Amendment of regulation C1 of the Pension Scheme Regulations

4.—(1) After regulation C1(3) of the Pension Scheme Regulations there shall be inserted the following paragraph—

“(3A) Where a member who was eligible to be a member before 1st June 1989 joins the scheme on or after that date by virtue of being a person to whom regulation B5 applies, any amount by which that member’s pensionable pay exceeds the permitted maximum will not be ignored when calculating the amount of any contributions or benefits payable under these Regulations except in relation to a period following a break in pensionable employment on or after that date.”.

(2) In regulation C1(4) of the Pension Scheme Regulations—

(a) for the words “paragraph (3)” there shall be substituted the words “paragraphs (3) and (3A)”; and

(b) after sub-paragraph (e) there shall be added the following sub-paragraph—

“(f) the break is due to the member opting out of the scheme as the result of a contravention which is actionable under section 62 of the Financial Services Act 1986.”.