The Public Service (Civil Servants and Others) Pensions (Consequential and Amendment) Regulations 2015

PART 5 Amendments to the Public Service (Civil Servants and Others) Pensions Regulations 2014

Amendments to the Public Service (Civil Servants and Others) Pensions Regulations 2014

16.—(1) The Public Service (Civil Servants and Others) Pensions Regulations 2014 are amended as follows.

(2) In regulation 2 (interpretation)—

(a) in the definition of “late payment supplement”, for “reaches” substitute “is over”;

(b) after the definition of “transferred pension”, insert–

““transition date”, in relation to a transition member, has the meaning given in paragraph 1 of Schedule 2 (transitional provisions);”.

(3) In regulation 25(2) (opting out after one month), after “(1)(a) or (b),” insert “unless paragraph (3) applies”.

(4) For regulation 28 (meaning of “deferred member”) substitute—

“Meaning of deferred member

28.— (1) A person (P) becomes a deferred member of this scheme in relation to a continuous period of pensionable service under this scheme (“the relevant service”) if paragraph (2) or (3) applies.

(2) This paragraph applies if—

(a) P ceases to be an active member of this scheme in relation to the relevant service before P reaches normal pension age under this scheme;

(b) P does not become a pensioner member of this scheme in relation to the relevant service; and

(c) P has at least 2 years’ qualifying service or a transfer payment otherwise than from another occupational pension scheme has been received by this scheme in relation to P.

(3) This paragraph applies if—

(a) P ceases to be an active member of this scheme in relation to the relevant service on or after P reaches normal pension age under this scheme; and

(b) P does not become a pensioner member of this scheme in relation to the relevant service.

(4) A person becomes a deferred member of this scheme in relation to an amount of accrued earned pension if the scheme manager so directs under regulation 78(2) (deferment of accrued earned pension attributable to a transfer payment).

(5) A person becomes a deferred member of this scheme in relation to an amount of added pension if —

(a) the circumstances in regulation 79(1) apply (deferment of added pension attributable to recent payments); or

(b) the person exercises the option under regulation 83 (option to defer payment of added pension).”.

(5) In regulation 59(1)(c) (qualifying service) and paragraph 2(1)(a) of Schedule 2, for “closing date” substitute “transition date”.

(6) In regulation 87(1)(a) (restriction on total amount of pension that may be allocated), for “regulation” substitute “Chapter”.

(7) For regulation 88(5) (making an allocation election) substitute—

“(5) The election takes effect on the election closing date unless it has no effect under paragraph (6) or (7).”.

(8) In regulation 89(3)(a) (effect of allocation election), for each “P” substitute “the member”.

(9) In regulations 107(2) (entitlement to surviving adult’s pension) and 110(2) (annual rate of surviving adult’s pension payable on death of active member) after “closing date” insert “(but not service that has been transferred into the PCSPS)”.

(10) In regulations 107(2) (entitlement to surviving adult’s pension), 110(2) (annual rate of surviving adult’s pension payable on death of active member), 128(4) (meaning of “final pay”), 129(3) (meaning of “annualised final pay”), 130(2) (amount payable on death of active member) and 131(2) (amount payable on death of deferred member or pensioner member) and paragraphs 31(5)(b) and 32(5)(b) of Schedule 2, for “closing date” substitute “transition date for that member”.

(11) In regulation 150(2)(c) (request for acceptance of a transfer payment), for “becomes eligible to be an active member of this scheme” substitute “commences service in scheme employment”.

(12) In paragraphs 9(7)(a), 14(2)(c), 19(5)(a), 23(2)(c) and 27(2)(a) of Schedule 2, for “the scheme regulations for that scheme” substitute “scheme regulations in relation to that scheme”.

(13) In paragraph 29 of Schedule 2, for sub-paragraphs (3) and (4) substitute—

“(3) If the member meets the lower tier payment threshold only—

(a) the annual rate of ill-health pension payable under this scheme is the sum of–

(i) the annual rate of a lower tier earned pension payable under this scheme; and

(ii) the annual rate of full retirement earned pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member at normal pension age under the PCSPS; and

(b) the member (“M”) is entitled to payment of a lump sum of the amount of the lump sum that would, had M been entitled to payment of an ill-health pension under the PCSPS, been payable to M under the rules of the PCSPS applicable to M.

(4) If the member meets the upper tier payment threshold—

(a) the annual rate of ill-health pension payable under this scheme is the sum of–

(i) the annual rate of a lower tier earned pension payable under this scheme;

(ii) the annual rate of an upper tier top up earned pension payable under this scheme; and

(iii) the annual rate of full retirement earned pension that would, if the member was entitled to payment of an ill-health pension under the PCSPS, be payable to the member at normal pension age under the PCSPS; and

(b) the member (“M”) is entitled to payment of a lump sum of the amount of the lump sum that would, had M been entitled to payment of an ill-health pension under the PCSPS, been payable to M under the rules of the PCSPS applicable to M.”.

(14) In paragraph 30(2) of Schedule 2—

(a) at the end of paragraph (a) omit “and”; and

(b) at the end of paragraph (b) insert “; and” and–

“(c) no lump sum is payable to the member under the PCSPS.”.

(15) In paragraph 30(3) of Schedule 2—

(a) at the end of paragraph (a), for “;” substitute “, to the extent that it relates to pension payable under paragraph 29(3)(a)(ii) and 29(4)(a)(iii)”; and

(b) omit paragraph (b).

(16) In paragraph 45(2) of Schedule 2—

(a) after “PCSPS,” insert “the person’s service which has been transferred into the PCSPS is taken to be qualifying service for the purposes of this scheme and”; and

(b) in paragraph (b), for “transitional” substitute “transition”.