House of Commons portcullis
House of Commons
Session 2006 - 07
Internet Publications
Other Bills before Parliament


 
 

29

 

House of Commons

 
 

Thursday 8th February 2007

 

Public Bill Committee Proceedings

 

Pensions Bill


 

[ELEVENTH and tWELFth sittings]


 

NEW CLAUSES

 

Retirement Income Funds

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Withdrawn  nc8

 

To move the following Clause:—

 

‘(1)    

The Finance Act 2004 (c. 12) is amended as follows.

 

(2)    

After section 152 (meaning of “arrangement”), insert—

 

“152A

Meaning of ‘Retirement Income Fund’

 

(1)    

In this Part, a Retirement Income Fund means a scheme for the

 

reinvestment of savings in retirement which—

 

(a)    

is operated by or on behalf of a person authorised to operate a

 

registered pension scheme,

 

(b)    

is a scheme in which investments are approved by the Inland

 

Revenue, and

 

(c)    

meets the conditions set out in subsections (2) to (9).

 

(2)    

The first condition is that, subject to the other conditions in this section,

 

funds held in the Retirement Income Fund may be invested and

 

withdrawn by the member as and when he elects.

 

(3)    

The second condition is that an authorised Retirement Income Fund

 

provider must set an annual maximum withdrawal allowance for each

 

member, based on an assessment of each member’s life expectancy, and

 

a member’s withdrawals from the fund in any one year must not exceed

 

that allowance.

 

(4)    

The third condition is that, in setting annual maximum withdrawal

 

allowances, an authorised provider must ensure that no member’s total

 

future annual income falls below the Minimum Retirement Income level

 

(as set under section [Minimum Retirement Income] of the Pensions Act

 

2007) except in the circumstances provided for in the sixth condition.


 
 

Public Bill Committee Proceedings: 8th February 2007      

30

 

Pensions Bill, continued

 
 

(5)    

The fourth condition is that an authorised provider must set an annual

 

minimum withdrawal allowance so that each member’s total income is at

 

least equivalent to the Minimum Retirement Income level, except in the

 

circumstances provided for in the sixth condition.

 

(6)    

The fifth condition is that if a member chooses not to declare his total

 

annual income to the authorised provider he must withdraw funds

 

equivalent to the level of the Minimum Retirement Income level or his

 

annual maximum withdrawal allowance, whichever is the lower.

 

(7)    

The sixth condition is that, where there are insufficient funds to enable

 

the annual minimum withdrawal allowance to be set so that a member’s

 

total income is at least equivalent to the Minimum Retirement Income

 

level, the allowance should be set at the highest level consistent with the

 

assessment of the member’s life expectancy.

 

(8)    

The seventh condition is that the maximum and minimum withdrawal

 

allowances must be set at the same level if a member’s total annual

 

income, including his maximum withdrawal allowance, is lower than the

 

Minimum Retirement Income level.

 

(9)    

The eighth condition is that a Retirement Income Fund, and any income

 

derived from it, must not be capable of assignment or surrender by the

 

member.”.’.

 


 

Amendment of the pension rules

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not called  nc9

 

To move the following Clause:—

 

‘(1)    

Section 165 of the Finance Act 2004 (c. 12) (pension rules) is amended as

 

follows.

 

(2)    

In subsection (1) (which sets out the pension rules)—

 

(a)    

in Pension Rule 4, after paragraph (a), insert—

 

“(aa)    

a withdrawal from a Retirement Income Fund,”;

 

(b)    

in Pension Rule 4, after the second appearance of the words “scheme

 

pension”, insert the words “a withdrawal from a Retirement Income

 

Fund”;

 

(c)    

in Pension Rule 6, after paragraph (a), insert—

 

“(aa)    

a withdrawal from a Retirement Income Fund,”;

 

(d)    

in Pension Rule 6, after the second appearance of the words “scheme

 

pension”, insert the words “a withdrawal from a Retirement Income

 

Fund”.’.

 



 
 

Public Bill Committee Proceedings: 8th February 2007      

31

 

Pensions Bill, continued

 
 

Minimum Retirement Income

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not called  nc10

 

To move the following Clause:—

 

‘(1)    

The amount of the Minimum Retirement Income in respect of each tax year shall

 

be set by the Chancellor of the Exchequer by order at the level of the standard

 

minimum guarantee prescribed under section 2 of the State Pension Credit Act

 

2002 (c. 16).

 

(2)    

Before making an order under subsection (1), the Chancellor of the Exchequer

 

shall consult such persons as he considers appropriate.

 

(3)    

An order under this section (other than the order that applies to the first tax year

 

during which this section is in force) must be made on or before 31st January of

 

the tax year before the tax year to which the order applies.’.

 


 

Removal of age limit for annuity protection lump sum death benefit

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not called  nc11

 

To move the following Clause:—

 

‘(1)    

Schedule 29 to the Finance Act 2004 (c. 12) is amended as follows.

 

(2)    

In paragraph 16(1) (definition of annuity protection lump sum death benefit),

 

paragraph (a) shall cease to have effect.’.

 


 

Report on phasing in the 30 year contribution condition

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Negatived on division  nc12

 

To move the following Clause:—

 

‘The Secretary of State must, not later than 1st July 2007, lay before Parliament

 

a report on the costs and feasibility of phasing in the condition introduced by

 

paragraph 5A(2)(a) of Schedule 3 to the SSCBA (inserted by section 1(3) of this

 

Act).’.

 



 
 

Public Bill Committee Proceedings: 8th February 2007      

32

 

Pensions Bill, continued

 
 

Report on retraining opportunities for older workers etc.

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not selected  nc13

 

To move the following Clause:—

 

‘The Secretary of State shall present a report annually to the House of

 

Commons—

 

(a)    

analysing, by local authority area and by job sector, the number and

 

distribution of people over 60 who are seeking work, and

 

(b)    

on the provision of training for all workers seeking to retrain.’.

 


 

Report on flexible working

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not selected  nc14

 

To move the following Clause:—

 

‘The Secretary of State must, in the course of each Parliament, lay before the

 

House of Commons a report on the extent of flexible employment within—

 

(a)    

the Department for Work and Pensions and its executive agencies,

 

(b)    

other Government departments and executive agencies, and

 

(c)    

the private sector.’.

 


 

Report on contribution credits

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Negatived on division  nc15

 

To move the following Clause:—

 

‘The Secretary of State shall present a report annually to the House of Commons

 

on—

 

(a)    

the number of carers in receipt of contribution credits;

 

(b)    

the number of carers caring for 20 or more hours per week who are not in

 

receipt of contribution credits;

 

(c)    

the associated costs of contribution credits to the National Insurance

 

Fund of (a);

 

(d)    

an estimate of the cost of providing contribution credits to persons falling

 

within paragraph (b), and


 
 

Public Bill Committee Proceedings: 8th February 2007      

33

 

Pensions Bill, continued

 
 

(e)    

any proposals he may have for reviewing eligibility for contributions

 

credits.’.

 


 

Report on employment of people with disabilities

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not selected  nc16

 

To move the following Clause:—

 

‘The Secretary of State must, in the course of each Parliament, lay before the

 

House of Commons a report on the extent of employment of people with

 

disabilities within—

 

(a)    

the Department for Work and Pensions and its executive agencies,

 

(b)    

other government departments and executive agencies, and

 

(c)    

the private sector.’.

 


 

Allocation of child benefit to the relevant parent

 

Mr Nigel Waterson

 

Andrew Selous

 

Mr Mark Lancaster

 

Not called  nc17

 

To move the following Clause:—

 

‘If child benefit is paid into a joint account and allocated to a parent who did not

 

wish to accrue home responsibilities protection or contribution credits, and the

 

other parent wishes to have accrued home responsibilities protection or

 

contribution credits, the Secretary of State must reallocate the qualifying years of

 

home responsibilities protection or contribution credits, as the case may be, to the

 

parent who wished to receive them.’.

 


 

Lower earnings limit

 

Mr David Laws

 

Lorely Burt

 

Not called  nc18

 

To move the following Clause:—

 

‘(1)    

Section 5 (earnings limits) of the SSCBA is amended as follows.

 

(2)    

After subsection (2) insert—


 
contents continue
 
House of Commons home page Houses of Parliament home page House of Lords home page search page enquiries

© Parliamentary copyright 2007
Revised 9 February 2007