The Occupational Pension Schemes (Miscellaneous Amendments) Regulations (Northern Ireland) 2000

Explanatory Note

(This note is not part of the Regulations.)

These Regulations amend two sets of regulations related to the Pensions (Northern Ireland) Order 1995 (“the Order”) pursuant to Article 11(1) of the Welfare Reform and Pensions (Northern Ireland) Order 1999 (“the 1999 Order”) which substitutes paragraph (8) of Article 49 of the Order with paragraphs (8) to (13). Like the earlier Article 49(8), these paragraphs are concerned with the regulation of payments by employers to occupational pension schemes. However, whereas previously an employer was liable to a criminal penalty if he breached the requirement that deductions from an employee’s earnings in respect of contributions to an occupational pension scheme be paid to the trustees or managers within a prescribed period, the substituted provisions give the Occupational Pensions Regulatory Authority (OPRA) the power to impose a civil sanction for breach of that requirement. A person found guilty of the fraudulent evasion of the obligation to make timely payment, will though, remain liable to a criminal penalty.

Regulation 1 is concerned with citation, commencement and interpretation.

Regulation 2 inserts regulation 16A in the Occupational Pension Schemes (Scheme Administration) Regulations (Northern Ireland) 1997 providing for the period within which a deduction from earnings is to be paid to trustees or managers, laying down the time limits within which the trustees or managers must give notice of a breach of that requirement to OPRA and the member, and specifying the circumstances in which such notice need not be given. It also adds paragraph (4) to regulation 21 to prevent the trustees or managers of a money purchase scheme from being subject to a double reporting requirement in respect of a breach of the obligation to make timely payment to schemes of any contributions deducted from a member’s earnings.

Regulation 3 amends the Occupational Pension Schemes (Minimum Funding Requirement and Actuarial Valuations) Regulations (Northern Ireland) 1996 so as, similarly, to prevent the trustees or managers of a salary related scheme being subject to such a double reporting requirement.

The Welfare Reform and Pensions (1999 Order) (Commencement No. 2) Order (Northern Ireland) 2000 (S.R. 2000 No. 68 (C. 2)) provides for the coming into operation of Article 11(1), of the 1999 Order, in so far as it is not already in operation, on 3rd April 2000.

As these Regulations make in relation to Northern Ireland only provision corresponding to provision contained in Regulations made by the Secretary of State for Social Security in relation to Great Britain, the requirement for consultation under Article 117(1) of the Order does not apply by virtue of paragraph (2)(e) of that Article.