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The Armed Forces (Gurkha Pensions) Order 2007

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EXPLANATORY NOTE

(This note is not part of the Order)

This Order is made under the Armed Forces (Pensions and Compensation) Act 2004 (c. 32).

Article 1 provides that this Order comes into force on 1st October 2007.

Article 2 amends the Armed Forces Pension Scheme 2005 (“the AFPS 2005”), which was established by the Armed Forces Pension Scheme Order 2005 (S.I. 2005/438) and set out in Schedule 1 to that Order, by inserting a new Part L in that Scheme. Part L enables members and former members of the Gurkha Pension Scheme who were in service on or after 6th April 2006 to exercise options to join the AFPS 2005. There are different options according to whether the person exercising the option is an active member of Gurkha Pension Scheme, a pensioner member of that Scheme or a former active member of that Scheme with at least two years’ service. Such active members become active members of the AFPS 2005, such pensioner members and former active members are generally given rights entitling them to pensions when they reach the age of 65. However, such pensioner members with ill-health pensions become entitled to ill-health pensions under the AFPS 2005 regardless of their age.

Article 3 makes further amendments of the AFPS 2005, as a consequence of the addition of the new Part L, under which members of the scheme within Part L are accorded broadly similar treatment to those who joined from the Armed Forces Pension Scheme 1975. It also removes from rule B.1 (eligibility to be an active member of the AFPS 2005) the reference to the Royal Irish Regiment (Part Time), that Regiment having been disbanded by 31st March 2007.

Article 4 amends the Armed Forces Early Departure Payments Scheme Order 2005 (S.I. 2005/437) which established and sets out the Armed Forces Early Departure Payments Scheme 2005, including qualifying service in the Gurkha Pension Scheme as service that counts for the purposes of eligibility for benefits under that Scheme. It also removes references to the Royal Irish Regiment (Part Time) from that Order and from the Armed Forces Redundancy Scheme Order 2006 (S.I. 2006/55).

A full regulatory impact assessment has not been produced on this instrument as it has no impact on the costs of business, charities or the voluntary sector.

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