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Welfare Reform and Pensions Act 1999

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1(1)Section 25B of the [1973 c. 18.] Matrimonial Causes Act 1973 is amended as follows.

(2)In subsection (1), for “scheme”, wherever occurring, there is substituted “arrangement”.

(3)Subsection (2) ceases to have effect.

(4)In subsection (3), for “scheme” there is substituted “arrangement”.

(5)In subsection (4)—

(a)for “scheme”, wherever occurring, there is substituted “arrangement”, and

(b)for “trustees or managers of” there is substituted “person responsible for”.

(6)For subsection (5) there is substituted—

(5)The order must express the amount of any payment required to be made by virtue of subsection (4) above as a percentage of the payment which becomes due to the party with pension rights.

(7)In subsection (6)—

(a)for “trustees or managers”, in the first place, there is substituted “person responsible for the arrangement”, and

(b)for “the trustees or managers”, in the second place, there is substituted “his”.

(8)In subsection (7)—

(a)for the words from “may require any” to “those benefits” there is substituted “has a right of commutation under the arrangement, the order may require him to exercise it to any extent”,

(b)for “the payment of any amount commuted” there is substituted “any payment due in consequence of commutation”, and

(c)for “scheme” there is substituted “arrangement”.

(9)After that subsection there is inserted—

(7A)The power conferred by subsection (7) above may not be exercised for the purpose of commuting a benefit payable to the party with pension rights to a benefit payable to the other party.

(7B)The power conferred by subsection (4) or (7) above may not be exercised in relation to a pension arrangement which—

(a)is the subject of a pension sharing order in relation to the marriage, or

(b)has been the subject of pension sharing between the parties to the marriage.

(7C)In subsection (1) above, references to benefits under a pension arrangement include any benefits by way of pension, whether under a pension arrangement or not.

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