SCHEDULES
SCHEDULE 2Other amendments to do with Parts 1 and 2
26Pensions Act 2004 (c. 35)
1
Section 23 (freezing orders) is amended as follows.
2
In subsection (1), for “which is not a money purchase scheme” substitute “unless it is excluded by subsection (1A)”.
3
After that subsection insert—
1A
A scheme is excluded if—
a
all the benefits that may be provided under the scheme are money purchase benefits, and
b
the scheme does not provide for there to be a third party promise about the rate or amount of any benefit at a time before the benefit comes into payment (see subsection (10A)).
4
In subsection (2), for “such a scheme” substitute “a scheme to which this section applies”.
5
After subsection (10) insert—
10A
For the purposes of subsection (1A)(b), a scheme provides for there to be a third party promise if the scheme—
a
requires the promise to be obtained from a third party, or
b
provides for the member to be given the option of requiring a promise to be obtained from a third party (whether or not the option is subject to conditions).