The Armed Forces Pensions (Amendment) Regulations 2022

Amendment of the Armed Forces Pension Scheme Order 2005

3.—(1) The Armed Forces Pension Scheme Order 2005(1) is amended as follows.

(2) In Schedule 2 (transitional provision)(2)—

(a) in paragraph 1 (interpretation), for the definition of “transition date”, substitute—

““transition date” in relation to a transition member means—

(a)

in the case of a member who ceased to be a full protection member of the AFPS 2005 in accordance with paragraph 7(2)(b), 1st April 2022;

(b)

in any other case, 1st April 2015 or, if later, the day a person ceased to be a full protection member of the AFPS 2005;”;

(b) in paragraph 7 (full protection members of the AFPS 2005), for sub-paragraph (2), substitute—

“(2) P ceases to be a full protection member of the AFPS 2005 at the end of whichever of the following days occurs first—

(a) the day on which P ceases to be in pensionable service under that scheme unless sub-paragraph (3) or (4) applies; or

(b) 31st March 2022.”;

(c) in paragraph 9 (members of an existing scheme or a public body pension scheme)—

(i) in sub-paragraph (1)(d), before “P would have been”, insert “sub-paragraph (1A) applies or”;

(ii) after sub-paragraph (1), insert—

“(1A) This sub-paragraph applies if—

(a) P was a full protection member of the existing scheme referred to in sub-paragraph (1)(c);

(b) P had ceased to be a full protection member of that scheme after leaving pensionable service under it; and

(c) the rules of that scheme made no provision for a person to re-enter pensionable service under the scheme.”;

(d) omit paragraph 41 (Secretary of State does not consider that the member has suffered a permanent breakdown of health involving incapacity for any full-time employment);

(e) in paragraph 46 (option to buy added years under the AFPS 2005 continues to have effect)—

(i) in sub-paragraph (1), for “31st March 2015”, in both places it occurs, substitute “the member’s transition date”;

(ii) in sub-paragraph (2), for “after 31st March 2015” substitute “on or after the member’s transition date”;

(f) after paragraph 47, insert—

“Purchase of added years for members seconded to NATO or the UN etc

47A.— (1) This paragraph applies to a transition member with continuity of service (T) if on T’s transition date T is in qualifying service in accordance with rule A.7(1)(b) (qualifying service) of the AFPS 2005.

(2) For rule C.6 (purchase of added years for members seconded to NATO or the UN etc) of the AFPS 2005, substitute—

“C.6.— (1) This rule applies if an active member (T) is seconded during any period—

(a) to the United Nations or the North Atlantic Treaty Organisation, or

(b) under arrangements with any other organisation or person under which persons who are in service as a result of which they are eligible to belong to the Scheme are seconded into other service.

(2) If at the end of that period T resumes service in the armed forces in which T is an active member of the Scheme, T may opt to make a single lump sum contribution to the Scheme to increase T’s reckonable service by an additional period equal to the length of T’s secondment before T’s transition date.

(3) The option may only be exercised if—

(a) T has given notice in writing to the Scheme administrator in such form as the Secretary of State requires; and

(b) T has also exercised an option under regulation 97 of the Armed Forces Pension Regulations 2014.

(4) If T exercises the option under paragraph (2) and pays a contribution equal to the aggregate amount of—

(a) any contributions returned to T by the pension arrangement to which T belonged in respect of T’s service during the secondment, and

(b) any lump sum paid to T on leaving the organisation or to the person to whom T was seconded as a severance payment,

T is entitled to count the period of T’s secondment before T’s transition date as reckonable service.

(5) If the aggregate amount mentioned in paragraph (4) is less than the amount determined by the Scheme actuary to be the amount required to be paid in order to increase T’s reckonable service by the period of T’s secondment before T’s transition date, the Secretary of State must make a contribution to the Scheme equal to the difference.

(6) If the aggregate amount mentioned in paragraph (4) exceeds the amount determined by the Scheme actuary in accordance with paragraph (5), the difference must be provided to the scheme administrator of the AFPS 2015.

(7) In this rule, “transition date” has the meaning given in paragraph 1 of Schedule 2.””.

(3) Paragraph (2)(c) and (f) have effect on and after 1st April 2015.

(1)

S.I. 2005/438.

(2)

The former Schedule 2 was revoked by S.I. 2006/717. The current Schedule 2 was inserted by S.I. 2015/568. There are other amending instruments but none is relevant.