31 Investment and resources of schemes.E+W+S
(1)[The scheme must comply with such requirements as may be prescribed as regards the investment of its resources and with any direction of the Board—
(a)that no part, or no more than a specified proportion, of the scheme’s resources shall be invested in investments of a specified class or description;
(b)that the whole or a specified proportion of investments of a specified class or description forming part of the scheme’s resources when the direction is given shall be realised before the end of a specified period.]
(2)The scheme must comply with such requirements as may be prescribed as regards the part—
(a)of any payment that is made to the scheme by or on behalf of a member of the scheme;
(b)of any income or capital gain arising from the investment of such a payment; or
(c)of the value of rights under the scheme,
that may be used—
(i)to defray the administrative expenses of the scheme;
(ii)to pay commission; or
(iii)in any other way which does not result in the provision of benefits for or in respect of members.
(3)Subject to subsection (4)—
(a)in the case of an occupational pension scheme, all minimum payments [and payments under section 42A(3)] and any payments made by the [Inland Revenue] under section 7 of the Social Security Act 1986, and
(b)in the case of a personal pension scheme, all minimum contributions,
which are paid to a scheme in respect of one of its members must be applied so as to provide money purchase benefits for or in respect of that member, except so far as they are used—
(i)to defray the administrative expenses of the scheme; or
(ii)to pay commission.
(4)If regulations are made under subsection (2), the payments mentioned in paragraph (a) of subsection (3) and the contributions mentioned in paragraph (b) of that subsection may be used in any way which the regulations permit, but not in any way not so permitted except to provide money purchase benefits for or in respect of the member.
[(5)Any minimum contributions required by reason of this section to be applied so as to provide money purchase benefits for or in respect of a member of a scheme must be so applied in the prescribed manner and within the prescribed period]
Textual Amendments
Modifications etc. (not altering text)
Commencement Information
Marginal Citations