C2C3C4Part II Pensions: general

Annotations:
Modifications etc. (not altering text)
C3

Pts. I-IV: power to modify conferred (6.4.2006) by Pensions Act 2004 (c. 35), ss. 321(1)(d), 322(1); S.I. 2006/560, art. 2(3), Sch. Pt. 3

C4

Pts. I-IV: power to modify conferred (26.11.2008) by Pensions Act 2008 (c. 30), ss. 146(2)(c), 149(2)

Pensions and bankruptcy

I1C1C512 Effect of bankruptcy on pension rights: unapproved arrangements.

1

The Secretary of State may by regulations make provision for or in connection with enabling rights of a person under an unapproved pension arrangement to be excluded, in the event of a bankruptcy order being made against that person, from his estate for the purposes of Parts VIII to XI of the M1Insolvency Act 1986.

2

Regulations under this section may, in particular, make provision—

a

for rights under an unapproved pension arrangement to be excluded from a person’s estate—

i

by an order made on his application by a prescribed court, or

ii

in accordance with a qualifying agreement made between him and his trustee in bankruptcy;

b

for the court’s decision whether to make such an order in relation to a person to be made by reference to—

i

future likely needs of him and his family, and

ii

whether any benefits (by way of a pension or otherwise) are likely to be received by virtue of rights of his under other pension arrangements and (if so) the extent to which they appear likely to be adequate for meeting any such needs;

c

for the prescribed persons in the case of any pension arrangement to provide a person or his trustee in bankruptcy on request with information reasonably required by that person or trustee for or in connection with the making of such applications and agreements as are mentioned in paragraph (a).

3

In this section—

  • “prescribed” means prescribed by regulations under this section;

  • “qualifying agreement” means an agreement entered into in such circumstances, and satisfying such requirements, as may be prescribed;

  • “unapproved pension arrangement” means a pension arrangement which—

    1. a

      is not an approved pension arrangement within the meaning of section 11, and

    2. b

      is of a prescribed description.

4

For the purposes of this section a person shall be treated as having a right under an unapproved pension arrangement where—

a

he is entitled to a credit under section 29(1)(b) as against the person responsible for the arrangement (within the meaning of Chapter I of Part IV), and

b

the person so responsible has not discharged his liability in respect of the credit.