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Regulation 3.A.7 Meaning of “pensionable earnings”F1

England and Wales

(1)

In the case of either a type 1 practitioner who is not in receipt of any salary, wages, fees or any other regular payment in respect of his employment by virtue of the application of these Regulations to him as if he were such an officer under Part 2, pensionable earnings means—

(F2a)

in the case of a type 1 medical practitioner, practitioner income less—

(i)

any sum on account of practice expenses (for these purposes, C3 contributions payable under regulation 3.C.5(5) or (6) are neither practitioner income nor practice expenses); and

(ii)

any payment or allowance made pursuant to the New to Partnership Payment Scheme; and

(b)

in the case of a type 1 dental practitioner, practitioner income (taking into account any relevant pensionable earnings ceiling).

(2)

Subject to paragraph (3), for the purposes of this regulation, the practitioner income of a type 1 medical practitioner means—

(a)

income that accrues to the type 1 medical practitioner which is derived from—

(i)

a GMS contract;

(ii)

a PMS agreement;

(iii)

an APMS contract;

(iv)

payments from, or to, a practitioner who is a GMS practice, a PMS practice or an APMS contractor in respect of the performance of certification services, commissioned services or collaborative services;

(v)

his engagement by NHS England or a Local Health Board to assist in the provision of primary medical services under—

(aa)

in the case of England, F3section 83(2) of the 2006 Act; or

(bb)

in the case of Wales, section 41(2)(a) of the 2006 (Wales) Act;

(vi)

in the case of a type 1 medical practitioner, the provision of locum services;

(vii)

payments made to a type 1 medical practitioner by an OOH provider F4or other employing authority providing OOH services in respect of the performance of primary medical services, commissioned services, collaborative services F5, NHS 111 services and certification services;

(viii)

payments made to a type 1 medical practitioner by an employing authority in respect of primary dental services, general ophthalmic services or pharmaceutical services provided by the practitioner;

(ix)

practice-based work carried out in educating or training, or organising the education or training of, GP Registrars or practitioners.

(b)

any charges collected from patients in respect of the services mentioned in sub-paragraph (a) which the type 1 medical practitioner is authorised by or under any enactment to retain, other than charges authorised by regulations made under—

(i)

in the case of England, section 185(1) of the 2006 Act; or

(ii)

in the case of Wales, section 133(1) of the 2006 (Wales) Act; and

(c)

any sums paid to the practitioner out of a fund determined by reference to the number of beds in a hospital;

(d)

in the case of a type 1 medical practitioner, allowances and any other sums (but excluding payments made to cover expenses) paid in respect of Board and advisory work.

(F6e)

any sums paid F7by an employing authority or a local authority in respect of health-related functions exercised under section 75 of the 2006 Act.

(F8f)

any sums paid in respect of the provision of primary medical services where such a person has been engaged by F9an integrated care board to assist in the provision of such services;

(g)

any sums paid in respect of the provision of services under an NHS standard contract F10or an NHS standard sub-contract where the party to the NHS standard contract in question is an employing authority;

(h)

any sums paid in respect of a contract entered into by a local authority pursuant to its functions under the 2006 Act relating to the improvement and protection of public health and which the Secretary of State agrees to treat as a qualifying contract for these purposes.

(3)

Subject to paragraphs (4), (6) and (8), for the purposes of this paragraph, the practitioner income of a type 1 dental practitioner means income that accrues to the practitioner which is derived from a GDS contract or a PDS agreement and—

(a)

includes charges collected from patients which are required, by virtue of directions given under, in the case of England, sections 94, 103 or 109 of the 2006 Act or in the case of Wales, sections 52, 60 or 66 of the 2006 (Wales) Act, to be set off against payments under the contract or agreement;

(F11b)

but does not include—

(i)

charges collected from patients which are not required, by virtue of such directions, to be so set off,

(ii)

income received by a practitioner to whom regulation 3.B.2 (restrictions on eligibility: general), regulation 3.B.5 (opting out of this section of the scheme) or regulation 3.B.6 (restriction on further participation in this section of the scheme) applies, or

(iii)

income received on or after 7th November 2011 by a practitioner in respect of the performance of services under a GDS contract or a PDS agreement to which the practitioner’s employer is not a party.

C1C2(4)

For each GDS contract or PDS agreement from which practitioner income is derived, the maximum amount of practitioner income which may be derived from that contract in any financial year is, subject to paragraph (5), the value of that contract in that financial year less the value of following payments (if payable in that financial year by NHS England or Local Health Board that is a party to the contract or agreement)—

(a)

monthly seniority payments;

(b)

maternity leave, paternity leave, parental leave F12, shared parental leave F13, parental bereavement leave or adoption leave payments;

(c)

sickness leave payments;

(d)

reimbursement of the salary of a F14foundation trainee;

(e)

reimbursement of the national insurance contributions of a F15foundation trainee;

(f)

reimbursement of non-domestic rates;

then multiplied by a percentage to be determined by the Secretary of State, which produces the amount referred to in this Part as the pensionable earnings ceiling.

(5)

Income which accrues to a type 1 dental practitioner that is derived from the following payments under a GDS contract or PDS agreement is practitioner income for the purposes of this regulation (that is, it is pensionable earnings, notwithstanding that it is not included in the calculation of the pensionable earnings ceiling for a particular GDS contract or PDS agreement)—

(a)

monthly seniority payments;

(b)

maternity leave, paternity leave F16, shared parental leave F17, parental bereavement leave, parental leave or adoption leave payments;

(c)

sickness leave payments.

(6)

The following payments under a GDS contract or PDS agreement are not to be considered practitioner income for the purposes of this regulation—

(a)

reimbursement of the salary of a F18foundation trainee;

(b)

reimbursement of the national insurance contributions of a F19foundation trainee, and

(c)

reimbursement of non-domestic rates.

(7)

For the avoidance of doubt, income which accrues to a type 1 dental practitioner while engaged as a type 2 practitioner is practitioner income of that type 1 dental practitioner, but unaffected by any pensionable earnings ceiling.

(8)

If a practitioner is in concurrent employment as an officer, or with a local authority or university, or as a civil servant, or in any other employment that the Secretary of State may in any particular case allow, practitioner income does not include any amounts for which the practitioner is required to account to the employer as a term or condition of that employment.

(9)

In paragraph (2)(a), locum services shall have the meaning given by regulation 3.A.13(4).

(F2010)

The pensionable earnings of a type 1 practitioner include the amount of any pensionable earnings the practitioner is entitled to count under Chapter 3.K.

Annotations

Textual amendments

F1

Words in Regulations substituted (6.11.2023) by The Health and Care Act 2022 (Further Consequential Amendments) (No. 2) Regulations 2023 (S.I. 2023/1071), reg. 1(1), Sch. para. 1

F2

Reg. 3.A.7(1)(a) substituted (with effect from 1.4.2020) by The National Health Service Pension Schemes and Injury Benefits (Amendment) Regulations 2021 (S.I. 2021/631), regs. 1(2)(9), 20 (with reg. 34)

F3

Words in reg. 3.A.7(2)(a)(v)(aa) substituted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(3)

F4

Words in reg. 3.A.7(2)(a)(vii) inserted (1.10.2008) by The National Health Service Pension Scheme and Injury Benefits (Amendment) Regulations 2008 (S.I. 2008/2263), regs. 1(2)(3), 58 (with reg. 93)

F5

Words in reg. 3.A.7(2)(a)(vii) inserted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(4)

F6

Reg. 3.A.7(2)(e) inserted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(5)

F7

Words in reg. 3.A.7(2)(e) inserted (1.4.2019) by The National Health Service Pension Schemes, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2019 (S.I. 2019/418), regs. 1(2), 61 (with reg. 108)

F8

Reg. 3.A.7(2)(f)-(h) added (1.4.2014) by The National Health Service Pension Scheme (Amendment) Regulations 2014 (S.I. 2014/570), regs. 1(2), 37 (with reg. 49)

F9

Words in Regulations substituted (1.7.2022) by The Health and Care Act 2022 (Consequential and Related Amendments and Transitional Provisions) Regulations 2022 (S.I. 2022/634), reg. 1(2), Sch. para. 1(1)(3) (with Sch. para. 1(2))

F10

Words in reg. 3.A.7(2)(g) inserted (1.4.2016) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2016 (S.I. 2016/245), regs. 1(2), 41(2) (with reg. 105)

F11

Reg. 3.A.7(3)(b) substituted (28.11.2011) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2011 (S.I. 2011/2586), regs. 1(2), 25

F12

Words in reg. 3.A.7(4)(b) inserted (31.12.2014 for specified purposes) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2016 (S.I. 2016/245), regs. 1(7), 41(3) (with reg. 105)

F13

Words in reg. 3.A.7(4)(b) inserted (6.4.2020) by The Parental Bereavement Leave and Pay (Consequential Amendments to Subordinate Legislation) Regulations 2020 (S.I. 2020/354), regs. 1, 18(9)(a)

F14

Words in reg. 3.A.7(4)(d) substituted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(6)(b)

F15

Words in reg. 3.A.7(4)(e) substituted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(6)(b)

F16

Words in reg. 3.A.7(5)(b) inserted (31.12.2014 for specified purposes) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2016 (S.I. 2016/245), regs. 1(7), 41(4) (with reg. 105)

F17

Words in reg. 3.A.7(5)(b) inserted (6.4.2020) by The Parental Bereavement Leave and Pay (Consequential Amendments to Subordinate Legislation) Regulations 2020 (S.I. 2020/354), regs. 1, 18(9)(b)

F18

Words in reg. 3.A.7(6)(a) substituted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(7)

F19

Words in reg. 3.A.7(6)(b) substituted (1.4.2013) by The National Health Service Pension Scheme, Additional Voluntary Contributions and Injury Benefits (Amendment) Regulations 2013 (S.I. 2013/413), regs. 1(2), 53(7)

F20

Reg. 3.A.7(10) inserted (1.10.2009) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2009 (S.I. 2009/2446), regs. 1(2), 56

Modifications

C1

Reg. 3.A.7(4) applied (E.) (1.4.2016) by The National Health Service (General Dental Services Contracts) Regulations 2005 (S.I. 2005/3361), reg. 21A(5) (as inserted by S.I. 2016/298, regs. 1(1), 8)

C2

Reg. 3.A.7(4) applied (E.) (1.4.2016) by The National Health Service (Personal Dental Services Agreements) Regulations 2005 (S.I. 2005/3373), reg. 17A(5) (as inserted by S.I. 2016/298, regs. 1(1), 20)