EXPLANATORY NOTE
(This note is not part of the Regulations)
These Regulation make consequential and miscellaneous amendments in relation to schemes and sections of schemes providing collective money purchase benefits (“collective money purchase schemes”).
Regulation 2 makes amendments to the Occupational Pension Schemes (Preservation of Benefit) Regulations (Northern Ireland) 1991 so that bulk transfers without consent from a defined benefits scheme to a collective money purchase scheme will not be permitted and to allow bulk transfers where a collective money purchase scheme is being wound up.
Regulation 3 makes amendments to the Occupational Pension Schemes (Transfer Values) Regulations (Northern Ireland) 1996 to provide for a method of calculating cash equivalent transfer value for collective money purchase schemes.
Regulation 4 makes amendments to the Occupational Pension Schemes (Winding Up) Regulations (Northern Ireland) 1996 so that provisions stemming from Article 73 of the Pensions (Northern Ireland) Order 1995 (“the 1995 Order”) do not apply to scheme sections providing collective money purchase benefits.
Regulation 5 makes amendments to the Occupational Pension Schemes (Assignment, Forfeiture, Bankruptcy etc.) Regulations (Northern Ireland) 1997 to allow the periodic payments paid during the winding up of a collective money purchase scheme to be offset against the value of the member’s accrued rights.
Regulation 6 makes amendments to the Stakeholder Pension Schemes Regulations (Northern Ireland) 2000 to provide that a collective money purchase scheme cannot be a stakeholder pension scheme.
Regulation 7 makes amendments to the Occupational Pension Schemes (Employer Debt) Regulations (Northern Ireland) 2005 so that employer debt provisions stemming from Article 75 of the 1995 1995 do not apply to collective money purchase schemes.
Regulation 8 makes amendments to the Occupational Pension Schemes (Winding up, etc.) Regulations (Northern Ireland) 2005 so that provisions stemming from Article 73 of the 1995 Order do not apply to scheme sections providing collective money purchase benefits.
Regulation 9 makes amendments to the Occupational Pension Schemes (Scheme Funding) Regulations (Northern Ireland) 2005 so that scheme funding requirements do not apply to scheme sections that provide collective money purchase benefits.
Regulation 10 makes amendments to the Occupational Pension Schemes (Investment) Regulations (Northern Ireland) 2005 to reflect that collective money purchase schemes will not have a default arrangement.
Regulation 11 makes amendments to the Occupational and Personal Pension Schemes (Consultation by Employers) Regulations (Northern Ireland) 2006 so that there will be no requirement to consult in respect of collective money purchase benefit adjustments made in accordance with the latest actuarial valuation and the scheme rules.
Regulation 12 makes amendments to the Occupational Pension Schemes (Modification of Schemes) Regulations (Northern Ireland) 2006 so that the 1995 Order subsisting rights provisions do not apply to collective money purchase schemes in respect of adjustments to benefits nor in respect of decollectivisation on winding up.
Regulation 13 makes amendments to the Occupational and Personal Pension Schemes (Disclosure of Information) Regulations (Northern Ireland) 2014 to provide for a disclosure and publication regime for collective money purchase schemes.
As these Regulations, in so far as they are made under the 1995 Order and the Pensions (Northern Ireland) Order 2005, make in relation to Northern Ireland only provision corresponding to provision contained in regulations made by the Secretary of State for Work and Pensions in relation to Great Britain, the requirement for consultation does not apply by virtue of Article 117(2)(e) of the 1995 Order and Article 289(2)(e) of the Pensions (Northern Ireland) Order 2005.
An assessment of the cost to business of these Regulations is detailed in a Regulatory Impact Assessment, a copy of which has been laid in the Business Office and the Library of the Northern Ireland Assembly. Copies of the Assessment are available from the Department for Communities, Social Security Policy, Legislation and Decision Making Services, Level 6, Causeway Exchange, 1-7 Bedford Street, Belfast BT2 7EG or from the website: https://www.communities-ni.gov.uk/articles/pension-information. A copy of the Assessment is also annexed to the Explanatory Memorandum which is available alongside this Statutory Rule on the website: http://www.legislation.gov.uk/nisr.