PART 10Transfers
CHAPTER 2Transfers on a cash equivalent basis
SECTION 1Application of Chapter
Application of Chapter193
This Chapter applies to the payment and receipt of transfer values.
SECTION 2Transfers Out
Application of this Section194
1
This Section applies to a person (P) who—
a
has left all pensionable service under this scheme;
b
has become subject to—
i
another registered pension scheme which is not a connected scheme; or
ii
a qualifying recognised overseas pension scheme for the purposes of Part 4 of FA 2004 (see section 169(2) of that Act); (in either case, referred to in this Section as “the receiving scheme”), and
c
has not reached normal pension age.
2
This Section does not apply if—
a
P is not qualified for retirement benefits under this scheme and a repayment of the balance of contributions has been made to P; or
b
P is qualified for retirement benefits under this scheme and a retirement pension (other than a phased retirement pension) or a short-service ill health grant has become payable to P in respect of that pensionable service.
Application for a statement of entitlement195
1
A person (P) may apply for a statement of entitlement by written notice to the scheme manager.
2
The application must be made within 12 months after the day on which P becomes subject to the receiving scheme.
Application for payment of a transfer value196
1
A person who is provided with a statement of entitlement may apply for a transfer value to be paid to the receiving scheme.
2
The application must—
a
be made within 12 months after the day on which P becomes subject to the receiving scheme;
b
be by notice to the scheme manager;
c
specify the pension scheme or other pension arrangement to which the transfer value is to be paid; and
d
meet any other conditions the scheme manager requires.
Payment of a transfer value197
1
On receipt of the application under regulation 202, the scheme manager may make a transfer value payment in respect of P.
2
A member of this scheme may only require the scheme manager to use a transfer value in a way specified in section 95(2) of PSA 1993.
3
The whole of the transfer value must be applied.
4
A transfer value payment in respect of a member’s accrued rights under this scheme may only be made to the receiving scheme.
5
A transfer value payment in respect of any pension credit rights or pension credit benefits must not be made under this regulation.
6
If a transfer value payment is made in respect of a person’s rights under this scheme, those rights are extinguished.
SECTION 3Transfers in
Application for acceptance of a transfer value198
1
A person (P) may apply for payment of a transfer value to be accepted from—
a
another registered pension scheme; or
b
a qualifying recognised overseas pension scheme for the purposes of Part 4 of FA 2004 (see section 169(2) of that Act) (in either case, referred to in this Section as “the sending scheme”).
2
The application must—
a
be made within 12 months after the day on which P enters pensionable service under this scheme;
b
be by written notice to the scheme manager;
c
specify the pension scheme from which the transfer value will be received; and
d
meet any other conditions the scheme manager requires.
Acceptance of a transfer value199
1
The scheme manager may not accept payment of a transfer value from the sending scheme if—
a
P has reached 75;
b
retirement benefits have become payable to P under this scheme or under the sending scheme; or
c
the sending scheme was a money purchase arrangement to which P’s previous employer made no contribution.
2
A transfer value payment in respect of any pension credit rights or pension credit benefits must not be accepted under this regulation.
Amount of transferred pension200
The amount of transferred pension a person is entitled to count under this Part is an amount determined by the scheme manager.