The Arrangements of the Scheme are the Shared Cost Arrangement, the Defined Benefit Arrangement and the Defined Contribution Arrangement.
1. This Rule sets out the meaning of words used in these Rules.
| “Accrual Rate” | means the accrual rate chosen by the Designated Employer under Clause 3D of the Pension Trust (Defined Benefit Arrangement) and set out in the Deed of Establishment and Participation. |
| “Dependant” | means any person who the Trustee determines is financially dependent on another person or was so dependent at the time of the other person’s death. |
| “Earnings Cap” | means the amount specified for the purposes of section 590C of the Taxes Act. |
| “Employee” | means a permanent employee or director of a Participating Employer. |
| “Final Pensionable Pay” | means the average of the Member’s Pensionable Pay during the 12 months ending on the date the Member leaves Service, reaches Minimum Pension Age or dies, whichever is earlier. If the Member was not in Service for the whole of the last 12 months, his Pensionable Pay shall be deemed to continue for the balance of the year for the purpose of calculating Final Pensionable Pay. |
| “GMP” | means a guaranteed minimum pension (or accrued right to one) under the Pensions Act. |
| “Incapacity” | means permanent physical or mental incapacity which the Trustee determines prevents a Member from following his normal occupation or seriously impairs his earning capacity. |
| “Lump Sum Death Benefit” | means the amount payable under Rule 7A (Member dies in Service before pension starts) on the Member’s death at the multiple of the Member’s Final Average Pay chosen by the Designated Employer under Clause 3D of the Pension Trust (Defined Benefit Arrangement) and set out in the Deed of Establishment and Participation. |
| “Member” | means an Employee who has joined the Section and has not ceased to be entitled to benefit under the Section. |
| “Member’s Contribution Rate” | means the contribution rate chosen by the Designated Employer under Clause 3D of the Pension Trust and set out in the Deed of Establishment and Participation. |
| “Minimum Pension Age” | means the age chosen by the Designated Employer under Clause 3D of the Pension Trust (Defined Benefit Arrange– ment) and set out in the Deed of Establishment and Participation. |
| “Participating Employer” | means an employer participating in the Section. |
| “Pension Trust” | means the trust which governs the Scheme. |
| “Pensionable Pay” | means the Member’s annual basic salary or wages earned from the Participating Employer together with such other remuneration as the Participating Employer, with the consent of the Trustee, decides. Pensionable Pay cannot, however, exceed the amount of the Earnings Cap at the relevant date. |
| “Pensionable Service” | means the Member’s Service after joining the Section together with any additional period credited to the Member by the Participating Employer or the Trustee as a result of a transfer payment or the exercise of a discretion. |
| “Section” | means in relation to a particular Designated Employer the Defined Benefit Section for that Participating Employer. |
| “Service” | means employment as an Employee, but leaving the employment of one Participating Employer to join the employment of another counts as leaving Service unless Pensionable Service is deemed to be continuous under Rule 12 (Early Leavers Rejoining). |
| “State Pension Age” | means age 60 (for a woman) and age 65 (for a man) or such other ages on which basic state pension benefits first become payable. |
2A Each Employee whose contract of service says that he is eligible to join the Section may join immediately on starting Service. The Trustee shall include an Employee in the Section automatically if the Employee’s contract of service so provides consistent always with Revenue Approval.
An Employee who does not join the Section at the first opportunity may join later only with the specific permission of the Participating Employer. With the consent of the Participating Employer the Trustee may treat a person as having joined the Section on the date on which he became eligible to join the Section.
A Participating Employer may vary the above requirements of this Rule for any of its Employees or a class of its Employees.
Applications to join the Section must be made in the form required by the Trustee.
A Member ceases to be eligible in circumstances set out in Rule 16 (Ceasing to be Eligible).
A Member who has opted–out may rejoin only in the circumstances set out in Rule 17 (Opting Out).
2B Unless an Employee is included in the Section automatically under Rule 2A, either the Participating Employer or the Trustee may at its discretion require the Employee to pass a medical examination to its satisfaction before admission to the Section.
3A Each Participating Employer shall contribute in respect of its Employees who are Members at such rate as the Designated Employer decides from time to time is necessary (taking account of all relevant factors including contributions payable under Rule 3B (Contributions by Members)) to provide benefits under the Section. The Designated Employer shall reach its decision after considering the advice of the Actuary and consulting with the Trustee and the Pensions Committee.
3B Each Member in Pensionable Service shall pay contributions at the Member’s Contribution Rate of the Member’s Pensionable Pay (except where the Designated Employer has chosen a Member’s Contribution Rate of nil to apply).
4. A Member in Pensionable Service may pay Additional Voluntary Contributions on a basis agreed with the Trustee. If the Trustee so requires, a Member must give notice of his intention to start, reduce or stop paying Additional Voluntary Contributions.
Each Member’s Additional Voluntary Contributions shall be invested separately from all the other assets of the Scheme. The proceeds shall be used to provide additional benefits for or in respect of the Member.
The additional benefits shall be equivalent on a money purchase basis to the Additional Voluntary Contributions paid and shall comply so far as possible with any wishes made known by the Member in writing to the Trustee. The additional benefits cannot, however, be paid as a lump sum, except on the Member’s death or if the Trustee is satisfied that Revenue Approval would not be prejudiced.
If there is a surplus of a Member’s Additional Voluntary Contributions which cannot be used to provide benefits within Inland Revenue limits, the Trustee shall repay that surplus to the Member or, if the Member is dead, the Member’s personal representatives. Surplus shall be calculated in accordance with The Retirement Benefits Schemes (Restrictions on Discretion to Approve) (Additional Voluntary Contributions) Regulations 1993(1) and the Trustee shall at all times comply with the requirements of those Regulations.
5A A Member who leaves Service at Minimum Pension Age shall receive a pension for life calculated at the Accrual Rate of Final Pensionable Pay for each complete year of Pensionable Service plus an additional proportion of this Rate for each additional complete day.
5B A Member who is still in Service after Minimum Pension Age shall receive a pension when he leaves Service. The pension shall be calculated as described in Rule 5A (Minimum Pension Age) as if the Member had left at Minimum Pension Age and then increased on a basis certified as reasonable by the Actuary.
A Member who is still in Service when he reaches age 75 shall be treated for all purposes as having left Service on reaching that age.
5C A Member who leaves Service (not for Incapacity) before Minimum Pension Age but after reaching age 50 may with the consent of the Participating Employer choose an immediate pension. The pension shall be calculated as described in Rule 5A (Minimum Pension Age) but reduced for early payment on a basis certified as reasonable by the Actuary.
The Trustee must be satisfied that the immediate pension is at least equal in value to the preserved pension (including future increases) to which the Member would otherwise have become entitled on leaving Service (see Rule 9 (Early Leavers)).
This option shall not be available in circumstances where the Member’s reduced pension would be less than his GMP.
5D A Member who leaves Service before Minimum Pension Age because of Incapacity having completed at least 2 years' Pensionable Service shall receive an immediate pension calculated as described in Rule 5A (Minimum Pension Age) and payable from the day after the date of leaving Service.
The Trustee must be satisfied that the immediate pension is at least equal in value to the preserved pension (including future increases) to which the Member would otherwise have become entitled on leaving Service (see Rule 9 (Early Leavers)).
Until Minimum Pension Age the Trustee may from time to time require evidence of continued Incapacity and, if not satisfied, may suspend the pension for any period or periods before Minimum Pension Age or reduce it to not less than would have been paid if Rule 5C (Early Retirement (not Incapacity)) had applied (but reduced on the advice of the Actuary if the Member has given up his pension for a lump sum or Dependant’s pension, and disregarding the usual age limit of 50). Any pensions payable on the Member’s death shall be adjusted appropriately on the advice of the Actuary.
6A A Member who is about to retire may, by notice in writing to the Trustee, elect to commute a proportion of his pension for a lump sum but must keep a pension which, when the Member reaches State Pension Age, shall be at least equal to his GMP.
The Trustee shall convert pension to lump sum on a basis which the Actuary certifies as reasonable.
The Member can choose a lump sum of up to ⅜ths of Final Pensionable Pay for each complete year of Pensionable Service plus an additional proportion for each additional complete day. The Trustee may allow a Member to choose a larger lump sum within Inland Revenue limits in which case it shall write and tell the Member.
6B If the Trustee allows, a Member who is about to retire may by notice in writing to the Trustee give up his pension to provide a pension on his death for one or more of his spouse and Dependants (additional to any benefit under Rule 7 (Lump Sum Payable on Member’s Death) or Rule 8 (Pensions for Spouses, Children and Dependants)). But the Member must keep a pension at least equal to his GMP and he may not give up so much pension as to provide Dependants' or spouses' pensions under this Rule greater in total than the pension he has kept for himself (including any pension given up for a lump sum under Rule 6A).
The Trustee shall convert Member’s pension to Dependant’s pension or spouse’s pension in accordance with actuarial advice.
This choice shall only take effect if both the Member and the nominated Dependant or spouse survive until the Member’s pension is due to start. If the Dependant or spouse subsequently dies before the Member, the reduction in the Member’s pension shall continue to take effect.
6C A Member who is about to retire and whose pension from the Section starts on or after age 50 but before State Pension Age may elect by notice in writing to the Trustee before the pension becomes payable, to have the pension increased before that age and reduced after it, so that the pension from the Section before that age is more nearly equal to the Member’s total pension from the Section and the State after that age.
The amount of the Member’s pension and of any pensions payable on the Member’s death shall be calculated by the Trustee on a basis agreed by the Actuary to be reasonable.
This option shall not be available in circumstances where the Member’s reduced pension would be less than his GMP.
7A The benefit shall be equal to the Lump Sum Death Benefit.
7B The benefit shall be equal to the pension payments which would have been made during the remainder of the 5 year period if the Member had not died (but disregarding any future increases).
7C If the Member dies before Minimum Pension Age and before the pension starts, the benefit shall be equal to the total contributions paid by the Member with interest from the date of payment of those contributions until the date of payment of the benefit at the rate of 3% per annum compound or such other rate as the Trustee and the Designated Employer agree.
7D The Lump Sum Death Benefit shall be paid to one or more of the Beneficiaries or used for their benefit in such shares as the Trustee decides. If the benefit is not paid within 2 years of the Member’s death, however, it shall be paid to the Member’s personal representatives.
The “Beneficiaries” are the Member’s widow or widower, the Member’s grandparents and their descendants, any person with an interest in the Member’s estate and any person nominated by the Member in writing to the Trustee.
So long as no–one other than Beneficiaries can become entitled, the Trustee may:
(a)direct that all or part of the lump sum be held by itself or other trustees on such trusts (including discretionary trusts) and with such powers and provisions (including powers of selection and variation) as the Trustee sees fit; or
(b)pay all or part of the lump sum to the trustees of any other existing trust.
No payment shall be made under this Rule to the Crown or to the Duchy of Lancaster or Cornwall. If payment of the whole or any part of the Lump Sum Death Benefit would result in the payments falling to the Crown or to the Duchy of Lancaster or Cornwall as bona vacantia, the benefit, or that part of the benefit, shall be retained by the Trustee in the Section.
8A If a Member dies leaving a surviving spouse, the spouse shall receive a pension for life (except where the Member dies after his pension has started and the Designated Employer has chosen a Spouse’s Pension Fraction of nil to apply in such cases).
If a Member dies leaving Children a children’s pension shall be paid (except where the Designated Employer has chosen a Children’s Pension Fraction of nil to apply).
Children are children born of or legitimated by a marriage of the Member entered into before the Member leaves Service or reaches Minimum Pension Age (whichever occurs first), the Member’s stepchildren by such a marriage and children legally adopted by the Member before leaving Service or reaching Minimum Pension Age (whichever occurs first) and any other children who in the Trustee’s opinion were dependent on the Member at the time of his death and whom the Trustee agrees to treat as Children.
These children remain Children for so long as they are under age 18 or under age 23 and in full time education or training approved by the Trustee. If any of these children is or becomes wholly incapacitated before ceasing to be a Child, however, the Trustee may continue to treat him as a Child for so long as he remains wholly incapacitated. The Trustee shall determine whether a Child is wholly incapacitated.
The children’s pension shall be paid to one or more of the Children or used for their benefit in such shares as the Trustee decides from time to time and may be paid to some person or persons or fixed or discretionary trust for the benefit of any or all of them. It shall stop when there is no remaining Child.
8B If a Member dies and no pension is payable the Participating Employer may (but need not) direct the Trustee to pay a pension to one or more of the Member’s Dependants. This pension may be calculated as a spouse’s pension. But the Trustee may pay a pension of a smaller amount and reduce or stop any pension in payment as it sees fit.
8C Subject to Rule 8F (Young Spouse), the spouse’s pension shall be calculated as the Spouse’s Pension Fraction of the pension calculated as described in Rule 5A (Minimum Pension Age) based on the Member’s Pensionable Service and Final Pensionable Pay at the date of the Member’s death.
The children’s pension shall be calculated as the Children’s Pension Fraction.
8D Subject to Rule 8F (Young Spouse), the spouse’s pension shall be calculated as the Spouse’s Pension Fraction of the pension payable to the Member at his death, or which would have been payable if the Member had not given up any pension under Rule 6 (Elections at Retirement).
The children’s pension shall be calculated as the Children’s Pension Fraction.
8E Subject to Rule 8F (Young Spouse), if the Member dies before Minimum Pension Age and before the pension starts, the spouse’s pension shall be calculated as the Spouse’s Pension Fraction of the preserved pension calculated as described in Rule 9A (Preserved Pension), including the increases described in (a) of that Rule.
The children’s pension shall be calculated as the Children’s Pension Fraction.
8F If the spouse was more than 10 years younger than the Member, the spouse’s pension shall be reduced by 2½ % for each year of age difference greater than 10. But it shall not be reduced to less than the spouse’s GMP.
9A A Member who leaves Service before Minimum Pension Age with at least 2 years' Qualifying Service shall receive a pension for life payable from Minimum Pension Age of an amount calculated as described in Rule 5A (Minimum Pension Age).
The pension shall be increased before payment as follows:
(a)the pension in excess of GMP shall be increased as required by the Revaluation Laws; and
(b)the GMP shall be increased as required by the Contracting–out Laws.
A Member who leaves Service with less than 2 years' Qualifying Service shall also receive a pension under this Rule if a transfer payment in respect of his rights under a personal pension scheme has been made to the Scheme.
9B A Member who leaves Service before Minimum Pension Age without becoming entitled to a preserved pension under Rule 9A (Preserved Pension) shall, if he has made contributions to the Section, receive a refund of those contributions, less tax at 20% or such other rate as applies under section 598 of the Taxes Act from time to time.
If the Member’s Service was Contracted–out under the Section, the Member (and the Member’s spouse, if any) shall remain entitled to GMP unless this is extinguished by a contributions equivalent premium (“CEP”) under the Pensions Act. Any refund of contributions shall be reduced if a CEP is paid by the amount recoverable under section 61 of that Act, and otherwise by the amount that the Trustee estimates would have been recoverable if a CEP had been paid.
9C “Qualifying Service” means service which qualified the Member for retirement benefit under the Scheme or any other occupational pension scheme from which a transfer payment has been made in respect of the Member either to the Scheme, or to a Buy–out Policy and subsequently to the Scheme.
Rule 12B shall apply if the Member’s Qualifying Service has been broken.
“Qualifying Service” is used only for the purpose of deciding whether or not the Member is entitled to a preserved pension under Rule 9A (Preserved Pension). Where the Member is entitled to a preserved pension, the amount of the pension is based on Pensionable Service. This Rule 9C does not affect the calculation of Pensionable Service.)
10A A Member who leaves Service with a preserved pension at least a year before Minimum Pension Age can require the Trustee by application in writing to use the cash equivalent of the preserved pension in whichever of the following ways (or combination of them) the Member chooses:
(a)to buy one or more Buy–out Policies (see Rule 10B (Requirements for Buy–Out Policies)) from one or more Insurance Companies chosen by the Member;
(b)to acquire rights under another occupational pension scheme or under a personal pension scheme or another Section of the Scheme (see Rule 10C (Requirements for Transfers)).
The cash equivalent shall be calculated by the Trustee on the basis of advice from the Actuary which complies with the Transfer Value Laws.
The Trustee may allow a Member who does not have a right to a cash equivalent to choose a transfer or a “Buy–out” as described in this Rule. The Trustee may impose such conditions on the exercise of this choice as it thinks fit.
The Member may exercise this right by application in writing to the Trustee at any time up to a year before Minimum Pension Age (or, if later, 6 months after leaving Service).
10B A Buy–out Policy must satisfy the Transfer Value Laws and the requirements of the Inland Revenue. In particular, the policy must provide that the annuities payable to or for the benefit of the Member and the Member’s spouse (if any) shall be at least equal to their GMP under the Section, including revaluation in accordance with the Contracting–out Laws.
10C The receiving scheme must be (a) an occupational pension scheme with Revenue Approval or which otherwise satisfies the Inland Revenue’s requirements, or (b) a personal pension scheme approved under Chapter IV of Part XIV of the Taxes Act or (c) a “statutory scheme” as defined in section 612(1) of that Act.
When making the transfer the Trustee shall comply with any requirements of the Inland Revenue.
If the Member’s cash equivalent includes accrued rights to GMP, the transfer must also satisfy the requirements of the Contracting–out Laws.
11A A Member entitled to a preserved pension (see Rule 9 (Early Leavers)) may elect to receive his pension on a date earlier than Minimum Pension Age (but not earlier than age 50 unless the Member is suffering from Incapacity). If a Member does not make a choice under this Rule (Other Choices for Early Leavers) immediately on leaving Service, the agreement of the Trustee is required.
The benefits shall be reduced to take acount of the longer period of payment on a basis certified as reasonable by the Actuary.
If an election under this Rule would result in the pension payable to the Member being less than his GMP the election shall not be permitted.
The Trustee must be reasonably satisfied that the reduced benefits are at least equal in value to the preserved pension (including future increases) that would otherwise have been provided under Rule 9 (Early Leavers).
11B If the Trustee agrees a Member entitled to a preserved pension may choose a pension starting later than Minimum Pension Age (but not later than the date the Member leaves all employment and not in any event later than age 75) in which case it shall be increased to take account of the shorter period of payment on a basis certified as reasonable by the Actuary and consistent with the Contracting–out Laws.
The Trustee must be reasonably satisfied that the increased pension is at least equal in value to the preserved pension that would otherwise have been provided under Rule 9 (Early Leavers).
11C A Member entitled to a preserved pension may choose to give up his pension for a lump sum or to provide an additional pension for a nominated Dependant or spouse or to elect an early retirement level pension option (see Rule 6 (Elections at Retirement)). Any such election must be made before the election in Rule 11A (Early Pension).
12A If a Member leaves Service but later returns and rejoins the Section having retained his right to deferred benefit in respect of the first period each period of Service shall be treated separately unless his Participating Employer at the date of rejoining, with the consent of the Member and the Trustee and subject to Revenue Approval not being prejudiced decides that the 2 periods shall be treated as continuous or unless otherwise provided under the Pension Trust.
If the break in Sevice is for maternity however Rule 14 (Maternity) shall apply.
12B If a Member leaves Service, returns and rejoins the Section and then leaves again before Minimum Pension Age, and the break did not exceed one month or was due to a trade dispute, the Member’s Service before and after the break shall be treated as continuous (but excluding the break) for the purpose of calculating whether the Member has at least 2 years' Qualifying Service after the break.
If a Member leaves Service with a preserved pension, returns and rejoins the Section and then leaves again before Minimum Pension Age, and is still entitled to benefit under the Section in respect of the period before the break, the Member shall be entitled to a preserved pension in respect of the period after the break whether or not he has 2 years' Qualifying Service.
13A A Member who is away from work and has not opted out of the Section (see Rule 17 (Opting– Out)) shall be treated as still in Pensionable Service for so long as he receives contractual pay or statutory sick pay.
Rule 13D (Benefits for Members away from Work) shall apply when calculating the Member’s benefits.
13B The Participating Employer may decide to treat any Member who is away from work due to injury or ill–health as still in Pensionable Service, so long as there is a definite expectation that the Member shall return to work. A Member in receipt of benefits under a long–term disability scheme of his Participating Employer shall under normal circumstances be regarded as still in Pensionable Service for as long as benefits are payable to the Member under that scheme.
Rule 13D (Benefits for Members away from Work) shall apply when calculating the Member’s benefits.
13C The Participating Employer may decide to treat any Member who is on secondment as still in Pensionable Service for up to 3 years (or longer if the Inland Revenue permit), so long as there is a definite expectation that the Member shall return to Service and he does not join another occupational pension scheme with Revenue Approval or a personal pension scheme or a “statutory scheme” as defined in section 612(1) of the Taxes Act.
Rule 13D (Benefits for Members away from Work) shall apply when calculating the Member’s benefits.
13D If a Member is treated as still in Pensionable Service and contributions have been paid or deemed to have been paid in full in respect of the period of absence his benefits shall remain as if he had not been away from work. If the Member is treated as still in Pensionable Service but contributions have not been paid in full the Trustee may decide any special conditions (consistent with Revenue Approval and the Contracting–out Laws) to apply to the Member’s contributions and benefits in respect of the period of absence.
If the Member is not treated as still in Pensionable Service, the Member shall be treated as having left Service.
14. A period of absence for pregnancy or confinement shall count as Pensionable Service for so long as the Member receives contractual pay or statutory maternity pay. The Participating Employer and the Trustee may agree any special provisions (consistent with Revenue Approval and the Contracting–out Laws) to apply to the Member’s contributions and benefits in respect of this period.
If the Member stops receiving contractual pay or statutory maternity pay before returning to work, the Participating Employer may agree to treat her as still in Pensionable Service. The Participating Employer may also agree any special provisions (consistent with the Contracting–out Laws and Revenue Approval) to apply to the Member’s contributions and benefits in respect of this period.
If the Member is not treated as still in Pensionable Service, she shall be treated as if she had left Service. But if she exercises a statutory right to return to work, her Pensionable Service shall be treated as continuous (but excluding the break).
15. If, during a period of continuous Pensionable Service, a Member has been in full–time employment and Part–time Employment, or the basic number of hours a week worked by a Member in Part– time Employment has varied from time to time, the benefits relating to Part–time Employment shall from time to time be notified to the Member by the Trustee. The Trustee shall calculate these benefits in a manner which it considers equitable (and which is acceptable to the Inland Revenue) after taking account of the number of hours per week worked by the Member from time to time, and after considering the advice of the Actuary.
For the purposes of this Rule “Part–time Employment” means a period as an Employee who is designated in his contract of employment as (and notified to the Trustee by his Participating Employer to be) a part–time employee.
16. A Member shall cease to be eligible if his contract of service is varied so that he is no longer eligible for membership. The Member shall be treated as if he had left Service on the day he ceased to be eligible except that a Member with a preserved pension cannot choose an early pension under Rule 11A (Early Pension) before actually leaving Service.
If a Member who has ceased to be eligible later satisfies the conditions for joining the Section (see Rule 2 (Joining the Section)), the Member may rejoin the Section as described in Rule 2, in which case the Member’s benefits shall be calculated in accordance with Rule 12 (Early Leavers Rejoining). Any period between ceasing to be eligible and rejoining the Section shall not count as Service.
17. A Member may at any time opt out of the Section by giving one month’s notice to the Participating Employer and the Trustee. The Member shall be treated as if he had left Service on the day the notice expires except that no pension or lump sum shall be paid to the Member until the Member actually leaves Service (or reaches age 75, if earlier).
A Member who opts out of the Section may rejoin only with the specific permission of the Participating Employer. If the Member is allowed to rejoin, the Member’s benefits shall be calculated in accordance with Rule 12 (Early Leavers Rejoining). Any period between opting out of the Section and rejoining shall not count as Service.
18A Each pension in payment except for any GMP which is payable, shall increase by 5% in each year on a date decided by the Trustee except that no pension shall be increased in any year by more than the increase in the retail prices index over the preceding year.
Where GMP is payable, the part of the GMP that is attributable to earnings for the tax year 1988—89 and subsequent tax years shall increase in each year by the percentage specified in any order made by the Secretary of State under section 109 of the Pensions Act (which is approximately equal to the percentage rise in the retail prices index in each year, with a maximum of 3% per year compound).
18B If a Member has incurred a monetary obligation to or caused a financial loss to the Participating Employer arising out of a criminal, negligent or fraudulent act or omission, the Participating Employer may require that the benefits in respect of the Member (other than GMPs and benefits arising out of a transfer payment) shall be reduced by an amount that the Trustee determines on actuarial advice to be equivalent to the obligation. If the obligation is greater than the value of the benefits which may be reduced, the benefits shall cease to be payable. If the Participating Employer requests, the Trustee shall pay to the Participating Employer the amount of the obligation or, if less, the value of the reduction in benefits.
The Member shall be given a certificate specifying the amount of the obligation and of the reduction in benefits. If the amount of the obligation is disputed, no reduction in benefits shall be made until the obligation has become enforceable under the order of a court or arbitrator appointed (failing agreement between the Member and the Participating Employer) by the President of the Law Society or, in Scotland, by the Sheriff.
18C At the request of a Participating Employer and if the Participating Employer pays any additional contributions that the Trustee considers appropriate (for which purpose the Trustee shall consider actuarial advice), the Trustee shall provide (a) increased or additional benefits in respect of any Member or Members, (b) benefits in respect of any Member or Members different, or on different terms, from those set out elsewhere in the Rules or (c) benefits in respect of any Employee or former Employee or any spouse or Dependant of a former Employee (or for any other person for whom the Inland Revenue permit the Section to provide benefits).
Any benefits provided under this Rule shall be consistent with the Contracting–out, Preservation, Revaluation and Transfer Value Laws and with Revenue Approval.
18D The Trustee may allow a Member who is in exceptional circumstances of serious ill–health when his pension starts to give up the whole of his pension (except GMP) for a lump sum. The Trustee shall convert the pension to a lump sum on a basis certified as reasonable by the Actuary and approved by the Inland Revenue. This choice shall not affect any pension payable on the Member’s death.
19. If a Member’s Service becomes Contracted–out by reference to this Section under the Pensions Act, Clause 9 of the Pension Trust (Contracting–Out) shall apply and shall override any inconsistent Rules.
20. If an actuarial valuation of the Section by the Actuary shows that the value of the Section’s assets exceeds the value of the Section’s liabilities by a percentage which is more than the maximum laid down in the laws relating to surplus funds first introduced by Schedule 12 to the Finance Act 1986(2), the Trustee may (after having consulted with the Pensions Committee), with the agreement of the Inland Revenue, make a payment to the Participating Employers in such proportions as the Designated Employer directs.
21A The Section shall be wound up as set out in Clause 11 of the Pension Trust (Winding–up a Section where all Participating Employers cease to Participate) except that the Trustee may wind–up the Section if it receives actuarial advice that the contributions being paid by Participating Employers and reasonably expected from them in the future are so low as to prejudice seriously the long term financial position of the Section.
21B If any of the assets attributable to the Section remain, then the Trustee may, (after having consulted with the Pensions Committee) with the consent of the Designated Employer, increase all or any of the benefits on a basis agreed with the Designated Employer and consistent always with Revenue Approval. Any assets remaining shall be paid to the Participating Employers in such proportions as the Trustee in its discretion sees fit acting on actuarial advice and with the consent of the Designated Employer.
22. The Rules of the Section may be changed as set out in Clause 13 of the Pension Trust (Changing the Pension Trust and Rules).
S.I. 1993/3016.