 Corporate trustees. E+W+S

(1) Section 18 of the M1 Pensions Act 1995 (requirements for member-nominated directors of trustee company) shall be amended in accordance with subsections (2) to (9) of this section.

(2) In subsection (1) (duty of corporate trustee to make arrangements for selection of member-nominated directors)—

(a) for the words from “and the employer” to “satisfied” there shall be substituted “and there is no trustee of the scheme who is not a company”;

(b) the words “, subject to section 19,” and in paragraph (b), the words “, and the appropriate rules,” shall be omitted; and

(c) in paragraph (a), for “persons selected” there shall be substituted “the selection of persons nominated”.

(3) In subsection (3)(a) (selected persons to be directors), for “in accordance with the appropriate rules” there shall be substituted “as a member-nominated director”.

(4) In subsection (4) (procedure for filling vacancies unfilled because of insufficient nominations), for “the appropriate rules” there shall be substituted “regulations”.

(5) In subsection (5) (period of service as a member-nominated director), after “six years” there shall be inserted “but for a member-nominated director to be eligible for selection again at the end of any period of service as such a director.”

(6) After subsection (6) there shall be inserted—

“(6A) The arrangements must provide that, where the employer so requires, a person who is not a qualifying member of the scheme must have the employer’s approval to qualify for selection as a member-nominated director.”

(7) In subsection (7) (persons ceasing to be member-nominated directors on ceasing to be qualifying members of the scheme)—

(a) for “The arrangements must” there shall be substituted “The arrangements—

(a) must”; and

(b) at the end there shall be inserted “; and

(b) may provide for a member-nominated director who—

(i) is a qualifying member of one of the following descriptions, that is to say, an active, deferred or pensioner member, and

(ii) ceases (without ceasing to be a qualifying member) to be a qualifying member of that description,

to cease, by virtue of that fact, to be a director.”

(8) For subsection (8) (companies that are trustees of two or more different trust schemes) there shall be substituted—

“(8) Where—

(a) the same company is a trustee of two or more schemes by reference to each of which this section applies to the company, and

(b) the company does not, in the prescribed manner, elect that this subsection should not apply,

the preceding provisions of this section and section 21(8) shall have effect as if those schemes were a single scheme and the members of each of the schemes were members of that single scheme.”

(9) After subsection (8) there shall be inserted—

“(9) Regulations may make provision in relation to arrangements under this section—

(a) supplementing the requirements of this section as to the matters to be contained in the arrangements; and

(b) providing for the manner in which, and the time within which, persons are, for the purposes of the arrangements, to be nominated and selected as member-nominated directors.

(10) This section does not apply in the case of a trust scheme if the scheme is of a prescribed description.”

(10) Sections 19 and 20 of that Act (exceptions to section 18 where the employer’s alternative proposals are approved and meaning of “appropriate rules”) shall cease to have effect.

Marginal Citations

M1 1995 c. 26.