The Pensions (2012 Act) (Transitional, Consequential and Supplementary Provisions) Regulations (Northern Ireland) 2014

Eligibility: schemes treated as money purchase schemes N.I.

42.—(1) Subject to paragraph (3), where the Board considers that the conditions specified in paragraph (2) are met in relation to an occupational pension scheme—

(a) an occupational pension scheme which would otherwise be an eligible scheme is not an eligible scheme in relation to any period falling before 1st April 2015;

(b) the scheme becomes an eligible scheme on 1st April 2015, and

(c) the relevant Pension Protection Fund provisions apply in relation to the scheme with effect from that date.

(2) The conditions specified in this paragraph are that immediately before the appointed day—

(a) the scheme included benefits which are not money purchase benefits, and

(b) the trustees or managers of the scheme treated the scheme as if it were a money purchase scheme and, for that reason, was not an eligible scheme.

(3) Paragraph (1)(b) and (c) does not apply where—

(a) the scheme falls within the description of schemes which are not eligible schemes specified in regulation 2 M1 of the Entry Rules Regulations (schemes which are not eligible schemes);

(b) an insolvency event has occurred in relation to the employer in relation to the scheme before 1st April 2015, or

(c) the trustees or managers of the scheme have during the period beginning with the appointed day and ending immediately before 1st April 2015, entered into a legally enforceable agreement the effect of which is to reduce the amount of any debt due to the scheme under Article 75 M2 of the 1995 Order (deficiencies in the assets) which may be recovered by, or on behalf of, the trustees or managers of the scheme.

(4) Paragraph (3)(b) applies in relation to a multi-employer scheme that is a non-segregated scheme as if the reference to “the employer in relation to the scheme” were a reference to the employer who is the only remaining employer in relation to that scheme.

(5) Paragraph (3)(c) does not apply where the conditions specified in regulation 2(3)(a) or (b) of the Entry Rules Regulations would be met if the scheme had been an eligible scheme in the period beginning with the appointed day and ending immediately before 1st April 2015.

(6) In this regulation “insolvency event” has the meaning given by Article 105 M3 of the 2005 Order (insolvency event, insolvency date and insolvency practitioner).

Marginal Citations

M1 Regulation 2 was amended by regulation 3 of S.R. 2005 No. 194 and regulation 2 of S.R. 2005 No. 364, regulation 22 of S.R. 2006 No. 155, regulation 2 of S.R. 2007 No. 193, regulation 18 of S.R. 2008 No. 132, regulation 3 of S.R. 2010 No. 32 and regulation 3 of S.R. 2010 No. 111 and regulation 3 of S.R. 2012 No. 1

M2 Article 75 was amended by Article 248 of the Pensions (Northern Ireland) Order 2005

M3 Article 105 was amended by Article 2 of S.R. 2006 No. 529 and paragraph 252 of Schedule 1 to S.I. 2009/1941