38.—(1) This regulation applies in relation to a remedy member (“M”) in respect of whom the scheme manager paid a remediable transfer value before 1st October 2023.
(2) The scheme manager, having consulted the scheme actuary, must calculate the transfer value of M’s remediable rights as if they were secured in—
(a)the PCSPS(NI), and separately
(b)alpha.
(3) The scheme manager must notify the receiving scheme of the results of the calculation mentioned in paragraph (2).
(4) Where—
(a)the greater of the amounts calculated under paragraph (2) (“x”) is greater than
(b)the amount of the remediable transfer value (“y”),
the scheme manager must take reasonable steps to pay the receiving scheme an amount equal to x – y.
(5) A payment made under paragraph (4) is subject to the same conditions as the remediable transfer value.
(6) Where—
(a)paragraph (4) applies, and
(b)the scheme manager, having taken reasonable steps, is unable to make the payment required by that paragraph,
the scheme manager owes M or, where M is deceased, M’s personal representatives an amount by way of compensation equal to x – y (“the compensatable amount”) reduced in accordance with paragraph (7).
(7) Where, if the compensatable amount was paid immediately after the requirement to pay it arose, the payment—
(a)would be a payment described in regulation 6 of the Registered Pension Schemes (Authorised Payments) Regulations 2009(1) (“the 2009 Regulations”) read as if regulation 6(1)(a) of those Regulations were omitted, the compensatable amount is to be reduced by the amount equal to the income tax that would be chargeable on it if regulation 3(b) of the 2009 Regulations applied to it;
(b)would not be a payment so described, the compensatable amount is to be reduced by an amount equal to the income tax that would be charged on the amount if it were taxed as pension income under Part 9 of the Income Tax (Earnings and Pensions) Act 2003(2).
Commencement Information
I1Reg. 38 in operation at 1.10.2023, see reg. 1(b)
39.—(1) This regulation applies in relation to each payment of a remediable transfer value in respect of a member (“M”) which was accepted by the scheme manager before 1st October 2023.
(2) The scheme manager, having consulted the scheme actuary, must determine M’s remediable benefits if the transfer value, together with any payment accepted under paragraph (3), were applied in respect of rights secured in—
(a)the PCSPS(NI), and separately
(b)alpha.
(3) Where the sending scheme was a reformed public service pension scheme, the scheme manager may accept a payment—
(a)in respect of the remediable rights to which the remediable transfer value relates, and
(b)which is made by the sending scheme pursuant to, or to provision made under, PSPJOA 2022.
(4) A payment accepted under paragraph (3) is to be used for the purpose of determining M’s benefits under a civil service scheme on the same terms as the remediable transfer value.
Commencement Information
I2Reg. 39 in operation at 1.10.2023, see reg. 1(b)
40. This Section applies in respect of a deferred choice member (“M”) where no pension benefits have become payable in relation to M’s remediable service.
Commencement Information
I3Reg. 40 in operation at 1.10.2023, see reg. 1(b)
41.—(1) This regulation applies to a remediable transfer value to be paid in relation to M by the scheme manager on or after 1st October 2023.
(2) The scheme manager, having consulted the scheme actuary, must calculate the transfer value of M’s remediable rights as if those rights had been secured in—
(a)the PCSPS(NI), and separately
(b)alpha.
(3) The amount of the remediable transfer value is the greater of the amounts calculated under paragraph (2).
Commencement Information
I4Reg. 41 in operation at 1.10.2023, see reg. 1(b)
S.I. 2009/1171. Regulation 6 was amended by section 42(6)(a) of the Finance Act 2014 (c. 26).