The Automatic Enrolment (Miscellaneous Amendments) Regulations 2012

Amendment of regulation 43

37.  In regulation 43 (modification allowing different quality requirements to be satisfied in aggregate)—

(a) in paragraph (1) for “Paragraphs (2) to (5)” substitute “Paragraphs (2) to (4)”;

(b) for paragraph (3)(b) substitute—

“(b) all of the paragraph (b) quality requirements are met apart from the relevant benefit requirement (“requirement Y”); and”;

(c) for paragraph (4)(b) substitute—

“(b) the extent to which requirement Y is met as a proportion of—

(i) where the requirement in subsection (4) of section 23 of the Act applies, the annual rate of pension specified in that subsection; or

(ii) where a requirement in paragraph (4), (6) or (7) of regulation 39A applies, the sum of money to be made available for the provision of benefits as specified in the relevant paragraph.”; and

(d) for paragraphs (5) and (6) substitute—

“(5) Where paragraphs (2) to (4) have effect in relation to a hybrid scheme of the relevant description, regulation 39 is to be read as if, for paragraph (5), there were substituted—

“(5) A scheme actuary or employer may not certify that a scheme satisfies the test scheme standard if the aggregate percentage referred to in regulation 43(3)(c) is less than 100 in relation to more than 10% of relevant members.”.

(6) In this regulation, “the relevant benefit requirement” means—

(a) the requirements in subsection (4) of section 23 of the Act where that subsection applies; or

(b) one of the requirements specified in regulation 39A where that regulation applies.”.