Amendments proposed to the Pensions Bill - continued	House of Commons
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Mr Secretary Smith

150

Page     265,     [Schedule     11],     leave out lines 33 and 34 and insert—

'R is—

(a)	a percentage rate two per cent. higher than the Bank of England base rate, or

(b)	if regulations so provide, such higher rate as may be prescribed.'.

   

Mr Secretary Smith

151

Page     265,     line     34,     [Schedule     11],     at end insert—

'( )	For the purposes of sub-paragraph (3), any change in the Bank of England base rate is to be treated as taking effect—

(a)   at the beginning of the accrual period immediately following the accrual period during which the change took effect, or

(b)   if regulations so provide, at such other time as may be prescribed.'.

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Mr Secretary Smith

152

Page     267,     line     44,     [Schedule     11],     leave out '1995'.

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Mr Secretary Smith

153

Page     268,     [Schedule     11],     leave out lines 41 and 42 and insert—

'R is—

(a)	a percentage rate two per cent. higher than the Bank of England base rate, or

(b)	if a higher rate is prescribed for the purposes of paragraphs 3A and 7B of Schedule 5, that higher rate.'.

   

Mr Secretary Smith

154

Page     268,     line     42,     [Schedule     11],     at end insert—

'( )	For the purposes of sub-paragraph (3), any change in the Bank of England base rate is to be treated as taking effect—

(a)   at the beginning of the accrual period immediately following the accrual period during which the change took effect, or

(b)   if regulations so provide, at such other time as may be prescribed.'.

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Mr Secretary Smith

155

Page     269,     line     19,     [Schedule     11],     after '6)', insert '—

(a)   before the definition of "beneficiary" insert—

   "Bank of England base rate" means—

(a)   the rate announced from time to time by the Monetary Policy Committee of the Bank of England as the official dealing rate, being the rate at which the Bank is willing to enter into transactions for providing short term liquidity in the money markets, or

(b)   where an order under section 19 of the Bank of England Act 1998 is in force, any equivalent rate determined by the Treasury under that section.", and

(b)'.   

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Mr Secretary Smith

156

Page     271,     line     35     [Schedule     12],     at end insert—

'.

In section 56 (provision supplementary to provision relating to payment of state scheme premiums), in subsection (4) for the words from the beginning to "another scheme" substitute—

    "(4)   Where under the rules of the scheme, transfer credits have been allowed—

(a)	in respect of the earner's rights under another scheme, or

(b)	in respect of the earner by reference to the payment of a cash transfer sum (within the meaning of Chapter 5 of Part 4) to the trustees or managers of the scheme by the trustees or managers of another occupational pension scheme,".'.

   

Mr Secretary Smith

157

Page     271,     line     35     [Schedule     12],     at end insert—

'.

In section 61 (deduction of contributions equivalent premium from refund of scheme contributions), after subsection (9) insert—

    "(9A)   Where under section 101AH the trustees or managers of an occupational pension scheme may pay a contribution refund to a member of the scheme, the member is to be treated for the purposes of this section as being entitled to the contribution refund.".'.

   

Mr Secretary Smith

158

Page     271,     line     35     [Schedule     12],     at end insert—

' .

In section 94(2) (right to cash equivalent), for the definition of "the applicable rules" substitute—

""the applicable rules" means—

(a)	the rules of the scheme, except so far as—

(i)	paragraph 3 of Schedule 5 to the Social Security Act 1989,

(ii)	section 129 of this Act,

(iii)

section 117 of the Pensions Act 1995,

(iv)	section 31(4) of the Welfare Reform and Pensions Act 1999 (pension debits: reduction of benefit), or

(v)	section 264 of the Pensions Act 2004,

overrides them;

(b)	any provision of any of those Acts which overrides or modifies any of the rules of the scheme by virtue of one of the provisions mentioned in paragraph (a); and

(c)	any provision which the rules of the scheme do not contain but which the scheme must contain if it is to conform with Chapter 1 of Part 4 of this Act;".'.

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Mr Secretary Smith

159

Page     272,     line     6     [Schedule     12],     at end insert—

'

After section 113 insert—

    "113A     Disclosure of information about transfers etc

       Regulations may provide that, where—

(a)	a payment is made out of an occupational pension scheme to the trustees or managers of another occupational pension scheme, and

(b)	transfer credits are allowed to a member of that other scheme in respect of the payment,

the trustees or managers of the first scheme must, in prescribed circumstances and in the prescribed manner, provide to the trustees or managers of the other scheme prescribed information relating to the payment.".'.

   

Mr Secretary Smith

160

Page     272,     line     6     [Schedule     12],     at end insert—

'.

In section 129(1) (overriding requirements), for "and IV" substitute ", IV and V".'.

   

Mr Secretary Smith

161

Page     272,     line     6     [Schedule     12],     at end insert—

'.

In section 130(b) (extra-statutory benefits), for "or IV" substitute ", IV or V".'.

   

Mr Secretary Smith

162

Page     272,     line     37     [Schedule     12],     at end insert—

'.

(1)

Section 179 (linked qualifying service) is amended as follows.

(2)	In subsection (1)(a)—

(a)   for "the rules of a scheme" substitute "Chapter 4 or 5 of Part 4 or under the rules of a scheme",

(b)   for sub-paragraph (i) substitute—

"(i)	there was made a transfer of his rights (which may include conditional rights or any transfer credits allowed) under that scheme, or a transfer payment in respect of those rights, to, or to the trustees or managers of, another scheme applying to him in the later period of service;",

(c)   for "and" at the end of sub-paragraph (ii), substitute "or", and

(d)   after that sub-paragraph insert—

"(iii)

a cash equivalent (within the meaning of Chapter 4 of Part 4) or cash transfer sum (within the meaning of Chapter 5 of that Part) was paid in respect of him to the trustees or managers of another scheme applying to him in the later period of service; and".

(3)	In subsection (1)(b), after "second scheme," insert ", or the payment to the trustees or managers of that scheme,".'.

   

Mr Secretary Smith

163

Page     272,     line     37     [Schedule     12],     at end insert—

'.

In section 181(1) (general interpretation), in the definition of "transfer credits", for the words following "by reference to" substitute "—

(a)	a transfer to the scheme of, or transfer payment to the trustees or managers of the scheme in respect of, any of his rights (which may include conditional rights and transfer credits allowed) under another scheme, other than rights attributable (directly or indirectly) to a pension credit, or

(b)	a cash transfer sum paid under Chapter 5 of Part 4 in respect of him, to the trustees or managers of the scheme.".'.

   

Mr Secretary Smith

164

Page     272,     line     37     [Schedule     12],     at end insert—

'.

In section 183(3) (sub-delegation), after "97(1)" insert ", 101AF(1)".'.

   

Mr Secretary Smith

165

Page     272,     line     42     [Schedule     12],     after '145A', insert '(except subsection (6)(b))'.

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Mr Secretary Smith

166

Page     273,     line     45     [Schedule     12],     at end insert—

'.

In section 34 (powers of investment and delegation) in subsection (1) after "subject to" insert "section 36(1) and to".

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Mr Secretary Smith

167

Page     274,     line     1     [Schedule     12],     leave out paragraph 29.

   

Mr Secretary Smith

175

Page     274,     line     3     [Schedule     12],     leave out paragraph 30.

   

Mr Secretary Smith

176

Page     274,     line     44     [Schedule     12],     leave out paragraph 38 and insert—

'38

In section 69 (grounds for applying modifications)—

(a)   in subsection (2) for "about the manner of dealing with applications under this section" substitute "requiring applications under this section to meet prescribed requirements",

(b)   in subsection (3) omit paragraph (a),

(c)   in subsection (4)(a) omit "(a) or",and

(d)   in subsection (5)(a) omit "either of" and for "subsection (3)(a) or (b)" substitute "subsection (3)(b)".'.

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Mr Secretary Smith

177

Page     275,     line     31     [Schedule     12],     leave out paragraph 44 and insert—

'44

In section 76 (excess assets on winding up)—

(a)   in subsection (3), omit paragraph (c) (but not the word "and" immediately following it),

(b)   omit subsection (5), and

(c)   in subsection (6) for "sections 3 and 10 apply" substitute "section 10 applies".'.

Prepared 14 May 2004