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(a) to both a Category A retirement pension and one or more Category B retirement pensions under this Part for the same period,

(aa) to more than one Category B retirement pension (but not a Category A retirement pension) under this Part for the same period, or,

    (b) to both a Category C and a Category D retirement pension under Part III below for the same period,

    may from time to time give notice in writing to the Secretary of State specifying which of the pensions referred to in paragraph (a) or, as the case may be, paragraph (b) above paragraph (a), (aa) or (b) (as the case may be) he wishes to receive.

    (4) If a person gives such a notice, the pension so specified shall be the one to which he is entitled in respect of any week commencing after the date of the notice.

    (5) If no such notice is given, the person shall be entitled to whichever of the pensions is from time to time the most favourable to him (whether it is the pension which he claimed or not).

    (6) For the purposes of this section, a pension under section 55A below is not a retirement pension.

Clause 221 - Deferral of retirement pension or shared additional pension

•     Amendment of the Social Security Contributions and Benefits Act 1992: Section 55

    55 Increase of retirement pension where entitlement is deferred

    (1) Where a person's entitlement to a Category A or Category B retirement pension is deferred, Schedule 5 to this Act shall have effect for increasing the rate of pension.

    (2) For the purposes of this Act a person's entitlement to a Category A or Category B retirement pension is deferred if and so long as that person-

    (a) does not become entitled to that pension by reason only-

      (i) of not satisfying the conditions of section 1 of the Administration Act (entitlement to benefit dependent on claim), or

      (ii) in the case of a Category B retirement pension payable by virtue of a spouse's contributions, of the spouse not satisfying those conditions with respect to his Category A retirement pension; or

    (b) in consequence of an election under section 54(1) above, falls to be treated as not having become entitled to that pension;

    and, in relation to any such pension, "period of deferment" shall be construed accordingly.

55 Pension increase or lump sum where entitlement to retirement pension is deferred

(1) Where a person's entitlement to a Category A or Category B retirement pension is deferred, Schedule 5 to this Act has effect.

(2) In that Schedule-

paragraph A1 makes provision enabling an election to be made where the pensioner's entitlement is deferred

paragraphs 1 to 3 make provision about increasing pension where the pensioner's entitlement is deferred

paragraphs 3A and 3B make provision about lump sum payments where the pensioner's entitlement is deferred

paragraph 3C makes provision enabling an election to be made where the pensioner's deceased spouse has deferred entitlement

paragraphs 4 to 7 make provision about increasing pension where the pensioner's deceased spouse has deferred entitlement

paragraphs 7A and 7B make provision about lump sum payments where the pensioner's deceased spouse has deferred entitlement

paragraphs 7C to 9 make supplementary provision.

(3) For the purposes of this Act a person's entitlement to a Category A or Category B retirement pension is deferred if and so long as that person-

(a) does not become entitled to that pension by reason only-

(i) of not satisfying the conditions of section 1 of the Administration Act (entitlement to benefit dependent on claim), or

(ii) in the case of a Category B retirement pension payable by virtue of a spouse's contributions, of the spouse not satisfying those conditions with respect to his Category A retirement pension, or

(b) in consequence of an election under section 54(1), falls to be treated as not having become entitled to that pension, and, in relation to any such pension "period of deferment" shall be construed accordingly.

Section 55C

    55C Increase of shared additional pension where entitlement is deferred

    (1) For the purposes of this section, a person's entitlement to a shared additional pension is deferred-

    (a) where he would be entitled to a Category A or Category B retirement pension but for the fact that his entitlement to such a pension is deferred, if and so long as his entitlement to such a pension is deferred, and

    (b) otherwise, if and so long as he does not become entitled to the shared additional pension by reason only of not satisfying the conditions of section 1 of the Administration Act (entitlement to benefit dependent on claim),

    and, in relation to a shared additional pension, "period of deferment" shall be construed accordingly.

    (2) Where a person's entitlement to a shared additional pension is deferred, the rate of his shared additional pension shall be increased by an amount equal to the aggregate of the increments to which he is entitled under subsection (3) below, but only if that amount is enough to increase the rate of the pension by at least 1 per cent.

    (3) A person is entitled to an increment under this subsection for each complete incremental period in his period of enhancement .

    (4) The amount of the increment for an incremental period shall be 1/7th per cent of the weekly rate of the shared additional pension to which the person would have been entitled for the period if his entitlement had not been deferred.

    (5) Amounts under subsection (4) above shall be rounded to the nearest penny, taking any 1/2p as nearest to the next whole penny.

    (6) Where an amount under subsection (4) above would, apart from this subsection, be a sum less than 1/2p, the amount shall be taken to be zero, notwithstanding any other provision of this Act, the Pensions Act 1995 or the Administration Act.

    (7) Where one or more orders have come into force under section 150 of the Administration Act during the period of enhancement , the rate for any incremental period shall be determined as if the order or orders had come into force before the beginning of the period of enhancement .

    (8) The sums which are the increases in the rates of shared additional pensions under this section are subject to alteration by order made by the Secretary of State under section 150 of the Administration Act.

    (9) In this section

    "incremental period" means any period of six days which are treated by regulations as days of increment for the purposes of this section in relation to the person and pension in question; and

    "period of enhancement", in relation to that person and that pension, means the period which-

    (a) begins on the same day as the period of deferment in question, and

    (b) ends on the same day as that period or, if earlier, on the day before the 5th anniversary of the beginning of that period.

55C Pension increase or lump sum where entitlement to shared additional pension is deferred

(1) Where a person's entitlement to a shared additional pension is deferred, Schedule 5A to this Act has effect.

(2) In that Schedule—

paragraph 1 makes provision enabling an election to be made where the person's entitlement is deferred

paragraphs 2 and 3 make provision about increasing pension where the person's entitlement is deferred

paragraphs 4 and 5 make provision about lump sum payments where the person's entitlement is deferred.

(3) For the purposes of this Act, a person's entitlement to a shared additional pension is deferred—

(a) where he would be entitled to a Category A or Category B retirement pension but for the fact that his entitlement is deferred, if and so long as his entitlement to such a pension is deferred, and

(b) otherwise, if and so long as he does not become entitled to the shared additional pension by reason only of not satisfying the conditions of section 1 of the Administration Act (entitlement to benefit dependent on claim), and, in relation to a shared additional pension, "period of deferment" shall be construed accordingly.

•     Amendment of the Pensions Act 1995: Schedule 4

Paragraph 6

    (1) In section 54(1) of the Social Security Contributions and Benefits Act 1992 (election to defer right to pension), in paragraph (a), the words from "but" to "70" are omitted.

    (2) In Schedule 5 to that Act-

    (a) in paragraph 2(2), the definition of "period of enhancement" (and the preceding "and") are omitted, and

    (b) for "period of enhancement" (in every other place in paragraphs 2 and 3 where it appears) there is substituted "period of deferment".

    (3) In paragraph 2(3) of that Schedule, for "1/7th per cent." there is substituted "1/5th per cent."

    (4) In paragraph 8 of that Schedule, sub-paragraphs (1) and (2) are omitted.

    (5) Sub-paragraph (1) above shall come into force on 6th April 2010; and sub-paragraphs (2) to (4) above shall have effect in relation to incremental periods beginning on or after that date.

(5) The preceding sub-paragraphs shall come into force as follows-

(a) sub-paragraphs (1) and (4) shall come into force on 6th April 2005;

(b) sub-paragraphs (2) and (3) shall have effect in relation to incremental periods (within the meaning of Schedule 5 to the Social Security Contributions and Benefits Act 1992 (c. 4))

beginning on or after that date.

Miscellaneous

Clause 222 - Disclosure of state pension information

•     Amendment of the Child Support, Pensions and Social Security Act 2000: Section 42

42 Disclosure of state pension information

    (1) This section applies to any state pension information which is held in relation to any individual-

    (a) by the Secretary of State; or

    (b) in connection with the provision of any services provided to the Secretary of State for purposes connected with his functions relating to social security, by the person providing those services.

    (2) Regulations may confer a power on the Secretary of State to disclose, or to authorise the disclosure of, any information The Secretary of State may, in the prescribed manner, disclose or authorise the disclosure of any information to which this section applies in any case in which-

    (a) the person to whom the disclosure is made is a person falling within subsection (3) who has, in the prescribed manner, applied to the Secretary of State for the disclosure of the information; and

    (b) it appears to the Secretary of State that the prescribed conditions for the making of a disclosure of the information in question to that person have been satisfied.

    (3) A person falls within this subsection if-

    (a) he is the trustee or manager of an occupational pension scheme of which the individual to whom the information relates is a member;

    (b) he is the trustee or manager of a personal pension scheme of which that individual is a member;

    (c) he is the employer in relation to an occupational pension scheme of which that individual is a member;

    (d) he is the employer in relation to any employed earner's employment of that individual which is not contracted-out employment; or

    (e) he is proposing to provide services to that individual in circumstances in which the provision of the services, or the proposal to do so, may involve the giving of advice or forecasts to which the information to which this section applies may be relevant.

(3A) For the purposes of this section and of any regulations made under it, anything done by or in relation to a person who—

(a) provides, or proposes to provide, relevant services to a person falling within subsection (3) ("the qualifying person"), and

(b) is authorised in writing by the qualifying person to act for the purposes of this section,

is treated as done by or in relation to the qualifying person.

In paragraph (a) "relevant services" means services that may involve the giving of advice or forecasts to which information to which this section applies may be relevant.

    (4) The Secretary of State shall secure that his powers under this section are exercised so that at least the following is prescribed for the purposes of subsection (2)(b), namely-

    (a) in the case of an application for information made by a person falling within paragraph (e) of subsection (3), a condition that the individual to whom the information relates has consented to the making of the application and to the disclosure; and

    (b) in any other case, either that condition or the alternative condition set out in subsection (5).

    (5) The alternative condition is-

    (a) that such steps as may be prescribed have been taken for the purpose of ascertaining whether the individual to whom the information relates objects to the making of the application for the disclosure of information relating to him; and

    (b) that the prescribed time has elapsed without any objection by that individual.

    (6) A person applying to the Secretary of State, in accordance with regulations under this section, for the disclosure of any information relating to an individual shall be entitled, for the purpose of making the application, to make such disclosures of information relating to that individual as may be authorised by the regulations.

    (7) In this section the reference, in relation to an individual, to state pension information is a reference to the following information about that individual-

    (a) his date of birth, and the age at which and date on which he attains pensionable age-

      (i) for the purposes of the Pension Schemes Act 1993, in relation to any guaranteed minimum pension to which he is entitled; and

      (ii) in accordance with the rules in paragraph 1 of Schedule 4 to the Pensions Act 1995;

    (b) the amount of any basic retirement pension a present or future entitlement to which has already accrued to that individual, and the amount of any additional retirement pension such an entitlement to which has already accrued to that individual;

    (c) a projection of the amount of the basic retirement pension to which that individual is likely to become entitled, or might become entitled in particular circumstances; and

    (d) a projection of the amount of the additional retirement pension to which that individual is likely to become entitled, or might become entitled in particular circumstances.

(e) a projection of the amount of any lump sum to which that individual is likely to become entitled, or might become entitled in particular circumstances.

(7A) For the purposes of this section and of any regulations made under it, anything done by or in relation to a person who—

(a) provides, or proposes to provide, relevant services to a person falling within subsection (3) ("the qualifying person"), and

(b) is authorised in writing by the qualifying person to act for the purposes of this section,

is treated as done by or in relation to the qualifying person.

In paragraph (a) "relevant services" means services that may involve the giving of advice or forecasts to which information to which this section applies may be relevant.

    (8) Regulations under this section shall be made by statutory instrument, which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

    (9) Subsections (4) to (6) of section 189 of the Social Security Administration Act 1992 (supplemental and incidental powers etc.) shall apply in relation to any power to make regulations under this section as they apply in relation to the powers to make regulations that are conferred by that Act.

    (10) For the purposes of section 121E of the Social Security Administration Act 1992 (supply of information by the Inland Revenue to the Secretary of State for the purposes of the Secretary of State's functions relating to social security), the Secretary of State's functions relating to social security shall be taken to include any power conferred on him by regulations under this section.

    (11) In this section-

    "basic retirement pension" and "additional retirement pension" mean any basic or, as the case may be, additional pension under the Social Security Contributions and Benefits Act 1992;

"additional retirement pension" means any additional pension, shared additional pension or graduated retirement benefit payable under the Social Security Contributions and Benefits Act 1992;

"basic retirement pension" means any basic pension under the Social Security Contributions and Benefits Act 1992;

    "contracted-out employment" has the same meaning as in the Pension Schemes Act 1993;

    "employed earner" has the same meaning as it has in Parts I to V of the Social Security Contributions and Benefits Act 1992 (by virtue of section 2(1) of that Act);

    "employer"-

    (a)in relation to any occupational pension scheme, has the same meaning as in Part I of the Pensions Act 1995; and

    (b)in relation to employed earner's employment, has the same meaning as in the Pension Schemes Act 1993;

"lump sum" means a lump sum payable under Schedule 5 or 5A to the Social Security Contributions and Benefits Act 1992;

    "member", in relation to an occupational pension scheme, has the same meaning as in Part I of the Pensions Act 1995;

    "occupational pension scheme" and "personal pension scheme" have the same meanings as in the Pension Schemes Act 1993;

    "prescribed" means prescribed by or determined in accordance with regulations;

    "regulations" means regulations made by the Secretary of State;

    "trustee" and "manager", in relation to an occupational pension scheme, have the same meanings as in Part I of the Pensions Act 1995.

    "trustee or manager", in relation to an occupational or personal pension scheme, means—

(a) in the case of a scheme established under a trust, the trustee or trustees of the scheme, and

(b) in any other case, the person or persons responsible for the management of the scheme.

SCHEDULES

SCHEDULE 1 - The Pensions Regulator

Part 5

Funding and Accounts

•     Amendment of the Pension Schemes Act 1993: Section 175

175 Levies towards certain expenditure.

    (1) For the purpose of meeting expenditure-

    (a) under section 6,

    (b) under Part X and section 174, or

    (c) of the Regulatory Authority (including the establishment of the authority and, if the authority are appointed as Registrar under section 6 of this Act, their expenditure as Registrar),

    regulations may make provision for imposing levies in respect of prescribed occupational or prescribed personal pension schemes.

(c) of the Regulatory Authority (including the establishment of the Authority under the Pensions Act 2004), or

(d) of the Lord Chancellor in meeting the costs of legal assistance provided in connection with proceedings before the Pensions Regulator Tribunal under the legal assistance scheme established by virtue of section 78 of the Pensions Act 2004.

    (2) Any levy imposed under subsection (1) is payable to the Secretary of State by or on behalf of-

    (a) the administrators of any prescribed public service pension scheme,

    (b) the trustees or managers of any other prescribed occupational or prescribed personal pension scheme, or

    (c) any other prescribed person,

    at prescribed rates and at prescribed times.

    (3) Regulations made by virtue of subsection (1)-

    (a) in determining the amount of any levy in respect of the Regulatory Authority, must take account (among other things) of any amounts paid to the Secretary of State under section 168(4) of this Act or section 10 of the Pensions Act 1995, and

(i) any amounts paid to the Secretary of State under section 168(4) of this Act or section 10 of the Pensions Act 1995 (penalties), and

(ii) any fees paid to the Authority under paragraph 25 of Schedule 1 to the Pensions Act 2004 (fees for applications to modify under section 69 of the 1995 Act), and

    (b) in determining the amount of expenditure in respect of which any levy is to be imposed, may take one year with another and, accordingly, may have regard to expenditure estimated to be incurred in current or future periods and to actual expenditure incurred in previous periods (including periods ending before the coming into force of this subsection).

Schedule 9 - USE AND SUPPLY OF INFORMATION: PRIVATE PENSIONS POLICY AND RETIREMENT PLANNING]

•     Amendment of the Social Security Act 1998: Section 3

•    The clause makes a minor amendment and substitutes a new subsection (5)

     Use of information.

     3. - (1) Subsection (2) below applies to information relating to social security, child support or war pensions or employment or training any of the matters specified in subsection (1A) below which is held-

    (a) by the Secretary of State or the Northern Ireland Department; or

    (b)by a person providing services to the Secretary of State or the Northern Ireland Department in connection with the provision of those services.

(1A) The matters are-

(a) social security, child support or war pensions;

(b) employment or training;

(c) private pensions policy;

(d) retirement planning

    (2)     Information to which this subsection applies-

    (a) may be used for the purposes of, or for any purposes connected with, the exercise of functions in relation to social security, child support or war pensions or employment or training any of the matters specified in subsection (1A) above; and

    (b) may be supplied to, or to a person providing services to, the Secretary of State or the Northern Ireland Department for use for those purposes.

    (3) The following sections, namely-

         (a) section 122C of the Administration Act (supply of information to authorities administering benefit); and

    (b) section 122D of that Act (supply of information by authorities administering benefit), shall each have effect as if the reference in subsection (1) to social security included references to child support and war pensions.

         (4) In this section "the Northern Ireland Department" means the Department of Health and Social Services for Northern Ireland or the Department for Employment and Learning in Northern Ireland.

         (5) In this section -

     "private pensions policy" means policy relating to occupational pension schemes or personal pension schemes (within the meaning given by section 1 of the Pensions Schemes Act 1993);

"retirement planning" means promoting financial planning for retirement.

•     Amendment of the Social Security Administration Act 1992: Section 122D

122D Supply of information by authorities administering benefit

    (1) The Secretary of State or the Northern Ireland Department may require-

    (a) an authority administering housing benefit or council tax benefit; or

    (b) a person authorised to exercise any function of such an authority relating to such a benefit,

    to supply benefit administration information held by the authority or other person to, or to a person providing services to, the Secretary of State or the Northern Ireland Department for use for any purpose relating to social security, child support or war pensions, or employment or training employment or training, private pensions policy or retirement planning.

    (2) The Secretary of State or the Northern Ireland Department may require-

    (a) an authority administering housing benefit or council tax benefit; or

    (b) a person authorised to exercise any function of such an authority relating to such a benefit,

    to supply benefit policy information held by the authority or other person to, or to a person providing services to, the Secretary of State or the Northern Ireland Department.

(2A) Information supplied under subsection (2) may be used for any purpose relating to private pensions policy or retirement planning.

    (3) Information shall be supplied under subsection (1) or (2) above in such manner and form, and in accordance with such requirements, as may be specified in directions given by the Secretary of State or, as the case may be, the Northern Ireland Department .

    (4) In subsection (1) above "benefit administration information", in relation to an authority or other person, means any information which is relevant to the exercise of any function relating to housing benefit or council tax benefit by the authority or other person.

    (5) In subsection (2) above "benefit policy information" means any information which may be relevant to the Secretary of State or the Northern Ireland Department-

    (a) in preparing estimates of likely future expenditure on housing benefit or council tax benefit; or

    (b) in developing policy relating to housing benefit or council tax benefit.

 
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