House of Commons Amendments

House of Commons

Session 2007 - 08
Internet Publications
Other Bills before Parliament

247

House of Commons

Notices of Amendments

given on

Friday 1st February 2008

For other Amendment(s) see the following page(s):

Pensions Bill Committee 219-42 and 243-45

Public Bill Committee

Pensions Bill

Mr Mike O’Brien

164

Clause  83,  page  39,  line  28,  after first ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

165

Clause  83,  page  39,  line  28,  at end insert ‘, or provision contained in a qualifying

agreement,’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

166

Clause  83,  page  39,  line  30,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

167

Clause  83,  page  39,  line  31,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Notices of Amendments: 1st February 2008
248

Pensions Bill, continued

Mr Mike O’Brien

168

Clause  83,  page  39,  line  33,  at end insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

169

Clause  84,  page  40,  line  10,  at end add—

‘(f)
a pension compensation sharing order under section 8 of the Family Law

(Scotland) Act 1985 (c. 37) (orders for financial provision);

(g)
any provision corresponding to provision which may be made by such an

order, and which—

(i)
is contained in a qualifying agreement between the parties to a

marriage or the partners in a civil partnership,

(ii)
is in such form as the Secretary of State may prescribe by

regulations, and

(iii)
takes effect on the grant, in relation to the marriage, of decree of

divorce or a declarator or nullity or (as the case may be) on the

grant, in relation to the civil partnership, of decree of dissolution

or of declarator of nullity,


except where the provision relates to the same rights to PPF

compensation as are the subject of an order made under section 12B(2)

of the Family Law (Scotland) Act 1985 (c. 37) (order for payment of

capital sum: pension compensation).

(2)
For the purposes of this Chapter, a qualifying agreement is an agreement which—

(a)
has been entered into in such circumstances as the Secretary of State may

prescribe by regulations, and

(b)
is registered in the Books of Council and Session.’.

Member’s explanatory statement

This clause sets out sets out the possible orders a court could make which would trigger the new

pension compensation sharing scheme. The amendment extends the scheme to Scotland by adding

references to the Family Law (Scotland) Act 1985 and to provision in qualifying agreements.

Mr Mike O’Brien

170

Clause  85,  page  40,  line  18,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

171

Clause  87,  page  41,  line  6,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

172

Clause  89,  page  41,  line  24,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

Notices of Amendments: 1st February 2008
249

Pensions Bill, continued

sion contained in a qualifying agreement.

Mr Mike O’Brien

173

Clause  91,  page  42,  line  32,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

174

Clause  91,  page  42,  line  32,  after ‘provision’ insert ‘(“provision for

apportionment”)’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

175

Clause  91,  page  42,  line  34,  at end insert ‘for apportionment’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

176

Clause  91,  page  42,  line  35,  after ‘order’ insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

177

Clause  91,  page  42,  line  35,  leave out ‘such provision’ and insert ‘provision for

apportionment’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

178

Clause  91,  page  42,  line  39,  at end insert ‘or provision’.

Member’s explanatory statement

This amendment is consequential on the amendment to clause 84 which adds a reference to provi

sion contained in a qualifying agreement.

Mr Mike O’Brien

179

Clause  92,  page  43,  line  10,  at end insert—

‘(iv)
orders for financial provision under section 8 of the Family Law

(Scotland) Act 1985 (c. 37) (orders for financial provision);

(v)
provision as to pension sharing, or pension compensation

sharing, that is contained in an agreement that is a qualifying

Notices of Amendments: 1st February 2008
250

Pensions Bill, continued

agreement for the purposes of section 28(1)(b) and (c) of the

Welfare Reform and Pensions Act 1999 (c. 30) (activation of

pension sharing) or this Chapter.’.

Member’s explanatory statement

This amendment extends the power of the Secretary of State to make regulations requiring infor

mation to be supplied by the Board of the Pension Protection Fund to Scotland, by reference to

orders for financial provision made under the Family Law (Scotland) Act 1985 and provision in

qualifying agreements.

Mr Mike O’Brien

180

Clause  94,  page  43,  line  31,  leave out ‘has’ and insert ‘and Schedule [Pension

compensation on divorce etc: Scotland] (which amends in relation to pension

compensation sharing orders similar legislation applying in Scotland) have’.

Member’s explanatory statement

The purpose of this amendment is to give effect to new Schedule [Pension compensation on Di

vorce etc: Scotland].

Mr Mike O’Brien

181

Schedule  8,  page  87,  line  40,  at end insert—

‘Family Law (Scotland) Act 1985 (c. 37)
Section 8(4A).’

Member’s explanatory statement

The amendment is a repeal made in the new Schedule [Pension compensation on Divorce etc:

Scotland].

Mr Mike O’Brien

NS2

To move the following Schedule:—

‘Pension compensation on divorce etc: Scotland

1
The Family Law (Scotland) Act 1985 (c. 37) is amended as follows.

2
In section 8 (orders for financial provision)—

(a)
in subsection (1)—

(i)
after paragraph (baa) insert—

“(bab)
a pension compensation sharing order;”,

(ii)
after paragraph (ba) insert—

“(bb)
an order under section 12B(2);”,

(b)
subsection (4A) is repealed,

(c)
after subsection (7) add—

  “(8)
The court shall not, in the same proceedings, make both a pension

compensation sharing order and an order under section 12B(2) in

relation to the same                               PPF compensation.

      (9)
The court shall not make a pension compensation sharing order in

relation to                     rights to PPF compensation that—

(a)
derive from rights under a pension scheme which, at the

time the              Board of the Pension Protection Fund assumed

responsibility for the scheme,            was subject to an order made

Notices of Amendments: 1st February 2008
251

Pensions Bill, continued

under section 12A(2) or (3) in relation to the marriage or

(as the case may be) civil partnership or a previous one

between                      the same persons,

(b)
derive from rights under a pension scheme which were at

any              time the subject of a pension sharing order in relation

to the marriage or (as               the case may be) civil partnership or

a previous one between the same persons,

(c)
are or have been the subject of a pension compensation

sharing order               in relation to the marriage or (as the case may

be) civil partnership or a previous one between the same

persons, or

(d)
are or have been the subject of an order made under section

12B(2) in               relation to the marriage or (as the case may be)

civil partnership or a previous one between the same

persons.

    (10)
Where, as regards PPF compensation, the parties to a marriage or

the partners in a civil partnership have in effect a qualifying

agreement which contains a term relating to pension compensation

sharing, the court shall not—

(a)
make an order under section 12B(2); or

(b)
make a pension compensation sharing order,


relating to the compensation unless it also sets aside the agreement

or term under section 16(1)(b) of this Act.

    (11)
For the purposes of subsection (10)—

(a)
the expression “term relating to pension compensation

sharing” is to be construed by reference to section 16(2AA)

of this Act; and

(b)
a qualifying agreement is one to which section 84(2) of the

Pensions Act 2008 relates.”

3
After section 8A insert—

“8B
Pension compensation sharing orders: apportionment of charges


The court may include in a pension compensation sharing order

provision about apportionment between the parties of any charge

under section 91 of the Pensions Act                 2008 or under corresponding

Northern Ireland legislation.”

4
In section 10 (sharing of value of matrimonial property or partnership

property)—

(a)
in subsection (5A), for the words from “compensation payable” to

“that Chapter” substitute “PPF compensation”,

(b)
for subsection (8B) substitute—

“(8B)
The Scottish Ministers may by regulations make provision for

the purposes of                      this Act about—

(a)
calculation and verification of PPF compensation,

(b)
apportionment of PPF compensation.

(8C)
Regulations under subsection (8B) may include provision—

(a)
for calculation or verification in a manner approved

by a             prescribed person,

(b)
by reference to regulations under section 86 of the

Pensions Act 2008.”

Notices of Amendments: 1st February 2008
252

Pensions Bill, continued

5
In section 12A (orders for payment of capital sum: pensions lump sums), in

subsection (7ZC), for the words “Notwithstanding the provisions of section

8(4A), for” substitute “For”.

6
After section 12A insert—

“12B
Order for payment of capital sum: pension compensation

(1)
This section applies where the court makes an order under section 8(2)

for payment of a capital sum (a “capital sum order”) by a party to a

marriage or a partner in a civil partnership (“the liable person”) in

circumstances where the matrimonial or (as the case may be)

partnership property within the meaning of section 10 includes any

rights to PPF compensation.

(2)
On making the capital sum order, the court may make an additional

order requiring the Board of the Pension Protection Fund, if at any

time any payment in respect of PPF compensation becomes due to the

liable person, to pay the whole or part of that payment to the other

party or (as the case may be) other partner (“the other person”).

(3)
Any such payment by the Board of the Pension Protection Fund—

(a)
shall discharge so much of its liability to the liable person as

corresponds to the amount of the payment, and

(b)
shall be treated for all purposes as a payment made by the

liable person in or towards the discharge of the person’s

liability under the capital sum order.

(4)
Where the liability of the liable person under the capital sum order has

been discharged in whole or in part, other than by a payment by the

Board of the Pension Protection Fund, the court may, on an application

by any person having an interest, recall the order or vary the amount

specified in such an order as appears to the court appropriate in the

circumstances.

(5)
The court may not make an additional order under subsection (2) in

relation to rights to PPF compensation that—

(a)
derive from rights under a pension scheme which, at the time

the Board of the Pension Protection Fund assumed

responsibility for the scheme, was subject to an order made

under section 12A(2) or (3) in relation to the marriage or (as

the case may be) civil partnership or a previous one between

the same persons,

(b)
derive from rights under a pension scheme which were at any

time the subject of a pension sharing order in relation to the

marriage or (as the case may be) civil partnership or a

previous one between the same persons,

(c)
are or have been the subject of a pension compensation

sharing order in relation to the marriage or (as the case may

be) civil partnership or a previous one between the same

persons, or

(d)
are or have been the subject of an order made under subsection

(2) in relation to the marriage or (as the case may be) civil

partnership or a previous one between the same persons.”

7
In section 13 (order for periodical allowance), in subsection (2)(b), after the

words                         “pension sharing order” insert “or pension compensation sharing

order”.

Notices of Amendments: 1st February 2008
253

Pensions Bill, continued

8
In section 16 (agreements on financial provision)—

(a)
in subsection (2)(b), for the words “does not contain a term relating to

pension sharing” substitute “contains neither a term relating to pension

sharing nor a term relating to pension compensation sharing”,

(b)
in subsection (2)(c), after the word “sharing” in the first place where it

occurs insert “or pension compensation sharing”,

(c)
in subsection (2)(c)(i), after the word “sharing” insert “or (as the case

may be) the term relating to pension compensation sharing”,

(d)
after subsection (2A), insert—

“(2AA)
For the purpose of subsection (2), a term relating to pension

compensation sharing is a term corresponding to provision

which may be made in a pension compensation sharing order

and satisfying the requirements set out in section 84(1)(g) of

the Pensions Act 2008.”

9
In section 27 (interpretation)—

(a)
in subsection (1), before the definition of “pension sharing order”

insert—

““pension compensation sharing order” is an order which—

(a)
provides that one party’s shareable rights to PPF            compensation

be subject to pension compensation sharing for                 the benefit of

the other party, and

(b)
specifies the percentage value to be            transferred;”,

(b)
after subsection (1A) insert—

“(1B)
In subsection (1), in the definition of “pension compensation

sharing                   order”, the reference to shareable rights to PPF

compensation is to                 rights in relation to which pension

compensation sharing is available under Chapter 1 of Part 3 of

the Pensions Act 2008 or under corresponding Northern

Ireland legislation.

(1C)
In this Act—

   “PPF compensation” means compensation payable under the

pension      compensation provisions,

   “the pension compensation provisions” means—

(c)
Chapter 3 of Part 2 of the Pensions Act 2004 and any              regulations

or order made under it,

(d)
Chapter 1 of Part 3 of the Pensions Act 2008 and any              regulations

or order made under it,

(e)
any provision corresponding to the provisions mentioned in

paragraph (a) or (b) in force in Northern Ireland.”’.

Member’s explanatory statement

The new Schedule makes provision in relation to pension compensation sharing on divorce etc in

Scotland.