Public Service Pensions Bill (HC Bill 70)

Sections 18 and 28

SCHEDULE 7 Final salary link

Persons who remain in an old scheme for past service

1 (1) This paragraph applies in a case where—

(a) 5a person is a member of an existing scheme closed under section 16
or a scheme closed under section 28 (the “old scheme”) by virtue of
his or her pensionable service for that scheme (“the old scheme
service”), and

(b) the person is also a member of a scheme under section 1 or a new
10public body pension scheme (“the new scheme”) by virtue of his or
her pensionable service for that scheme (“the new scheme service”).

(2) If, in a case where this paragraph applies—

(a) the old scheme service and the new scheme service are continuous,
and

(b) 15the person’s employer in relation to the old scheme service is the
person’s employer in relation to the new scheme service (or any
other employer in relation to the new scheme),

then, in determining the person’s final salary for any purpose of the old
scheme—

(i) 20the old scheme service is to be regarded as having ended when the
new scheme service ended, and

(ii) the person’s pensionable earnings derived from the new scheme
service are to be regarded as derived from the old scheme service.

Persons whose benefits under an old scheme are transferred to another closed scheme

2 (1) 25This paragraph applies in a case where—

(a) a person has been a member of an existing scheme closed under
section 16 or a scheme closed under section 28 (“the old scheme”) by
virtue of his or her pensionable service for that scheme (“the old
scheme service”),

(b) 30the person is also a member of a scheme under section 1 or a new
public body pension scheme (“the new scheme”) by virtue of his or
her pensionable service for that scheme (“the new scheme service”),

(c) the person’s rights to benefit under the old scheme have been
transferred after the closure of that scheme to an existing scheme
35closed under section 16 or a scheme closed under section 28 (“the
transfer scheme”), and

(d) the old scheme service is treated, by virtue of that transfer, as
pensionable service of the person for the transfer scheme (“the
deemed transfer scheme service”).

(2) 40If, in a case where this paragraph applies—

(a) the deemed transfer scheme service and the new scheme service are
continuous, and

(b) the person’s employer in relation to the new scheme service is an
employer in relation to the transfer scheme,

then, in determining the person’s final salary for any purpose of the transfer
scheme—

(i) the deemed transfer scheme service is to be regarded as having
ended when the new scheme service ended, and

(ii) 5the person’s pensionable earnings derived from the new scheme
service are to be regarded as derived from the deemed transfer
scheme service.

(3) In sub-paragraph (1)(c), the reference to a transfer of rights to benefit
includes the making of a transfer payment in respect of such rights.

10Continuity of employment

3 (1) For the purposes of paragraphs 1(2)(a) and 2(2)(a), there are to be
disregarded—

(a) any gap in service where the person was in pensionable public
service;

(b) 15a single gap of service where the person was not in pensionable
public service, if that gap does not exceed five years;

(c) two or more gaps in service where the person was not in pensionable
public service, if none of the gaps exceeds five years.

(2) In this paragraph, “pensionable public service” means service which is
20pensionable service in relation to—

(a) a scheme under section 1, or

(b) a new public body pension scheme.

Movement between new schemes

4 Where the condition in sub-paragraph (1)(b) of paragraph 1 or 2 applies by
25virtue of periods of pensionable service for two or more different schemes—

(a) identify the last period of pensionable service by virtue of which that
paragraph applies and the scheme to which that service relates, and

(b) disregard, for the purposes of that sub-paragraph, periods of
pensionable service relating to other schemes.

Section 24

30SCHEDULE 8 Consequential and minor amendments

County Courts Act (Northern Ireland) 1959 (c. 25 (N.I.))

1 In section 116 of the County Courts Act (Northern Ireland) 1959 (pensions of
judges), at the end there is inserted—

“(8) 35This Part is subject to section 16 of the Public Service Pensions Act
2013 (restrictions on benefits provided under existing schemes).”

District Judges (Magistrates’ Courts) Pensions Act (Northern Ireland) 1960 (c. 2 (N.I.))

2 In section 2 of the District Judges (Magistrates’ Courts) Pensions Act

(Northern Ireland) 1960, after subsection (1A) there is inserted—

“(1B) This Act is subject to section 16 of the Public Service Pensions Act
2013 (restrictions on benefits provided under existing schemes).”

Sheriffs’ Pensions (Scotland) Act 1961 (c. 2)1961 (c. 2)

3 5In section 1 of the Sheriffs’ Pensions (Scotland) Act 1961, after subsection (1)
there is inserted—

“(1A) This Act is subject to section 16 of the Public Service Pensions Act
2013 (restrictions on benefits provided under existing schemes).”

Pensions (Increase) Act 1971 (c. 56)1971 (c. 56)

4 (1) 10Schedule 2 to the Pensions (Increase) Act 1971 (official pensions) is amended
as follows.

(2) After paragraph 4 there is inserted—

“4ZA A pension payable under a scheme made by the Minister for the
Civil Service under section 1 of the Public Service Pensions Act
152013 by virtue of section 1(2)(a) of that Act (civil servants).”

(3) After paragraph 4A there is inserted—

“4B A pension payable under a scheme made by the Minister for the
Civil Service under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(b) of that Act (non-devolved
20judiciary).”

(4) After paragraph 15A there is inserted—

“15B A pension payable by the Secretary of State under a scheme made
by the Secretary of State under section 1 of the Public Service
Pensions Act 2013 by virtue of section 1(2)(g) of that Act (members
25of police forces) to or in respect of such a person as is referred to in
paragraph 15 above.”

(5) After paragraph 16A there is inserted—

“16B A pension payable by the Secretary of State under a scheme made
by the Secretary of State under section 1 of the Public Service
30Pensions Act 2013 by virtue of section 1(2)(f) of that Act (fire and
rescue workers).”

(6) After paragraph 20A there is inserted—

“20B A pension payable by the Secretary of State under a scheme made
by the Secretary of State under section 1 of the Public Service
35Pensions Act 2013 by virtue of section 1(2)(d) of that Act
(teachers).”

(7) After paragraph 22 there is inserted—

“22A A pension payable by the Secretary of State under a scheme made
by the Secretary of State under section 1 of the Public Service
40Pensions Act 2013 by virtue of section 1(2)(e) of that Act (health
service workers).”

(8) After paragraph 29 there is inserted—

A pension payable under a scheme made under section 1 of the
Public Service Pensions Act 2013 by virtue of section 1(2)(h) of that
Act (armed forces).”

(9) 5For the heading before paragraph 38B (“National Assembly for Wales”)
there is substituted—

(10) After paragraph 38B there is inserted—

“38BA A pension payable under a scheme made by the Welsh Ministers
under section 1 of the Public Service Pensions Act 2013 by virtue
10of section 1(2)(f) of that Act (fire and rescue workers).”

(11) For the heading before paragraph 38AB (“Scottish Parliament and Scottish
Government”) there is substituted—

(12) After paragraph 38AB there is inserted—

“38AC A pension payable under a scheme made by the Scottish Ministers
15under section 1 of the Public Service Pensions Act 2013 by virtue
of section 1(2)(c), (d), (e), (f) or (g) of that Act (local government
workers, teachers, health service workers, fire and rescue workers
and police in Scotland).”

(13) After paragraph 39 there is inserted—

“39A 20A pension payable under a scheme made by the Secretary of State
under section 1 of the Public Service Pensions Act 2013 by virtue
of section 1(2)(c) of that Act (local government workers).”

(14) After paragraph 43 there is inserted—

“43A A pension payable (otherwise than as mentioned in paragraph
2515B above) under a scheme made by the Secretary of State under
section 1 of the Public Service Pensions Act 2013 by virtue of
section 1(2)(g) of that Act (police).”

(15) After paragraph 44 there is inserted—

“44A A pension payable otherwise than by the Secretary of State under
30a scheme made by the Secretary of State under section 1 of the
Public Service Pensions Act 2013 by virtue of section 1(2)(f) of that
Act (fire and rescue workers).”

Pensions (Increase) Act (Northern Ireland) 1971 (c. 35)1971 (c. 35)

5 (1) Schedule 2 to the Pensions (Increase) Act (Northern Ireland) 1971 (official
35pensions) is amended as follows.

(2) After paragraph 2 there is inserted—

“2A A pension payable under a scheme made by a Northern Ireland
department under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(a) of that Act (civil servants).”

(3) 5After paragraph 3A there is inserted—

“3B A pension payable by a Northern Ireland department under a
scheme made by the department under section 1 of the Public
Service Pensions Act 2013 by virtue of section 1(2)(d) of that Act
(teachers).”

(4) 10Before paragraph 6 there is inserted—

“5A A pension payable by a Northern Ireland department under a
scheme made by the department under section 1 of the Public
Service Pensions Act 2013 by virtue of section 1(2)(g) of that Act
(members of police forces).

5B 15A pension payable under a scheme made by a Northern Ireland
department under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(b) of that Act (devolved judiciary in
Northern Ireland).”

(5) After paragraph 7A there is inserted—

“7B 20A pension payable by a Northern Ireland department under a
scheme made by the department under section 1 of the Public
Service Pensions Act 2013 by virtue of section 1(2)(e) of that Act
(health service workers).”

(6) After paragraph 14A there is inserted—

“14B 25A pension payable under a scheme made by a Northern Ireland
department under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(c) of that Act (local government
workers).”

(7) After paragraph 16 there is inserted—

“16A 30A pension payable under a scheme made by a Northern Ireland
department under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(f) of that Act (fire and rescue
workers).”

Superannuation Act 1972 (c. 11)Superannuation Act 1972 (c. 11)

6 35The Superannuation Act 1972 is amended as follows.

7 In section 1 (superannuation schemes as respects civil servants, etc), after
subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
40schemes).”

8 In section 7 (superannuation of persons employed in local government

service, etc), after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

9 5In section 9 (superannuation of teachers), after subsection (1) there is
inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

10 10In section 10 (superannuation of persons engaged in health services, etc),
after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

11 15In section 24 (compensation for loss of office, etc), after subsection (1) there
is inserted—

“(1A) Subsection (1) is subject to section 17 of the Public Service Pensions
Act 2013 (restrictions on benefits provided under existing schemes).”

Superannuation (Northern Ireland) Order 1972 (S.I. 1972/1073 (N.I. 10)S.I. 1972/1073 (N.I. 10))

12 20The Superannuation (Northern Ireland) Order 1972 is amended as follows.

13 In Article 3 (superannuation schemes as respects civil servants, etc), after
paragraph (1A) there is inserted—

“(1B) Paragraph (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
25schemes).”

14 In Article 9 (superannuation of persons employed in local government
service, etc), after paragraph (1) there is inserted—

“(1A) Paragraph (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
30schemes).”

15 In Article 11 (superannuation of teachers), after paragraph (1) there is
inserted—

“(1A) Paragraph (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
35schemes).”

16 In Article 12 (superannuation of persons engaged in health services, etc),
after paragraph (1) there is inserted—

“(1A) Paragraph (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
40schemes).”

17 In Article 19 (compensation for loss of office, etc), after paragraph (1) there

is inserted—

“(1A) Paragraph (1) is subject to section 17 of the Public Service Pensions
Act 2013 (restrictions on benefits provided under existing schemes).”

Police Pensions Act 1976 (c. 35)Police Pensions Act 1976 (c. 35)

18 5In section 1 of the Police Pensions Act 1976 (police pensions regulations),
after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

10House of Commons (Administration) Act 1978 (c. 36)1978 (c. 36)

19 In section 2 of the House of Commons (Administration) Act 1978 (functions
of House of Commons Commission), in subsection (3), after “kept in line
with the provisions of” there is inserted “, or provided under,”.

Judicial Pensions Act 1981 (c. 20)1981 (c. 20)

20 15In the Judicial Pensions Act 1981, before section 29A there is inserted—

“29ZA Closure of schemes under this Act

This Act is subject to sections 16 and 17 of the Public Service Pensions
Act 2013 (restrictions on benefits provided under existing schemes).”

Fire Services (Northern Ireland) Order 1984 (S.I. 1984/1821 (N.I. 11)S.I. 1984/1821 (N.I. 11))

21 20In the Fire Services (Northern Ireland) Order 1984 (continued by Article 60
of the Fire and Rescue Services (Northern Ireland) Order 2006 (S.I. 2006/
1254 (N.I. 9))), after paragraph (3) there is inserted—

“(3A) Paragraphs (1) to (3) are subject to sections 16 and 17 of the Public
Service Pensions Act 2013 (restrictions on benefits provided under
25existing schemes).”

Local Government and Housing Act 1989 (c. 42)Local Government and Housing Act 1989 (c. 42)

22 In section 13 of the Local Government and Housing Act 1989 (voting rights
of members of certain committees), in subsection (4), after paragraph (fa)
there is inserted—

“(fb) 30a pension board established under section 5 of the Public
Service Pensions Act 2013 for a scheme for the payment of
pensions and other benefits to or in respect of local
government workers (within the meaning of that Act);”.

Judicial Pensions and Retirement Act 1993 (c. 8)1993 (c. 8)

23 35In section 1 of the Judicial Pensions and Retirement Act 1993, after
subsection (1) there is inserted—

“(1A) This Part is subject to section 16 of the Public Service Pensions Act
2013 (restrictions on benefits provided under existing schemes).”

Pension Schemes Act 1993 (c. 48)1993 (c. 48)

24 The Pension Schemes Act 1993 is amended as follows.

25 (1) Section 71 (short service benefit) is amended as follows.

(2) In subsection (3), for “subsection (4)” there is inserted “subsections (4) and
5(5A)”.

(3) After subsection (5) there is inserted—

“(5A) Subsection (3) does not apply in relation to a scheme under section 1
of the Public Service Pensions Act 2013.”

26 In section 83 (scope of Chapter 2: revaluation of accrued benefits), after
10subsection (1A) there is inserted—

“(1B) The reference in subsection (1)(a)(iii) to normal pension age is to be
read, in relation to a person who is an active or deferred member of
a scheme under section 1 or 28(4) of the Public Service Pensions Act
2013, as—

(a) 15the member’s normal pension age within the meaning of that
Act, or

(b) the member’s deferred pension age within the meaning of
that Act, if that is later.

In this subsection “active member” and “deferred member”, in
20relation to such a scheme, have the meanings given by section 124(1)
of the Pensions Act 1995.”

Pension Schemes (Northern Ireland) Act 1993 (c. 49)Pension Schemes (Northern Ireland) Act 1993 (c. 49)

27 The Pension Schemes (Northern Ireland) Act 1993 is amended as follows.

28 (1) Section 67 (short service benefit) is amended as follows.

(2) 25In subsection (3), for “subsection (4)” there is inserted “subsections (4) and
(5A)”.

(3) After subsection (5) there is inserted—

“(5A) Subsection (3) does not apply in relation to a scheme under section 1
of the Public Service Pensions Act 2013.”

29 30In section 79 (scope of Chapter 2: revaluation of accrued benefits), after
subsection (1A) there is inserted—

“(1B) The reference in subsection (1)(a)(iii) to normal pension age is to be
read, in relation to a person who is an active or deferred member of
a scheme under section 1 or 28(4) of the Public Service Pensions Act
352013, as—

(a) the member’s normal pension age within the meaning of that
Act, or

(b) the member’s deferred pension age within the meaning of
that Act, if that is later.

40In this subsection “active member” and “deferred member”, in
relation to such a scheme, have the meanings given by Article 121(1)
of the Pensions (Northern Ireland) Order 1995.”

Police Act 1996 (c. 16)1996 (c. 16)

30 The Police Act 1996 is amended as follows.

31 In section 50 (regulations for police forces), after subsection (2) there is
inserted—

“(2ZA) 5Regulations under this section may not make any provision which
may be made under section 1 of the Public Service Pensions Act 2013
(pensions etc) in relation to members of police forces.”

32 (1) Section 51 (regulations for special constables) is amended as follows.

(2) In subsection (2)—

(a) 10at the end of paragraph (c) there is inserted “and”;

(b) paragraph (e) is repealed.

(3) After subsection (2) there is inserted—

“(2ZA) Regulations under this section may not make any provision which
may be made under section 1 of the Public Service Pensions Act 2013
15(pensions etc) in relation to special constables.”

(4) Subsection (3) is repealed.

33 In section 52 (regulations for police cadets), after subsection (1) there is
inserted—

“(1ZA) Regulations under this section may not make any provision which
20may be made under section 1 of the Public Service Pensions Act 2013
(pensions etc) in relation to police cadets.”

Police (Northern Ireland) Act 1998 (c. 32)1998 (c. 32)

34 The Police (Northern Ireland) Act 1998 is amended as follows.

35 In section 25 (regulations for Police Service of Northern Ireland), after
25subsection (2) there is inserted—

“(2A) Subsection (2)(k) is subject to section 16 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

36 In section 26 (regulations for reserve constables in Northern Ireland), after
30subsection (2) there is inserted—

“(2A) Subsection (2)(g) is subject to section 16 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

Human Rights Act 1998 (c. 42)Human Rights Act 1998 (c. 42)

37 35In Schedule 4 to the Human Rights Act 1998 (judicial pensions), in the
definition of “pensions Act” in paragraph 4, after paragraph (d) (but before
the final “and”) there is inserted—

• “( e)

  the Public Service Pensions Act 2013;”.

Fire and Rescue Services Act 2004 (c. 21)Fire and Rescue Services Act 2004 (c. 21)

38 In section 34 of the Fire and Rescue Services Act 2004 (pensions etc), after
subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 16 and 17 of the Public Service
5Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

Armed Forces (Pensions and Compensation) Act 2004 (c. 32)Armed Forces (Pensions and Compensation) Act 2004 (c. 32)

39 In section 1 of the Armed Forces (Pensions and Compensation) Act 2004
(pension and compensation schemes for the armed and reserve forces), after
10subsection (2) there is inserted—

“(2A) Subsections (1) and (2) are subject to sections 16 and 17 of the Public
Service Pensions Act 2013 (restrictions on benefits provided under
existing schemes).”

Constitutional Reform Act 2005 (c. 4)Constitutional Reform Act 2005 (c. 4)

40 15In Schedule 7 to the Constitutional Reform Act 2005 (protected functions of
the Lord Chancellor), in Part A of paragraph 4, at the end there is inserted—

“Public Service Pensions Act 2013

Schedule 2, paragraph 1(2)”.

Parliament (Joint Departments) Act 2007 (c. 16)2007 (c. 16)

41 20In section 3 of the Parliament (Joint Departments) Act 2007 (staff), in
subsection (2)(c), after “kept in line with the provisions of” there is inserted
“, or provided under,”.

Section 26

SCHEDULE 9 Existing schemes for civil servants: extension of access

25Superannuation Act 1972 (c. 11)Superannuation Act 1972 (c. 11)

1 The Superannuation Act 1972 is amended as follows.

2 In section 1 (superannuation schemes as respects civil servants, etc), after
subsection (4) there is inserted—

“(4A) This section also applies to persons serving in employment or in an
30office, not being service in employment or in an office of a kind
mentioned in subsection (4), where the employment or office is
specified in a list produced for the purposes of this subsection (see
section 1A).”