Explanatory note

This Order, a draft of which has been laid before, and approved by a resolution of, each House of Parliament, is made as a consequence of a review by the Secretary of State under section 45A of the Pension Schemes Act 1993 following a report by the Government Actuary in relation to minimum contributions under section 43 of that Act.

This Order specifies with effect from 6th April 2002 the appropriate age-related percentages of earnings payable as minimum contributions in respect of members of appropriate personal pension schemes for the purposes of section 45 of the Pension Schemes Act 1993 and section 41 of the Pension Schemes (Northern Ireland) Act 1993 (article 2 and Schedules).

In accordance with section 45A of the Pension Schemes Act 1993, a copy of the report by the Government Actuary on the percentages which, in his opinion, are required so as to reflect the cost of providing benefits of an actuarial value equivalent to that of the benefits (or parts of benefits) which, in accordance with section 48A of that Act and Schedule 4A to the Social Security Contributions and Benefits Act 1992 (effect of reduced contributions and rebates on social security benefits), are foregone by or in respect of members of appropriate personal pension schemes, was laid before Parliament with a draft of this Order together with a copy of the report by the Secretary of State.

These reports are contained in a Command Paper published by The Stationery Office Limited (Cm. 5076).