Pensions Bill

House of Commons

Session 2007 - 08
Internet Publications
Other Bills before Parliament

Pensions Bill

Pensions Bill
Part 5 — Miscellaneous
50

Chapter 2
Other provision about pension compensation
104
Amendments of Schedule 7 to the Pensions Act 2004
Schedule 7 (amendments of Schedule 7 to the Pensions Act 2004) has effect.
Part 4
5
Financial assistance scheme
105
Financial assistance scheme
(1)
Subsection (2) of section 286 of the Pensions Act 2004 (c. 35) (financial
assistance scheme for members of certain pension schemes) is amended as
follows.
10
(2)
In the definition of “qualifying member”, for the words from “a person” to the
end of paragraph (b) substitute “a person who, at such time as may be
prescribed, is a member of the scheme or has ceased to be a member of the
scheme,”.
(3)
In the definition of “qualifying pension scheme” after paragraph (b) insert—
15
“(ba)
the assets of which, at such time as may be prescribed,
are insufficient to satisfy in full the liabilities of the
scheme calculated in the prescribed manner,”.
(4)
Omit the definition of “scheme’s pension liabilities” and the words from “and
a qualifying pension scheme” to the end.
20
Part 5
Miscellaneous
106
Pension sharing: power of Court of Session to extend time limits
(1)
The Welfare Reform and Pensions Act 1999 (c. 30) is amended as follows.
(2)
In section 28(10) (pension arrangements: time limit for activation of pension
25
sharing in Scotland), for “The sheriff” there is substituted “The Court of Session
or the sheriff”.
(3)
In section 48(9) (state scheme rights: time limit for activation of benefit sharing
in Scotland), for “The sheriff” there is substituted “The Court of Session or the
sheriff”.
30
107
Interest on late payment of levies
Schedule 8 (which makes provision about payment of interest on late payment
of levies) has effect.
108
Appointment of trustees
(1)
In section 7 of the Pensions Act 1995 (c. 26) (appointment of trustees), in
35
subsection (3)—

Pensions Bill
Part 5 — Miscellaneous
51

(a)
for “necessary”, in the first place where it occurs, substitute
“reasonable”;
(b)
omit “or” at the end of paragraph (b);
(c)
at the end insert “, or
(d)
otherwise to protect the interests of the generality of the
5
members of the scheme.”
(2)
In paragraph 9(b) of Schedule 2 to the Pensions Act 2004 (c. 35) (reserved
regulatory functions), for “or (c)” substitute “, (c) or (d)”.
109
Intervention by Regulator where scheme’s technical provisions improperly
determined
10
In section 231 of the Pensions Act 2004 (powers of the Regulator), before
paragraph (a) of subsection (1) insert—
“(za)
that the trustees or managers, when determining the methods
and assumptions to be used in calculating the scheme’s
technical provisions, have failed to comply with a requirement
15
imposed under section 222(4)(c);”.
110
Exclusion of transfers out in certain cases
(1)
The Pension Schemes Act 1993 (c. 48) is amended as follows.
(2)
In section 93(1B) (regulations as to the application of provisions relating to
transfers for early leavers) after paragraph (a) insert—
20
“(aa)
provide for this Chapter not to apply in prescribed
circumstances in relation to a member of a prescribed scheme or
schemes of a prescribed description;”.
(3)
In section 101F (transfer notice in respect of pension credit benefit) after
subsection (6) insert—
25
“(6A)
Regulations may provide for this Chapter not to apply in prescribed
circumstances in relation to a member of a prescribed scheme or
schemes of a prescribed description.”
111
Official pensions: adjustment of increases in survivors’ pensions
(1)
Section 59 of the Social Security Pensions Act 1975 (c. 60) (increase of official
30
pensions) is amended as follows.
(2)
Subsection (5ZA) is amended as follows.
(3)
In the words before paragraph (a)—
(a)
for “or widower’s” substitute “, widower’s or surviving civil
partner’s”;
35
(b)
after “spouse” insert “or civil partner”.
(4)
In paragraph (a), after “spouse” insert “or civil partner”.
(5)
In paragraph (b)—
(a)
after “period” insert “(“the relevant time”)”;
(b)
for the words from “one half” to the end substitute “the rate provided
40
for in subsection (5ZB);”.

Pensions Bill
Part 5 — Miscellaneous
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(6)
In paragraph (c), for “or widower’s” substitute “, widower’s or surviving civil
partner’s”.
(7)
Omit the words from “but this subsection” to the end.
(8)
After subsection (5ZA) insert—
“(5ZB)
The rate referred to in subsection (5ZA)(b) is—
5
(a)
in the case of a widow’s pension, one half of the rate of the
deceased husband’s guaranteed minimum pension at the
relevant time;
(b)
in the case of a widower’s pension, one half of so much of the
rate of the deceased wife’s guaranteed minimum pension at the
10
relevant time as is attributable to earnings factors for the tax
year 1988-89 and subsequent tax years;
(c)
in the case of a surviving civil partner’s pension, one half of so
much of the rate of the deceased civil partner’s guaranteed
minimum pension at the relevant time as is attributable to
15
earnings factors for the tax year 1988-89 and subsequent tax
years.
(5ZC)
Subsection (5ZA)—
(a)
does not apply to a widow’s or widower’s pension in respect of
any service of the deceased spouse if the deceased spouse’s
20
pension in respect of that service became payable before 24 July
1990;
(b)
applies to a surviving civil partner’s pension only in respect of
amounts payable after the coming into force of this subsection.”
112
War pensions: effect of later marriage or civil partnership
25
(1)
Section 168 of the Pensions Act 1995 (c. 26) (war pensions for widows: effect of
remarriage) is amended as follows.
(2)
For subsection (1) substitute—
“(1)
In determining whether a pension is payable to a person as a widow,
widower or surviving civil partner under any of the enactments
30
mentioned in subsection (3) in respect of any period beginning on or
after the commencement date, no account may be taken of the fact that
the person has married or formed a civil partnership with another
person if, before the beginning of that period—
(a)
the marriage or civil partnership has been terminated,
35
(b)
the parties to it have been judicially separated, or
(c)
in the case of a civil partnership, a separation order has been
made in respect of the parties.
(1A)
The commencement date is—
(a)
for the purpose of determining whether a pension is payable to
40
a person as a widow or widower, 19 July 1995;
(b)
for the purpose of determining whether a pension is payable to
a person as a surviving civil partner, 5 December 2005.”
(3)
In subsection (2), in paragraph (a)—
(a)
after “a marriage” insert “or civil partnership”;
45
(b)
for “the termination of the marriage” substitute “its termination”.

Pensions Bill
Part 6 — General
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(4)
In that subsection, after “divorce” insert “, dissolution”.
(5)
In subsection (3)(a), for “The Naval, Military and Air Forces Etc. (Disablement
and Death) Service Pensions Order 1983” substitute “The Naval, Military and
Air Forces etc. (Disablement and Death) Service Pensions Order 2006”.
113
Polish Resettlement Act 1947: effect of residence in Poland
5
(1)
In section 1(3) of the Polish Resettlement Act 1947 (c. 19) (power to apply Royal
Warrant as to pensions etc to certain Polish forces) for “, and the scheme shall
contain provision for securing that no payment shall be made thereunder to or
in respect of any person as to whom the Secretary of State is satisfied that he is
resident in Poland” substitute “(including exceptions applying by virtue of a
10
person’s residence in Poland at any time prior to 1 May 2004)”.
(2)
Subsection (3) below applies where—
(a)
a person (“A”) was resident in Poland at any time in the relevant
period, and
(b)
but for that fact, an amount would have been payable to or in respect of
15
A under the scheme made under section 1 of the Polish Resettlement
Act 1947.
(3)
The power to make the scheme includes power to make provision for
payments to or in respect of A in relation to any part of the relevant period.
(4)
In this section “the relevant period” means the period beginning with 1 May
20
2004 and ending with the coming into force of this section.
Part 6
General
114
Orders and regulations
(1)
Any power to make an order or regulations under this Act is exercisable by
25
statutory instrument.
(2)
A statutory instrument containing an order or regulations under this Act is
subject to annulment in pursuance of a resolution of either House of
Parliament.
(3)
Subsection (2) does not apply to an order under section 119 or an order to
30
which subsection (4) or (5) applies.
(4)
No order may be made under section 58 or 61(5) unless a draft of the order has
been laid before and approved by resolution of each House of Parliament.
(5)
No order amending or repealing any provision of an Act may be made under
section 116 unless a draft of the order has been laid before and approved by
35
resolution of each House of Parliament.
115
Orders and regulations: supplementary
(1)
An order or regulations under this Act may include—
(a)
such incidental, supplemental, consequential or transitional provision
as appears to the Secretary of State to be expedient;
40
(b)
provision conferring a discretion on any person.

Pensions Bill
Part 6 — General
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(2)
An order under section 58 may include provision for anything that may be
prescribed by the order to be determined under it, and for anything falling to
be so determined to be determined by such persons, in accordance with such
procedure and by reference to such matters, and to the opinion of such persons,
as may be prescribed.
5
(3)
The power to make an order or regulations under this Act may be exercised—
(a)
either in relation to all cases to which the power extends, or in relation
to those cases subject to specified exceptions, or in relation to any
specified cases or classes of case,
(b)
so as to make, as respects the cases in relation to which it is exercised—
10
(i)
the full provision to which the power extends or any less
provision (whether by way of exception or otherwise),
(ii)
the same provision for all cases in relation to which the power
is exercised, or different provision for different cases or
different classes of case or different provision as respects the
15
same case or class of case for different purposes of this Act, or
(iii)
any such provision either unconditionally or subject to any
specified condition.
116
Power to make further provision
(1)
The Secretary of State may by order make—
20
(a)
such supplemental, incidental or consequential provision, or
(b)
such transitory, transitional or saving provision,

as the Secretary of State thinks appropriate for the general purposes, or any
particular purpose, of this Act or in consequence of any provision made by or
under this Act or for giving full effect to this Act or any such provision.
25
(2)
An order under this section may, for purposes of or in consequence of or for
giving full effect to any provision of or made under Chapter 4 of Part 1, make
provision for applying (with or without modifications) or amending, repealing
or revoking any provision of or made under an Act passed before this Act or in
the same Session.
30
(3)
Amendments made under this section are in addition, and without prejudice,
to those made by or under any other provision of this Act.
(4)
No other provision of this Act restricts the powers conferred by this section.
117
General financial provisions
There is to be paid out of money provided by Parliament—
35
(a)
any expenditure incurred by the Secretary of State or a government
department in consequence of this Act, and
(b)
any increase attributable to this Act in the sums payable out of money
so provided under any other enactment.
118
Repeals
40
Schedule 9 (repeals) has effect.