Part IVPension sharing

Chapter ISharing of rights under pension arrangements

Indexation

40Other pension schemes

(1)

The Secretary of State may by regulations make provision for a pension to which subsection (2) applies to be increased, as a minimum, by reference to increases in the retail prices index, so far as not exceeding 5% per annum.

(2)

This subsection applies to—

(a)

a pension provided to give effect to eligible pension credit rights of a member under a qualifying occupational pension scheme, and

(b)

a pension provided to give effect to safeguarded rights of a member under a personal pension scheme.

(3)

In this section—

“eligible”, in relation to pension credit rights, means of a description prescribed by regulations made by the Secretary of State;

“pension credit rights”, in relation to an occupational pension scheme, means rights to future benefits under the scheme which are attributable (directly or indirectly) to a credit under section 29(1)(b) or under corresponding Northern Ireland legislation;

“qualifying occupational pension scheme” means an occupational pension scheme which is not a public service pension scheme;

“safeguarded rights” has the meaning given in section 68A of the M1Pension Schemes Act 1993.