PART 5Pension Credit Members
CHAPTER 2Provision where all remediable or relevant service was in the 2015 scheme
Application of ChapterI148
1
This Chapter applies where the following three conditions are met.
2
The first condition is that a relevant pension credit member (“C”) has rights in respect of a pension credit under the 2015 scheme.
3
The second condition is that the corresponding pension debit member in relation to C (“P”) is subject to a pension debit in the 2015 scheme.
4
The third condition is that—
a
this Part applies by virtue of regulation 46(1), but only if none of P’s remediable service is pensionable service in a judicial legacy scheme33 (disregarding any legacy scheme election or 2015 scheme election made in respect of P, or any immediate detriment remedy obtained in relation to P’s remediable service), or
b
this Part applies by virtue of regulation 46(2).
Adjustments for pension credit membersI249
1
The scheme manager must, after consultation with the scheme actuary, provide C with a statement of C’s remediable pension amount and remediable pension credit before the beginning of the relevant period.
2
Where—
a
C’s remediable pension amount exceeds the appropriate amount in respect of the pension sharing order in the 2015 scheme, and
b
C requests that C’s remediable pension credit is added to C’s rights under—
i
the 2015 scheme, or
ii
a judicial legacy scheme (if any),
at the end of the relevant period, C becomes entitled to a remediable pension credit in accordance with the request, such credit to take effect as if it had been added to C’s rights with effect from the transfer day.
3
A request under paragraph (2)(b)—
a
must be—
i
made by notice to the scheme manager,
ii
in a form required by the scheme manager, and
iii
received by the scheme manager before the end of the relevant period, and
b
is irrevocable.
4
Where no request is made in accordance with paragraph (3), at the end of the relevant period C becomes entitled to a remediable pension credit in the 2015 scheme, such credit to take effect as if it had been added to C’s rights with effect from the transfer day.
5
6
In this regulation—
“remediable pension amount” means—
- a
where the pension sharing order specified a percentage value to be transferred from the 2015 scheme, the specified percentage of the cash equivalent of P’s relevant benefits on the valuation day calculated as if the relevant benefits were in P’s judicial legacy scheme;
- b
where the pension sharing order specified an amount to be transferred from the 2015 scheme, the percentage which this amount represented of the cash equivalent of P’s relevant benefits in the 2015 scheme on the valuation day disregarding any—
- i
legacy scheme election made in respect of P,
- ii
immediate detriment remedy obtained in relation to P’s remediable service, or
- iii
where this Part applies in respect of P by virtue of the application of regulation 46(2), the effect of Part 2 of Schedule 2 to the 2015 Regulations in relation to P,
calculated instead as if P’s relevant benefits were in P’s judicial legacy scheme;
- i
- a
“remediable pension credit” means the greater of—
- a
zero, and
- b
the remediable pension amount minus the appropriate amount.
- a
Adjustments for pension debit members where a legacy scheme election is madeI350
1
This regulation applies where—
a
a legacy scheme election is made in respect of P,
b
an immediate detriment remedy is obtained in relation to P’s remediable service, or
c
this Part applies by virtue of regulation 46(2).
2
At the end of the relevant period, the scheme manager must adjust the value of P’s shareable rights in P’s judicial legacy scheme as the scheme manager, after consultation with the scheme actuary, considers appropriate having regard to—
a
the cash equivalent of P’s shareable rights in P’s judicial legacy scheme in respect of P’s remediable service or relevant service from 1st April 2015 to the day before the transfer day,
b
the percentage value or the amount to be transferred specified in the pension sharing order in respect of the 2015 scheme, and
c
the provisions of Articles 26 (creation of pension credits and debits) and 28 (reduction of benefit) of WRP(NI)O 1999.
3
The adjustment made under paragraph (2) has effect from the transfer day.