Enterprise Bill (HC Bill 112)

the words from “which have” to the end substitute “which—

(i) have come into force or ceased to be in force during
the reporting period,

(ii) fall within section 22(6)(a) or (b), and

(iii) 5do not fall within paragraph (a),”.

(4) After that paragraph insert—

“(g) a summary of all the regulatory provisions (as defined in
section 22(3)) which—

(i) have come into force or ceased to be in force during
10the reporting period,

(ii) fall within section 22(6)(c), and

(iii) do not fall within paragraph (a).”

3 In that section, after subsection (3) insert—

“(3A) The contribution of qualifying regulatory provisions which have
15come into force or ceased to be in force during preceding reporting
periods to the aggregate economic impact mentioned in subsection
(3)(d) is to be assessed by reference to the assessments in relation to
those provisions included in reports in respect of those periods
under subsection (3)(b).”

4 20After section 24 insert—

“24A Duty on relevant regulators to assess economic impact etc

(1) A relevant regulator must publish the required documents in respect
of each reporting period during the relevant period.

(2) The required documents are—

(a) 25a list of all qualifying regulatory provisions which—

(i) have effect by virtue of the exercise of a function
conferred on the regulator, and

(ii) have come into force or ceased to be in force during
the reporting period;

(b) 30an assessment verified by the body appointed under section
25 of the economic impact on business activities of each
qualifying regulatory provision falling within paragraph (a)
made by reference to the methodology published under
section 21(3)(b);

(c) 35a summary of all regulatory provisions (as defined in section
22(3)) which—

(i) have effect by virtue of the exercise of a function
conferred on the regulator,

(ii) have come into force or ceased to be in force during
40the reporting period, and

(iii) do not fall within paragraph (a).

(3) The required documents must be published no later than two weeks
after the end of the reporting period, if they are in respect of a
reporting period mentioned in any of section 23(7)(a) to (d).

(4) 45If the required documents are in respect of a reporting period
mentioned in section 23(7)(e)—

(a) they must be published at least two weeks before the
dissolution of Parliament;

(b) the references to qualifying regulatory provisions or
regulatory provisions which have come into force or ceased
5to be in force during the reporting period include qualifying
regulatory provisions or regulatory provisions which are
expected to come into force or to cease to be in force during
that reporting period.

(5) A relevant regulator must have regard to any guidance issued from
10time to time by the Secretary of State in relation to the required
documents.

(6) The guidance may, in particular, include guidance as to—

(a) information that should be published, or given to the body
appointed under section 25, in advance of the publication of
15a required document;

(b) the time when a required document should be published
(subject to subsections (3) and (4)(a));

(c) the form of a required document or the manner in which it
should be published.

(7) 20In this section “relevant regulator” has the same meaning as in
section 22 (see subsection (9) of that section).”

5 In section 26 (amending the business impact target etc) after subsection (4)
insert—

“(5) If the Secretary of State amends the thing mentioned in subsection
25(1)(c) a relevant regulator must—

(a) amend anything already published under section 24A or this
section so that it takes account of the amendments;

(b) make a back-dated assessment in relation to any regulatory
provision which—

(i) 30is a qualifying regulatory provision by virtue of the
amendments,

(ii) has effect by virtue of the exercise of a function
conferred on the regulator, and

(iii) came into force or ceased to be in force in a past
35reporting period;

(c) publish anything amended and any back-dated assessment.

(6) A “back-dated assessment” is an assessment of the economic impact
on business activities of a regulatory provision mentioned in
subsection (5)(b), in respect of the past reporting period in which the
40provision came into force or ceased to be in force, made by reference
to the methodology published under section 21(3)(b).

(7) If the Secretary of State amends the thing mentioned in subsection
(1)(d) a relevant regulator must—

(a) amend any assessment or back-dated assessment already
45published under section 24A or this section so that it takes
account of the amendments;

(b) publish any amended assessment or back-dated assessment.

(8) Each back-dated assessment, amended assessment or amended
back-dated assessment is to be verified by the body appointed under
section 25 before it is published.

(9) If the Secretary of State amends the thing mentioned in subsection
5(1)(c) or (d), a relevant regulator must have regard to any guidance
issued by the Secretary of State in relation to anything to be
published under subsection (5) or (7) (any “updating document”).

(10) The guidance may, in particular, include guidance as to—

(a) information that should be published, or given to the body
10appointed under section 25, in advance of the publication of
an updating document;

(b) the time when an updating document should be published;

(c) the form of an updating document or the manner in which it
should be published.

(11) 15In this section “relevant regulator” has the same meaning as in
section 22 (see subsection (9) of that section).”

Section 19

SCHEDULE 3 Primary authority scheme: new Schedule 4A to RESA 2008

This is the Schedule 4A to be substituted for Schedule 4 to the Regulatory
20Enforcement and Sanctions Act 2008—

Sections 25B and 25C

““Schedule 4A References to the Secretary of State

Part 1 Enforcement action by primary authority

1 (1) If the primary authority notifies the regulated person, or a
25member of the regulated group, under section 25B(2)(a) that it
proposes to take enforcement action against the regulated person
or the member, the regulated person or the member may, with the
consent of the Secretary of State, refer the proposed enforcement
action to the Secretary of State.

(2) 30On a reference under sub-paragraph (1) the Secretary of State
must—

(a) if satisfied as to the matters in sub-paragraph (3), direct the
primary authority not to take the proposed enforcement
action;

(b) 35otherwise, consent to the action.

(3) The matters referred to in sub-paragraph (2) are that—

(a) the proposed enforcement action is inconsistent with
advice or guidance previously given by the primary
authority (generally or specifically), and

(b) 40the advice or guidance was correct and properly given.

(4) If the Secretary of State directs the primary authority not to take
the proposed enforcement action, the Secretary of State may direct
the primary authority to take some other enforcement action (and
section 25B does not apply in relation to that other action).

5Part 2 Enforcement action other than by primary authority

Reference by an enforcing authority

2 (1) If the primary authority directs an enforcing authority under
section 25C(4) not to take the proposed enforcement action, the
10enforcing authority may, with the consent of the Secretary of State,
refer the proposed action to the Secretary of State.

(2) On a reference under sub-paragraph (1) the Secretary of State
must—

(a) if satisfied as to the matters in sub-paragraph (3), confirm
15the direction;

(b) otherwise, revoke the direction.

(3) The matters referred to in sub-paragraph (2) are that—

(a) the proposed enforcement action is inconsistent with
advice or guidance previously given by the primary
20authority (generally or specifically), and

(b) the advice or guidance was correct and properly given.

(4) If the Secretary of State confirms the direction, the Secretary of
State may direct the enforcing authority to take some other
enforcement action (and section 25C does not apply in relation to
25that other action).

Reference by regulated person or member of the regulated group

3 (1) If section 25C applies and the primary authority does not direct
the enforcing authority (under subsection (4) of that section) not to
take the proposed enforcement action, the regulated person or the
30member of the regulated group may, with the consent of the
Secretary of State, refer the action to the Secretary of State.

(2) On a reference under sub-paragraph (1) the Secretary of State
must—

(a) if satisfied as to the matters in sub-paragraph (3), direct the
35enforcing authority not to take the proposed enforcement
action;

(b) otherwise, consent to the action.

(3) The matters referred to in sub-paragraph (2) are that—

(a) the proposed enforcement action is inconsistent with
40advice or guidance previously given by the primary
authority (generally or specifically), and

(b) the advice or guidance was correct and properly given.

(4) If the Secretary of State directs the enforcing authority not to take
the proposed enforcement action, the Secretary of State may direct

the enforcing authority to take some other enforcement action
(and section 25C does not apply in relation to that other action).

Reference by primary authority

4 (1) The primary authority may, with the consent of the Secretary of
5State, instead of making a determination under section 25C(4) as
to whether to direct an enforcing authority not to take proposed
enforcement action, refer the action to the Secretary of State.

(2) On a reference under this paragraph the Secretary of State must—

(a) if satisfied as to the matters in sub-paragraph (3), direct the
10enforcing authority not to take the proposed enforcement
action;

(b) otherwise, consent to the action.

(3) The matters referred to in sub-paragraph (2) are that—

(a) the proposed enforcement action is inconsistent with
15advice or guidance previously given by the primary
authority (generally or specifically), and

(b) the advice or guidance was correct and properly given.

(4) If the Secretary of State directs the enforcing authority not to take
the proposed enforcement action, the Secretary of State may direct
20the enforcing authority to take some other enforcement action
(and section 25C does not apply in relation to that other action).

Part 3 General

Timing

5 (1) 25Any reference under this Schedule must be made as soon as is
reasonably practicable, and in any event within the referral
period.

(2) The “referral period” for the purposes of a reference under
paragraph 1(1) is the period which—

(a) 30begins when the regulated person or the member is
notified under section 25B(2)(a) of the proposed
enforcement action, and

(b) ends at the end of the tenth working day after the day on
which the period begins, or at such later time as the
35Secretary of State may direct.

(3) The “referral period” for the purposes of a reference under
paragraph 2(1) is the period which—

(a) begins when the enforcing authority is directed under
section 25C(4) not to take the proposed enforcement
40action, and

(b) ends at the end of the tenth working day after the day on
which the period begins, or at such later time as the
Secretary of State may direct.

(4) The “referral period” for the purposes of a reference under
paragraph 3(1) is the period which—

(a) begins when the regulated person or the member is
informed under section 25C(6)(a) that the enforcing
5authority continues to propose to take the enforcement
action, and

(b) ends at the end of the tenth working day after the day on
which the period begins, or at such later time as the
Secretary of State may direct.

(5) 10The “referral period” for the purposes of a reference under
paragraph 4(1) is the relevant period under section 25C(9).

(6) The Secretary of State must determine a reference under this
Schedule within the period of 28 days beginning with the day on
which the reference is made.

(7) 15The primary authority (in the case of a reference under paragraph
1(1)) or the enforcing authority (in the case of a reference under
paragraph 2(1), 3(1) or 4(1)) may not take the proposed
enforcement action at any time after the making of the reference
and before its determination.

20Consultation

6 (1) Before determining a reference under this Schedule, the Secretary
of State—

(a) must consult any relevant regulator, where appropriate,
and

(b) 25may consult other persons.

(2) In sub-paragraph (1)(a), “relevant regulator” means a person who
has regulatory functions which relate to the matter to which the
determination relates.

(3) But a person is not a “relevant regulator” within the meaning of
30sub-paragraph (1)(a) if—

(a) the person is a qualifying regulator, and

(b) the partnership function pursuant to which the proposed
enforcement action would be taken is a relevant function
of the person.

35Information

7 (1) For the purposes of determining whether to consent to a reference
under this Schedule, or of determining such a reference, the
Secretary of State may require any of the following to provide the
Secretary of State with information—

(a) 40the primary authority;

(b) in the case of a reference under paragraph 2(1), 3(1) or 4(1),
the enforcing authority;

(c) the regulated person concerned or the member of the
regulated group concerned.

(2) 45The information must be information which the authority, person
or member may lawfully provide to the Secretary of State.

Secretary of State’s costs

8 The Secretary of State may require the regulated person or a
member of the regulated group to pay reasonable costs incurred
by the Secretary of State as a result of—

(a) 5a reference by the regulated person or the member under
paragraph 1(1) or 3(1), or

(b) an application by the regulated person or the member for
consent to make such a reference.

Procedure

9 10The Secretary of State may by regulations make further provision
as to the procedure to be followed for the purposes of this
Schedule.”

Section 35

SCHEDULE 4 Restriction on public sector exit payments: consequential and related
15provision

Small Business, Enterprise and Employment Act 2015

1 In section 154 of the Small Business, Enterprise and Employment Act 2015
(regulations in connection with repayment of public sector exit payments)—

(a) in subsection (4)(c), after “retirement” insert “or in respect of the cost
20to a pension scheme of such a reduction not being made”,

(b) after subsection (6), insert—

“(7) In this section a reference to a payment made to a person
includes a reference to a payment made in respect of that
person to another person.”, and”

(c) 25in the heading, after “with” insert “repayment of”.

2 In section 156 of that Act (power to make regulations exercisable by the
Treasury or Scottish Ministers)—

(a) for subsection (4) substitute—

“(4) The first regulations made by the Treasury under section
30154(1) are subject to the affirmative resolution procedure.

(4A) The first regulations made by the Scottish Ministers under
section 154(1) are subject to the affirmative procedure.”, and”

(b) in the heading, after “regulations” insert “under section 154(1)”.

3 In section 161 of that Act (supplementary provision about regulations), in
35subsection (1), after “section 1” insert “, 153A”.

Power to amend public sector schemes

4 (1) Regulations may amend any relevant public sector scheme to ensure that if
any exit payment restriction would have effect to prevent retirement
benefits becoming immediately payable under the scheme without
40reduction—

(a) the retirement benefits may become immediately payable under the
scheme subject to the appropriate early payment deduction, and

(b) the member may opt to buy out all or part of that deduction.

(2) Regulations may also amend any relevant public sector scheme to ensure
5that if any exit payment restriction has effect to prevent a payment being
made by the employer under the scheme in respect of the whole or any part
of an extra charge arising to the scheme as a result of retirement benefits
becoming immediately payable to a member without reduction—

(a) the retirement benefits become payable immediately subject to the
10appropriate early payment deduction except to the extent that the
extra charge arising to the scheme as a result of not making that
deduction has been met by a payment made by the employer under
the scheme, but

(b) the member may opt to buy out all or part of that early payment
15deduction.

(3) Regulations under this paragraph may be made—

(a) in relation to exit payments made by a relevant Scottish authority
(other than exit payments to which section 153B(2) applies), by the
Scottish Ministers, and

(b) 20in any other case, by—

(i) the Treasury, or

(ii) another Minister of the Crown with the consent of the
Treasury.

(4) Regulations under this paragraph may make—

(a) 25consequential, incidental or supplemental provision;

(b) transitional or transitory provision, or savings;

(c) different provision for different purposes.

(5) Regulations under this paragraph (other than regulations made by the
Scottish Ministers) are to be made by statutory instrument.

(6) 30A statutory instrument containing regulations under this paragraph is
subject to annulment in pursuance of a resolution of either House of
Parliament.

(7) Regulations under this paragraph made by the Scottish Ministers are subject
to the negative procedure.

(8) 35In this paragraph—

• “the appropriate early payment deduction” means such adjustment as
  is shown as appropriate in actuarial guidance issued by the Secretary
  of State;

• “exit payment restriction” means a restriction imposed by regulations
  40under section 153A of the Small Business, Enterprise and
  Employment Act 2015;

• “Minister of the Crown” has the same meaning as in the Ministers of the
  Crown Act 1975;

• “relevant public sector scheme” has the same meaning as in section
  45153A of the Small Business, Enterprise and Employment Act 2015;

• “relevant Scottish authority” has the meaning given by section 153B of
  that Act.

Local Government Pension Scheme Regulations 2013 (S.I. 2013/2356S.I. 2013/2356)

5 (1) In the Local Government Pension Scheme Regulations 2013 (S.I. 2013/
2356)—

(a) in regulation 30 (which provides for active members aged 55 or over,
5on redundancy, to take immediate payment of certain pension
amounts without an actuarial reduction), at the end insert—

“(13) This regulation is subject to regulation 68A (effect of
restrictions on public sector exit payments).”, and”

(b) after regulation 68 insert—

“68A 10Effect of restrictions on public sector exit payments

(1) This regulation applies where the effect of the Exit Payment
Regulations is to prevent all or part of a payment being
required to be made under regulation 68(2) in respect of any
extra charge on the fund resulting from retirement benefits
15which, in the absence of this regulation, would become
immediately payable, without reduction, under regulation
30(7)(b) or as a result of a waiver under regulation 30(8).

(2) The member may elect to pay to the appropriate fund an
amount in respect of all or part of that extra charge.

(3) 20Regulation 30(7) (which provides for active members aged 55
or over, on redundancy, to take immediate payment of
certain pension amounts) has effect as if for paragraph (b)
there were substituted—

(b) any other retirement pension relating to that
25employment payable under these Regulations,
adjusted by so much of the amount shown as
appropriate in actuarial guidance issued by the
Secretary of State as does not represent an adjustment
relating to an extra charge on the appropriate fund—

(i) 30in respect of which the Scheme employer may
be required to make an additional payment
under regulation 68(2), or

(ii) in respect of which the member has made a
payment under regulation 68A(2).”

(4) 35Regulation 30(8) does not authorise the waiver of any
reduction except to the extent that an additional payment
may be required under regulation 68(2), or a payment has
been made to the appropriate fund by the member under
paragraph (2), in respect of any extra charge on the fund
40resulting from not making the reduction.

(5) In determining the effect of the Exit Payment Regulations for
the purposes of paragraph (1) account is to be taken of any
provision made under section 153C of the Small Business,
Enterprise and Employment Act 2015 (power to relax exit
45payment restrictions in certain cases).

(6) The restriction specified in paragraph (4) applies to Scheme
employers which have power under section 1 of the Localism
Act 2011 (local authority’s general power of competence) or

section 5A(1) of the Fire and Rescue Services Act 2004
(powers of fire and rescue authorities) in the exercise of those
powers.

(7) In this regulation “Exit Payment Regulations” means
5regulations under section 153A(1) of the Small Business,
Enterprise and Employment Act 2015 (regulations to restrict
public sector exit payments).”

(2) The provision made by sub-paragraph (1) may be amended or revoked as if
it had been made under section 1 of the Public Service Pensions Act 2013.

(3) 10The provision made by this paragraph is without prejudice to the generality
of the powers conferred by paragraph 4.