Regulation 3 Trustee and manager powers

(1)

For the purpose of enabling a ring-fenced body to meet the requirement in regulation 2(2) the trustees or managers of an existing pension scheme may, at the request of the ring-fenced body—

(a)

make any modifications to that scheme permitted under the scheme rules; or

(b)

to the extent that scheme rules do not permit such modifications, by resolution make any of the modifications set out in paragraph (2).

(2)

The modifications which may be made under the power given to the trustees or managers mentioned in paragraph (1)(b) are—

(a)

the restructuring of the existing pension scheme into a segregated scheme;

(b)

the allocation of assets and liabilities of the scheme to separate sections of the scheme;

(c)

provision for the transfer of assets and liabilities to a new pension scheme; or

(d)

in relation to such a modification, a modification required for consequential or incidental purposes.

(3)

A modification using the power mentioned in paragraph (1)(b) may not be made under this regulation without the consent of the employers in relation to the existing pension scheme.

(4)

Nothing in this regulation gives the trustees or managers of an existing pension scheme power to make a regulated modification.

(5)

Where following a request made under paragraph (1) one or more of the trustees or managers of an existing pension scheme unreasonably refuse to take the steps required to modify the scheme, or one or more of the employers in respect of that scheme unreasonably refuse to consent to the modification of the scheme, the ring-fenced body may apply to the court for an order under regulation 5(4).

(6)

In this regulation “regulated modification” and “scheme rules” have the same meaning as in section 67A of the Pensions Act 1995^f1 or Article 67A of the Pensions (Northern Ireland) Order 1995^f2.

Annotations

Footnotes

f1: 1995 c.26. Section 67A was substituted by the Pensions Act 2004 (c.35), section 262.
f2: S.I. 1995/3213 (N.I. 22). Article 67A was substituted by the Pensions (Northern Ireland) Order 2005, S.I. 2005/255 (N.I. 1), Article 239.