7.—(1) The Contracting-out (Transfer and Transfer Payment) Regulations 1996 M1 shall have effect with the following amendments.
(2) In regulation 1(2)—
(a)in the definition of “overseas scheme"—
(i)for the words “one which is contracted-out within the meaning of section 7(3) of the 1993 Act" substitute the words “ a salary-related contracted-out scheme ”, and
(ii)at the end add the words “ by virtue of section 52(1) of that Act ”; and
(b)for the definition of “section 9(2B) rights" substitute—
““section 9(2B) rights" are—
(a)rights to the payment of pensions and accrued rights to pensions (other than rights attributable to voluntary contributions) under a scheme contracted-out by virtue of section 9(2B) of the 1993 Act, so far as attributable to an earner’s service in contracted-out employment on or after the principal appointed day; and
(b)where a transfer payment has been made to such a scheme, any rights arising under the scheme as a consequence of that payment which are derived directly or indirectly from—
(i)such rights as are referred to in sub-paragraph (a) under another scheme contracted-out by virtue of section 9(2B) of that Act; or
(ii)protected rights under another occupational pension scheme or under a personal pension scheme attributable to payments or contributions in respect of contracted-out employment on or after the principal appointed day;”.
(3) In regulation 6(b) and (e) after the words “have taken reasonable steps to satisfy themselves" insert the words “ (or, if the transfer payment is from an appropriate policy, the transferring insurance company has taken reasonable steps to satisfy itself) ”.
(4) In regulation 7(1)(a) omit the words “or from an appropriate policy".
(5) At the end of regulation 8(c) add the words “ on or after the principal appointed day ”.
(6) In regulation 13(b) for the words “paragraphs 6, 8 and 9" substitute the words “ paragraphs 5, 6 and 8 ”.
(7) After regulation 13 insert—
13A. In section 12C of the 1993 Act any reference to the liability for, or rights to, pensions so far as attributable to service on or after the principal appointed day shall include any liability or rights arising under the scheme as a consequence of a transfer payment which are derived directly or indirectly from—
(a)an earner’s service in contracted-out employment on or after the principal appointed day under another scheme contracted-out by virtue of section 9(2B) of the 1993 Act; or
(b)protected rights under another occupational pension scheme or under a personal pension scheme attributable to payments or contributions in respect of employment on or after the principal appointed day.”.
(8) In Schedule 2—
(a)for paragraph 1 substitute—
“1. Section 8(2) shall have effect as if for the definition of “guaranteed minimum pension" there were substituted—
" “guaranteed minimum pension" means any pension which is provided by an occupational pension scheme—
in accordance with the requirements of sections 13 and 17, or
in compliance with the condition set out in paragraph 1 or 6 of Schedule 1 to the Contracting-out (Transfer and Transfer Payment) Regulations 1996 (or, as the case may be, in paragraph 1 or 5 of Schedule 2 to the Contracting-out (Transfer) Regulations 1985),
to the extent to which its weekly rate is equal to the earner’s or, as the case may be, the earner’s widow’s or widower’s guaranteed minimum, as determined for the purposes of those sections or, as the case may be, conditions;";”;
(b)in paragraph 4 for the words “ “or with those requirements as modified by" and “by paragraph 5" substitute respectively the words “ “ or in compliance with the condition set out in ” and “ in paragraph 5 ”;
(c)for paragraph 6 substitute—
“6. Section 8(2) shall have effect as if for the definition of “guaranteed minimum pension" there were substituted—
" “guaranteed minimum pension" means any pension which is provided by an occupational pension scheme—
in accordance with the requirements of sections 13 and 17, or
in compliance with the condition set out in paragraph 5 of Schedule 1 to the Contracting-out (Transfer and Transfer Payment) Regulations 1996 (or, as the case may be, in regulation 2A(4) of the Contracting-out (Transfer) Regulations 1985),
to the extent to which its weekly rate is equal to the earner’s or, as the case may be, the earner’s widow’s or widower’s guaranteed minimum, as determined for the purposes of those sections or, as the case may be, condition;";”: and
(d)omit paragraph 9.
Marginal Citations