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The National Health Service Pension Scheme (Scotland) Regulations 2008

S.S.I. 2008/224 · Made 4 June 2008

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

NATIONAL HEALTH SERVICE

Made 4th June 2008

Laid before the Scottish Parliament 6th June 2008

Coming into force 28th June 2008

The Scottish Ministers make the following Regulations, in exercise of the powers conferred by sections 10 and 12 of, and Schedule 3 to, the Superannuation Act 1972f1, and all other powers enabling them to do so.

In accordance with section 10(1) of that Act, these Regulations are made with the consent of the Treasuryf2.

In accordance with section 10(4) of that Act, the Scottish Ministers have consulted with such representatives of persons likely to be affected by these Regulations, as appear to them to be appropriatef3.

Annotations to the whole text

Footnotes

f1

1972 c. 11. Section 10(1) was amended by the National Health Service (Scotland) Act 1972 (c. 58), Schedule 7, Part II and sections 4(2), 8(5) and 10 of the Pensions (Miscellaneous Provisions) Act 1990 (c. 7); section 10(6) was amended by the Pension Schemes Act 1993 (c. 48), Schedule 8, paragraph 7 and by the Financial Services and Markets Act 2000 (Consequential Amendments and Repeals) Order 2001 (S.I. 2001/3649), section 12(2) was amended by section 10(1) of the Pensions (Miscellaneous Provisions) Act 1990. The functions of the Secretary of State were transferred to the Scottish Ministers by virtue of article 2 of and Schedule 1 to the Scotland Act 1998 (Transfer of Functions to the Scottish Ministers etc.) Order 1999 (S.I. 1999/1750).

f2

See section 10(1) of the Superannuation Act 1972. This function was transferred to the Treasury by virtue of the Transfer of Functions (Minister for the Civil Service and Treasury) Order 1981 (S.I. 1981/1670), article 2 and is still exercisable by virtue of S.I. 1999/1750, article 2 and Schedule 1.

f3

See section 10(4) of the Superannuation Act 1972.

Contents

  1. Part 1: INTRODUCTORY AND GENERAL
  2. Chapter 1.A: INTRODUCTION
  3. 1.A.1Citation, commencement and effect
  4. 1.A.2Application of remaining Parts
  5. Chapter 1.B: SCHEME REPORTS AND ACCOUNTS
  6. 1.B.1Actuarial reports and accounts
  7. 1.B.2Cost sharing
  8. 1.B.3Provision of information for tax purposes
  9. Part 2: BENEFITS FOR OFFICERS
  10. Chapter 2.A: INTRODUCTION
  11. General interpretation
  12. 2.A.1Interpretation: general
  13. Pensionable service
  14. 2.A.2Meaning of “pensionable service”
  15. 2.A.3Meaning of “pensionable service”: part-time service
  16. 2.A.4Pensionable service: breaks in service
  17. Qualifying service
  18. 2.A.5Meaning of “qualifying service”
  19. 2.A.6Qualifying service: disregard of breaks in service
  20. Calculating service
  21. 2.A.7Calculation of periods of membership or service
  22. Pensionable pay
  23. 2.A.8Meaning of “pensionable pay”
  24. 2.A.9Pensionable pay: breaks in service
  25. Reckonable pay
  26. 2.A.10Meaning of “reckonable pay”: general
  27. 2.A.11Adjustments for inflation in determining reckonable pay under regulation 2.A.10
  28. 2.A.12Restriction on pensionable pay used for calculating benefits in respect of capped transferred in service
  29. 2.A.13Meaning of “reckonable pay”: non-concurrent part-time employment
  30. 2.A.14Meaning of “reckonable pay”: concurrent part-time employments
  31. 2.A.15Out of hours providers
  32. Chapter 2.B: MEMBERSHIP
  33. 2.B.1Eligibility: general
  34. 2.B.2Restrictions on eligibility: general
  35. 2.B.3Concurrent employments
  36. Joining and leaving the scheme
  37. 2.B.4Joining the scheme
  38. 2.B.5Opting out of the scheme
  39. 2.B.6Restriction on further participation in the scheme
  40. Chapter 2.C: CONTRIBUTIONS
  41. Basic contributions by members
  42. 2.C.1Contributions by members
  43. 2.C.2Members' contribution rate
  44. 2.C.3Employees
  45. 2.C.4Part-time employees
  46. Contributions by employing authorities
  47. 2.C.5Contributions by employing authorities: general
  48. 2.C.6Contributions by employing authorities: members becoming entitled to pensions under regulation 2.D.11
  49. 2.C.7Guarantees, indemnities and bonds
  50. Additional contributions to purchase additional pensions
  51. 2.C.8Member’s option to pay additional periodical contributions to purchase additional pension
  52. 2.C.9Effect of member being absent or leaving and rejoining the scheme during the contribution option period
  53. 2.C.10Member’s option to pay lump sum contribution to purchase additional pension
  54. 2.C.11Payment of additional lump sum contributions by employing authority
  55. 2.C.12Exercise of options under regulations 2.C.8, 2.C.10 and 2.C.11
  56. 2.C.13Cancellation of options under regulation 2.C.8
  57. 2.C.14Effect of payment of additional contributions under this Chapter
  58. 2.C.15Effect of death or early payment of pension after option exercised under regulation 2.C.8, 2.C.10 or 2.C.11
  59. 2.C.16Effect of part payment of periodical contributions
  60. 2.C.17Revaluation of increases bought under options: members' pensions
  61. Repayment of contributions
  62. 2.C.18Repayment of contributions
  63. Chapter 2.D: MEMBERS' RETIREMENT BENEFITS
  64. Entitlement to pensions
  65. 2.D.1Normal retirement pensions
  66. 2.D.2Pension credit members
  67. 2.D.3Late payment of pension with actuarial increase
  68. 2.D.4Early payment of pensions with actuarial reduction
  69. 2.D.5Partial retirement (members aged at least 55)
  70. 2.D.6Increase in pensionable pay following exercise of option under regulation 2.D.5
  71. 2.D.7Application of regulations 2.D.5 and 2.D.6 where concurrent part-time employments held
  72. 2.D.8Early retirement on ill health (active members)
  73. 2.D.9Re-assessment of entitlement to an ill health pension determined under regulation 2.D.8
  74. 2.D.10Early retirement on ill health (deferred members)
  75. 2.D.11Early retirement on termination of employment by employing authority
  76. 2.D.12Option to have periods of service treated separately where pay is reduced
  77. 2.D.13Exceptions to requirement that NHS employment must have ceased
  78. Options to exchange pension for lump sum
  79. 2.D.14General option to exchange part of pension for lump sum
  80. 2.D.15Option for members in serious ill health to exchange whole pension for lump sum
  81. Pension debit members and pension credit members
  82. 2.D.16Reduction in pension debit member’s benefits
  83. 2.D.17Pension credit member’s rights
  84. Allocation
  85. 2.D.18Election to allocate pension
  86. 2.D.19Procedure for election under regulation 2.D.18
  87. 2.D.20Effect of allocation
  88. Dual capacity membership
  89. 2.D.21Dual capacity membership
  90. Contracting-out obligations (GMPs, etc.)
  91. 2.D.22Guaranteed minimum pensions etc.
  92. Chapter 2.E: DEATH BENEFITS
  93. Pensions for surviving adults
  94. 2.E.1Surviving adult dependants' pensions
  95. 2.E.2Meaning of “surviving nominated partner”
  96. 2.E.3Amount of pensions under regulation 2.E.1: active members
  97. 2.E.4Amount of pensions under regulation 2.E.1: pensioner members
  98. 2.E.5Amount of pensions under regulation 2.E.1: deferred members
  99. 2.E.6Recent leavers
  100. 2.E.7Re-employed pensioners: adult survivor pensions in initial period
  101. Pensions for dependent children
  102. 2.E.8Surviving children’s pensions
  103. 2.E.9Meaning of “dependent child”
  104. 2.E.10Amount of children’s pension under regulation 2.E.8: deceased active members
  105. 2.E.11Amount of children’s pension under regulation 2.E.8: deceased pensioner members
  106. 2.E.12Amount of children’s pension under regulation 2.E.8: deceased deferred members
  107. 2.E.13Amount of children’s pension under regulation 2.E.8: recent leavers
  108. 2.E.14Power to increase pension in respect of children not maintained by surviving parent etc.
  109. 2.E.15Amount of children’s pension under regulation 2.E.8: re-employed pensioners
  110. Lump sum death benefits
  111. 2.E.16Lump sum benefits on death: introduction
  112. 2.E.17Amount of lump sum: single capacity members and recent leavers (disregarding regulation 2.D.5 employments)
  113. 2.E.18Amount of lump sum: dual capacity members (disregarding regulation 2.D.5 employments)
  114. 2.E.19Amount of lump sum: dual capacity members: members with pensions under regulation 2.D.5
  115. 2.E.20Amount of lump sum: pension credit members
  116. 2.E.21Payment of lump sums on death
  117. 2.E.22Tax treatment under the 2004 Act of lump sums payable on pensioners' deaths
  118. Miscellaneous and general provisions
  119. 2.E.23Death during period of absence
  120. 2.E.24Polygamous marriages
  121. 2.E.25Dual capacity membership: death benefits
  122. 2.E.26Guaranteed minimum pensions for surviving spouses and civil partners
  123. Chapter 2.F: TRANSFERS
  124. Transfers out
  125. 2.F.1Introduction: rights to transfer value payment
  126. 2.F.2Applications for statements of entitlement
  127. 2.F.3Applications for transfer value payments: general
  128. 2.F.4Applications for transfer value payments: time limits
  129. 2.F.5Ways in which transfer value payments may be applied
  130. 2.F.6Calculating amounts of transfer value payments
  131. 2.F.7Effect of transfers-out
  132. Transfers in
  133. 2.F.8Right to apply for acceptance of transfer value payment from another scheme
  134. 2.F.9Procedure for applications under regulation 2.F.8
  135. 2.F.10Acceptance of transfer value payments
  136. 2.F.11Calculation of transferred-in pensionable service
  137. 2.F.12Meaning of “capped transferred-in service”
  138. 2.F.13Public sector transfer arrangements
  139. 2.F.14Bulk transfers out
  140. 2.F.15Bulk transfers in
  141. 2.F.16EU and other overseas transfers
  142. Chapter 2.G: RE-EMPLOYMENT AND REJOINING THE SCHEME
  143. Preliminary
  144. 2.G.1Application of Chapter 2.G
  145. General rule: separate treatment of service etc. except where unfavourable to member
  146. 2.G.2General rule: separate treatment of service etc.
  147. 2.G.3Exception to general rule in regulation 2.G.2
  148. Special rules about re-employment of ill health pensioners
  149. 2.G.4Effect of re-employment on upper tier ill health pensions
  150. 2.G.5Re-employed lower tier ill health pensioners
  151. Special rule for members transferred out on transfer of undertaking
  152. 2.G.6Deferred pension becoming payable during NHS re-employment as a result of a transfer of undertaking
  153. Chapter 2.H: ABATEMENT
  154. 2.H.1Application of Chapter 2.H
  155. 2.H.2Information
  156. 2.H.3Reduction of pension
  157. 2.H.4Meaning of “relevant income”
  158. 2.H.5Meaning of “previous pay”: general
  159. 2.H.6Meaning of “previous pay”: members with concurrent employments
  160. 2.H.7Application of this Chapter to part-time employment
  161. 2.H.8Employed pensioners with more than one pension
  162. 2.H.9Provisional reductions and later adjustments
  163. Chapter 2.J: MISCELLANEOUS AND SUPPLEMENTARY PROVISIONS
  164. Scheme administrator
  165. 2.J.1Appointment of scheme administrator
  166. Claims
  167. 2.J.2Claims for benefits
  168. Power to extend time limits
  169. 2.J.3Power to extend time limits
  170. Beneficiaries who are incapable of looking after their affairs
  171. 2.J.4Beneficiaries who are incapable of looking after their affairs
  172. Commutation of small pensions
  173. 2.J.5Commutation of small pensions
  174. Reduction in and forfeiture of benefits
  175. 2.J.6Reduction in benefits in cases where loss caused by member’s crime, negligence or fraud
  176. 2.J.7Forfeiture of rights to benefits
  177. Provisions about tax
  178. 2.J.8Deduction of tax
  179. Interest on delayed payments
  180. 2.J.9Interest on late payment of benefits and refunds of contributions
  181. Determinations
  182. 2.J.10Determination of questions
  183. General prohibition on unauthorised payments
  184. 2.J.11General prohibition on unauthorised payments
  185. Prohibition on assignment or charging of benefits
  186. 2.J.12Prohibition on assignment or charging of benefits
  187. Record keeping and contribution estimates
  188. 2.J.13Employing authority record keeping and contribution estimates
  189. Part 3: BENEFITS FOR PRACTITIONERS, ETC.
  190. Chapter 3.A: INTRODUCTION
  191. Preliminary
  192. 3.A.1Interpretation of Part 3: general
  193. 3.A.2Interpretation: further provisions
  194. 3.A.3Meaning of “pensionable service”
  195. 3.A.4Pensionable service: breaks in service
  196. Qualifying service
  197. 3.A.5Meaning of “qualifying service”
  198. 3.A.6Qualifying service: disregard of breaks in service
  199. Pensionable earnings
  200. 3.A.7Meaning of “pensionable earnings”
  201. 3.A.8Pensionable earnings: breaks in service
  202. 3.A.9Calculating pensionable earnings of medical practitioners in partnership
  203. 3.A.10Elections relating to calculation of pensionable earnings in medical partnerships
  204. 3.A.11Restriction on pensionable earnings used for calculating benefits in respect of capped transferred in service
  205. 3.A.12Meaning of pensionable earnings in relation to other practitioners
  206. 3.A.13Exclusions and deductions from pensionable earnings: all practitioners
  207. 3.A.14Limit on pensionable earnings: dental practitioners carrying on deceased person’s business
  208. 3.A.15Out of hours providers
  209. Chapter 3.B: MEMBERSHIP
  210. 3.B.1Eligibility: general
  211. 3.B.2Restrictions on eligibility: general
  212. 3.B.3Concurrent employments
  213. Joining and leaving the scheme
  214. 3.B.4Joining the scheme
  215. 3.B.5Opting out of the scheme
  216. 3.B.6Restriction on further participation in the scheme
  217. 3.B.7Membership: locum practitioners
  218. Chapter 3.C: CONTRIBUTIONS
  219. Basic contributions by members
  220. 3.C.1Contributions by members
  221. 3.C.2Members' contribution rate
  222. 3.C.3Contributions by employing authorities: general
  223. 3.C.4Guarantees, indemnities and bonds
  224. 3.C.5Payment of Contributions
  225. Additional contributions to purchase additional pensions
  226. 3.C.6Member’s option to pay additional periodical contributions to purchase additional pension
  227. 3.C.7Effect of member being absent or leaving and rejoining the scheme during the contribution option period
  228. 3.C.8Member’s option to pay lump sum contribution to purchase additional pension
  229. 3.C.9Payment of additional lump sum contributions by employing authority
  230. 3.C.10Exercise of options under regulations 3.C.6, 3.C.8 and 3.C.9
  231. 3.C.11Cancellation of options under regulation 3.C.6
  232. 3.C.12Effect of payment of additional contributions under this Chapter
  233. 3.C.13Effect of death or early payment of pension after option exercised under regulation 3.C.6, 3.C.8 or 3.C.9
  234. 3.C.14Effect of part payment of periodical contributions
  235. 3.C.15Revaluation of increases bought under options: members' pensions
  236. Repayment of contributions
  237. 3.C.16Repayment of contributions
  238. Chapter 3.D: MEMBERS' RETIREMENT BENEFITS
  239. Entitlement to pensions
  240. 3.D.1Normal retirement pensions
  241. 3.D.2Pension credit members
  242. 3.D.3Late payment of pension with actuarial increase
  243. 3.D.4Early payment of pension with actuarial reduction
  244. 3.D.5Partial retirement (members aged at least 55)
  245. 3.D.6Increase in pensionable earnings following exercise of option under regulation 3.D.5
  246. 3.D.7Early retirement on ill health (active members)
  247. 3.D.8Re-assessment of entitlement to an ill health pension determined under regulation 3.D.7
  248. 3.D.9Early retirement on ill health (deferred members)
  249. Options to exchange pension for lump sum
  250. 3.D.10General option to exchange part of pension for lump sum
  251. 3.D.11Option for members in serious ill health to exchange whole pension for lump sum
  252. Pension debit members and pension credit members
  253. 3.D.12Reduction in pension debit member’s benefits
  254. 3.D.13Pension credit member’s rights
  255. Allocation
  256. 3.D.14Election to allocate pension
  257. 3.D.15Procedure for election under regulation 3.D.14
  258. 3.D.16Effect of allocation
  259. Dual capacity membership
  260. 3.D.17Dual capacity membership
  261. Contracting-out obligations (GMPs, etc.)
  262. 3.D.18Guaranteed minimum pensions etc.
  263. Chapter 3.E: DEATH BENEFITS
  264. Pensions for surviving adults
  265. 3.E.1Surviving adult dependants' pensions
  266. 3.E.2Meaning of “surviving nominated partner”
  267. 3.E.3Amount of pensions under regulation 3.E.1: active members
  268. 3.E.4Amount of pensions under regulation 3.E.1: pensioner members
  269. 3.E.5Amount of pensions under regulation 3.E.1: deferred members
  270. 3.E.6Recent leavers
  271. 3.E.7Re-employed pensioners: adult survivor pensions in initial period
  272. Pensions for dependent children
  273. 3.E.8Surviving children’s pensions
  274. 3.E.9Meaning of “dependent child”
  275. 3.E.10Amount of children’s pension under regulation 3.E.8: deceased active members
  276. 3.E.11Amount of children’s pension under regulation 3.E.8: deceased pensioner members
  277. 3.E.12Amount of children’s pension under regulation 3.E.8: deceased deferred members
  278. 3.E.13Amount of children’s pension under regulation 3.E.8: recent leavers
  279. 3.E.14Power to increase pension in respect of children not maintained by surviving parent etc.
  280. 3.E.15Amount of children’s pension under regulation 3.E.8: re-employed pensioners
  281. Lump sum death benefits
  282. 3.E.16Lump sum benefits on death: introduction
  283. 3.E.17Amount of lump sum: single capacity members and recent leavers (disregarding regulation 3.D.5 employments)
  284. 3.E.18Amount of lump sum: dual capacity members (disregarding regulation 3.D.5 employments)
  285. 3.E.19Amount of lump sum: dual capacity members: members with pensions under regulation 3.D.5
  286. 3.E.20Amount of lump sum: pension credit members
  287. 3.E.21Payment of lump sums on death
  288. 3.E.22Tax treatment under the 2004 Act of lump sums payable on pensioners' deaths
  289. Miscellaneous and general provisions
  290. 3.E.23Death during period of absence
  291. 3.E.24Polygamous marriages
  292. 3.E.25Dual capacity membership: death benefits
  293. 3.E.26Guaranteed minimum pensions for surviving spouses and civil partners
  294. Chapter 3.F: TRANSFERS
  295. Transfers out
  296. 3.F.1Introduction: rights to transfer value payment
  297. 3.F.2Applications for statements of entitlement
  298. 3.F.3Applications for transfer value payments: general
  299. 3.F.4Applications for transfer value payments: time limits
  300. 3.F.5Ways in which transfer value payments may be applied
  301. 3.F.6Calculating amounts of transfer value payments
  302. 3.F.7Effect of transfers-out
  303. Transfers in
  304. 3.F.8Right to apply for acceptance of transfer value payment from another scheme
  305. 3.F.9Procedure for applications under regulation 3.F.8
  306. 3.F.10Acceptance of transfer value payments
  307. 3.F.11Calculation of transferred-in pensionable service
  308. 3.F.12Meaning of “capped transferred-in service”
  309. 3.F.13Public sector transfer arrangements
  310. 3.F.14Bulk transfers out
  311. 3.F.15Bulk transfers in
  312. 3.F.16EU and other overseas transfers
  313. Chapter 3.G: RE-EMPLOYMENT AND REJOINING THE SCHEME
  314. Preliminary
  315. 3.G.1Application of Chapter 3.G
  316. General rule: separate treatment of service etc. except where unfavourable to member
  317. 3.G.2General rule: separate treatment of service etc.
  318. 3.G.3Exception to general rule in 3.G.2
  319. Special rules about re-employment of ill health pensioners
  320. 3.G.4Effect of re-employment on upper tier ill health pensions
  321. 3.G.5Re-employed lower tier ill health pensioners
  322. Chapter 3.H: ABATEMENT
  323. 3.H.1Application of Chapter 3.H
  324. 3.H.2Information
  325. 3.H.3Reduction of pension
  326. 3.H.4Meaning of “relevant income”
  327. 3.H.5Meaning of “previous earnings”: general
  328. 3.H.6Employed pensioners with more than one pension
  329. 3.H.7Provisional reductions and later adjustments
  330. Chapter 3.J: MISCELLANEOUS AND SUPPLEMENTARY PROVISIONS
  331. Scheme administrator
  332. 3.J.1Appointment of scheme administrator
  333. Claims
  334. 3.J.2Claims for benefits
  335. Power to extend time limits
  336. 3.J.3Power to extend time limits
  337. Beneficiaries who are incapable of looking after their affairs
  338. 3.J.4Beneficiaries who are incapable of looking after their affairs
  339. Commutation of small pensions
  340. 3.J.5Commutation of small pensions
  341. Reduction in and forfeiture of benefits
  342. 3.J.6Reduction in benefits in cases where loss caused by member’s crime, negligence or fraud
  343. 3.J.7Forfeiture of rights to benefits
  344. Provisions about tax
  345. 3.J.8Deduction of tax
  346. Interest on delayed payments
  347. 3.J.9Interest on late payment of benefits and refunds of contributions
  348. Determinations
  349. 3.J.10Determination of questions
  350. General prohibition on unauthorised payments
  351. 3.J.11General prohibition on unauthorised payments
  352. Prohibition on assignment or charging of benefits
  353. 3.J.12Prohibition on assignment or charging of benefits
  354. Record keeping and contribution estimates
  355. 3.J.13Employing authority record keeping and contribution estimates
  356. Part 4: BENEFITS IN CASES OF MIXED SERVICE
  357. Chapter 4.A: INTRODUCTION
  358. Application of Part 4
  359. 4.A.1Application of Part 4
  360. Preliminary
  361. 4.A.2Interpretation: general
  362. Chapter 4.B: COMPARISON OF ENTITLEMENTS
  363. Application of Chapter 4.B
  364. 4.B.1Application of Chapter 4.B
  365. Officer service before practitioner service
  366. 4.B.2Cases with up to 10 years of officer service
  367. 4.B.3Cases with more than 10 years of officer service
  368. Officer service after practitioner service
  369. 4.B.4Cases with less than one year of officer service
  370. 4.B.5Cases with more than one year of officer service
  371. Concurrent officer and practitioner service
  372. 4.B.6Cases with less than one year of concurrent officer service
  373. 4.B.7Cases with more than one year of concurrent officer service
  374. Calculation methods
  375. 4.B.8Calculation method A
  376. 4.B.9Calculation method B
  377. 4.B.10Calculation method C
  378. Chapter 4.C: MODIFICATION OF BENEFITS
  379. Members' retirement benefits
  380. 4.C.1Top-up where reference amount greater than base amount
  381. Death benefits
  382. 4.C.2Death benefits where member entitled to top-up
  383. Chapter 4.D: GENERAL MODIFICATIONS
  384. year service limit
  385. 4.D.1Pensionable service limit
  386. Claims and notices
  387. 4.D.2Applications, claims and notices
  388. Abatement
  389. 4.D.3Reduction of pension
  390. Signature
  391. Explanatory note