Amendment of the Contracting-out (Transfer and Transfer Payment) Regulations 1996
4.—(1) The Contracting-out (Transfer and Transfer Payment) Regulations 1996(1) are amended as follows.
(2) In regulation 1(2) (interpretation), for the definition of ““connected employer transfer” and “connected employer transfer payment”” substitute—
““connected employer transfer” and “connected employer transfer payment” mean respectively a transfer of guaranteed minimum pensions from a salary-related contracted-out scheme to a salary-related contracted-out scheme and a transfer payment in respect of section 9(2B) rights from a salary-related contracted-out scheme to a salary-related contracted-out scheme where either—
the transferring scheme and the receiving scheme relate to persons who are or have been in employment with the same employer; or
the transferring scheme and receiving scheme relate to persons who are or have been in employment with different employers, and the earner or person concerned is one of a group of persons in respect of whom transfers or transfer payments are being made from the transferring scheme to the receiving scheme and either—
the transfer or transfer payment is a consequence of a financial transaction between the employers, or
each of the employers is one of a group of companies consisting of a holding company and one or more subsidiaries within the meaning of section 1159(1) of the Companies Act 2006 (meaning of “subsidiary” etc),
and, in this definition, “salary-related contracted-out scheme” includes a scheme which was formerly a salary-related contracted-out scheme;(2).”(2).
(3) In regulations 4 (connected employers transfers of guaranteed minimum pensions), 7(2)(b) (transfers of liability in respect of section 9(2B) rights: general) and 9 (connected employer transfer payments) omit “to a salary-related contracted-out scheme”.
Companies Act 2006 (c.46).