Public Service Pensions Bill (HL Bill 77)

(b) any document recording policy about the administration of
the scheme which is for the time being adopted in relation to
the scheme.

(3) An individual to whom this section applies must have knowledge
5and understanding of—

(a) the law relating to pensions, and

(b) such other matters as may be prescribed.

(4) The degree of knowledge and understanding required by subsection
(3) is that appropriate for the purposes of enabling the individual
10properly to exercise the functions of a member of the pension board.”

20 In section 249A (requirement for internal controls), in subsection (3)—

(a) before paragraph (a) there is inserted—

“(za) a public service pension scheme;”;

(b) in paragraph (a) for “a scheme” there is substituted “any other
15scheme”.

21 After section 249A there is inserted—

“249B Requirement for internal controls: public service pension schemes

(1) The scheme manager of a public service pension scheme must
establish and operate internal controls which are adequate for the
20purpose of securing that the scheme is administered and managed—

(a) in accordance with the scheme rules, and

(b) in accordance with the requirements of the law.

(2) Nothing in this section affects any other obligations of the scheme
manager to establish or operate internal controls, whether imposed
25by or by virtue of any enactment, the scheme rules or otherwise.

(3) In this section, “enactment” and “internal controls” have the same
meanings as in section 249A.”

22 (1) Section 318 (interpretation) is amended as follows.

(2) In subsection (1), after the definition of “occupational pension scheme” there
30is inserted—

• ““pension board” has the same meaning as in the Public Service
  Pensions Act 2013 (see section 5 of that Act);”.

(3) After the definition of “professional adviser” in that subsection there is
inserted—

• 35““public service pension scheme” means, subject to subsection
  (6)—

  (a)

  a scheme under section 1 of the Public Service
  Pensions Act 2013 (new public service schemes);

  (b)

  a new public body pension scheme (within the
  40meaning of that Act);

  (c)

  any statutory pension scheme which is connected
  with a scheme referred to in paragraph (a) or (b) (and
  for this purpose “statutory pension scheme” and
  “connected” have the meanings given in that Act);”.

(4) After the definition of “the Regulator” in that subsection there is inserted—

• ““scheme manager”, in relation to a public service pension
  scheme, has the same meaning as in the Public Service
  Pensions Act 2013 (see section 4 of that Act);”.

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

“(6) A scheme which would otherwise fall within the definition of
“public service pension scheme” in subsection (1) does not fall within
that definition if—

(a) it is an injury or compensation scheme (within the meaning
10of the Public Service Pensions Act 2013), or

(b) it is specified in an order made by the Secretary of State after
consulting the Treasury.”

Section 18

SCHEDULE 5 Existing pension schemes

15Civil servants

1 A scheme under section 1 of the Superannuation Act 1972.

Judiciary

2 A scheme constituted by section 20 of the Sheriff Courts (Scotland) Act 1907.

3 A scheme constituted by paragraph 23 of Schedule 9 to the Agriculture Act
201947, so far as relating to payment of pension benefits.

4 A scheme constituted by or made under any provision of Part XIII of the
County Courts Act (Northern Ireland) 1959 (c. 25 (N.I.)).

5 A scheme constituted by or made under any provision of District Judges
(Magistrates’ Courts) Pensions Act (Northern Ireland) 1960 (c. 2 (N.I.)).

6 25A scheme constituted by or made under any provision of the Sheriffs’
Pensions (Scotland) Act 1961.

7 A scheme constituted by or made under any provision of the Judicial
Pensions Act 1981.

8 A scheme constituted by paragraph 9 of Schedule 4 to the Rent (Scotland)
30Act 1984.

9 A scheme constituted by or made under any provision of Part 1 or section 19
of the Judicial Pensions and Retirement Act 1993.

10 A scheme constituted by paragraph 4(1) of Schedule 1 to the Scottish Land
Court Act 1993.

11 A scheme constituted by or made under paragraph 6 of Schedule 2 to the
Mental Health (Care and Treatment) (Scotland) Act 2003 (asp 13)2003 (asp 13).

12 A scheme constituted by or made under paragraph 9 of Schedule 1 to the
Education (Additional Support for Learning) (Scotland) Act 2004 (asp 4)2004 (asp 4).

13 5A scheme constituted by paragraph 2(1)(b) of Schedule 2 to the Charities and
Trustee Investment (Scotland) Act 2005 (asp 10)2005 (asp 10), so far as relating to
payment of pension benefits.

14 A scheme constituted by paragraph 6(3) of Schedule 11 to the Welsh
Language (Wales) Measure 2011 (nawm 1).

10Local government workers

15 A scheme constituted by paragraph 2 of Schedule 1 to the Coroners Act 1988.

16 Regulations under section 7 of the Superannuation Act 1972.

Teachers

17 Regulations under section 9 of the Superannuation Act 1972.

15Health service workers

18 Regulations under section 10 of the Superannuation Act 1972.

Fire and rescue workers

19 A scheme under section 26 of the Fire Services Act 1947.

20 A scheme under section 34 of the Fire and Rescue Services Act 2004.

20Members of police forces

21 Regulations under section 1 of the Police Pensions Act 1976.

22 A scheme under section 48 of the Police and Fire Reform (Scotland) Act 2012
(asp 8).

Armed forces

23 25The scheme constituted by the Royal Warrant of 19 December 1949 (see
Army Order 151 of 1949).

24 An Order in Council under section 3 of the Naval and Marine Pay and
Pensions Act 1865.

25 An order under section 2 of the Pensions and Yeomanry Pay Act 1884.

26 An order under section 2 of the Air Force (Constitution) Act 1917.

27 Orders or regulations under section 4 of the Reserve Forces Act 1996
containing provision made under section 8 of that Act.

28 (1) 5A scheme under section 1(1) of the Armed Forces (Pensions and
Compensation) Act 2004.

(2) For the purposes of sub-paragraph (1), “compensation benefits” includes
benefits by way of payments for resettlement or retraining.

Section 19

SCHEDULE 6 10Existing injury and compensation schemes

Civil servants

1 A scheme under section 1 of the Superannuation Act 1972.

Judiciary

2 A scheme constituted by or made under Part 3 of Schedule 1 to the Judicial
15Pensions Act 1981.

3 A scheme constituted by section 11(b) of the Judicial Pensions Act 1981.

Local government workers

4 Regulations under section 7 of the Superannuation Act 1972.

Teachers

5 20Regulations under section 9 of the Superannuation Act 1972.

Health service workers

6 Regulations under section 10 of the Superannuation Act 1972.

Fire and rescue workers

7 A scheme under section 34 of the Fire and Rescue Services Act 2004.

Members of police forces

8 Regulations under section 1 of the Police Pensions Act 1976.

9 A scheme under section 48 of the Police and Fire Reform (Scotland) Act 2012
(asp 8).

5Armed forces

10 The scheme constituted by the Royal Warrant of 19 December 1949 (see
Army Order 151 of 1949).

11 An Order in Council under section 3 of the Naval and Marine Pay and
Pensions Act 1865.

12 10An order under section 2 of the Pensions and Yeomanry Pay Act 1884.

13 An order under section 2 of the Air Force (Constitution) Act 1917.

14 An order or regulations under section 4 of the Reserve Forces Act 1996
containing provision made under section 8 of that Act.

15 (1) A scheme under section 1(1) of the Armed Forces (Pensions and
15Compensation) Act 2004.

(2) For the purposes of sub-paragraph (1), “compensation benefits” includes
benefits by way of payments for resettlement or retraining.

16 A scheme under section 1(2) of the Armed Forces (Pensions and
Compensation) Act 2004.

20Compensation schemes for loss of office etc

17 Regulations under section 24 of the Superannuation Act 1972.

Sections 20 and 30

SCHEDULE 7 Final salary link

Persons who remain in an old scheme for past service

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

(a) a person is a member of an existing scheme to which section 18(1)
applies or a scheme to which section 30(2) applies (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
public 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) 5the old scheme service and the new scheme service are continuous,
and

(b) the 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),

10then, in determining the person’s final salary for any purpose of the old
scheme—

(i) the 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
15service 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) This paragraph applies in a case where—

(a) a person has been a member of an existing scheme to which section
18(1) applies or a scheme to which section 30(2) applies (“the old
20scheme”) by virtue of his or her pensionable service for that scheme
(“the old scheme service”),

(b) the 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) 25the person’s rights to benefit under the old scheme have been
transferred after the date referred to in section 18(1) or 30(2) to an
existing scheme to which section 18(1) applies or a scheme to which
section 30(2) applies (“the transfer scheme”), and

(d) the old scheme service is treated, by virtue of that transfer, as
30pensionable service of the person for the transfer scheme (“the
deemed transfer scheme service”).

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

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

(b) 35the 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
40ended 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 deemed transfer
scheme service.

(3) In sub-paragraph (1)(c), the reference to a transfer of rights to benefit
45includes the making of a transfer payment in respect of such rights.

Continuity 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
5service;

(b) a 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) 10In this paragraph, “pensionable public service” means service which is
pensionable service in relation to—

(a) a scheme under section 1, or

(b) a new public body pension scheme.

Movement between new schemes

4 15Where the condition in sub-paragraph (1)(b) of paragraph 1 or 2 applies by
virtue 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
20pensionable service relating to other schemes.

Section 26

SCHEDULE 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
25judges), at the end there is inserted—

“(8) This Part is subject to section 18 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
30(Northern Ireland) 1960, after subsection (1A) there is inserted—

“(1B) This Act is subject to section 18 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 In section 1 of the Sheriffs’ Pensions (Scotland) Act 1961, after subsection (1)
35there is inserted—

“(1A) This Act is subject to section 18 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) Schedule 2 to the Pensions (Increase) Act 1971 (official pensions) is amended
as follows.

(2) After paragraph 4 there is inserted—

“4ZA 5A 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)(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
10Civil Service under section 1 of the Public Service Pensions Act
2013 by virtue of section 1(2)(b) of that Act (judiciary).”

(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
15Pensions Act 2013 by virtue of section 1(2)(g) of that Act (members
of 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
20by 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).”

(6) After paragraph 20A there is inserted—

“20B A pension payable by the Secretary of State under a scheme made
25by the Secretary of State under section 1 of the Public Service
Pensions Act 2013 by virtue of section 1(2)(d) of that Act (teachers).

20C A pension payable under a scheme made by the Scottish Ministers
under section 1 of the Public Service Pensions Act 2013 by virtue
of section 1(2)(d) of that Act (teachers).”

(7) 30After 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
Pensions Act 2013 by virtue of section 1(2)(e) of that Act (health
service workers).

22B 35A pension payable under a scheme made by the Scottish Ministers
under section 1 of the Public Service Pensions 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
40Public Service Pensions Act 2013 by virtue of section 1(2)(h) of that
Act (armed forces).”

(9) After paragraph 39 there is inserted—

“39A A pension payable under a defined benefits scheme, within the
meaning of the Public Service Pensions Act 2013, made by the
Secretary of State or the Scottish Ministers under section 1 of that
5Act by virtue of section 1(2)(c) of that Act (local government
workers).”

(10) After paragraph 43 there is inserted—

“43A A pension payable under a defined benefits scheme, within the
meaning of the Public Service Pensions Act 2013, made by the
10Secretary of State or the Scottish Ministers under section 1 of that
Act by virtue of section 1(2)(g) of that Act (police).”

(11) After paragraph 44 there is inserted—

“44A A pension payable under a defined benefits scheme, within the
meaning of the Public Service Pensions Act 2013, made by the
15Secretary of State, the Scottish Ministers or the Welsh Ministers
under section 1 of that Act by virtue of section 1(2)(f) of that Act
(fire and rescue workers).”

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

5 The Superannuation Act 1972 is amended as follows.

6 20In section 1 (superannuation schemes as respects civil servants, etc), after
subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 18 and 19 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

7 25In section 7 (superannuation of persons employed in local government
service, etc), after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 18 and 19 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

8 30In section 9 (superannuation of teachers), after subsection (1) there is
inserted—

“(1A) Subsection (1) is subject to sections 18 and 19 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

9 35In section 10 (superannuation of persons engaged in health services, etc),

after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 18 and 19 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

10 5In section 24 (compensation for loss of office, etc), after subsection (1) there
is inserted—

“(1A) Subsection (1) is subject to section 19 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)

11 10In section 1 of the Police Pensions Act 1976 (police pensions regulations),
after subsection (1) there is inserted—

“(1A) Subsection (1) is subject to sections 18 and 19 of the Public Service
Pensions Act 2013 (restrictions on benefits provided under existing
schemes).”

15House of Commons (Administration) Act 1978 (c. 36)1978 (c. 36)

12 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)

13 20In the Judicial Pensions Act 1981, before section 29A there is inserted—

“29ZA Restriction of schemes under this Act

This Act is subject to sections 18 and 19 of the Public Service Pensions
Act 2013 (restrictions on benefits provided under existing schemes).”

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

14 25In 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) a committee of a relevant authority which is the scheme
manager (or scheme manager and pension board) of a
30scheme under section 1 of the Public Service Pensions Act
2013;”.

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

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

“(1A) 35This Part is subject to section 18 of the Public Service Pensions Act
2013 (restrictions on benefits provided under existing schemes).”

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

16 The Pension Schemes Act 1993 is amended as follows.