Explanatory note

These Regulations amend section 8B of the Pension Schemes (Northern Ireland) Act 1993 (“the Act”) and make miscellaneous amendments to regulations relating to occupational pensions.

Regulation 1 deals with citation, commencement and interpretation

Regulation 2 amends the terms of the reference scheme set out in section 8B of the Act, compliance with which is a condition of obtaining a contracting-out certificate under the Act.

Regulation 3 amends the Occupational Pension Schemes (Contracting-out) Regulations (Northern Ireland) 1996 to provide further circumstances in which money purchase schemes may change the mode of contracting out, to clarify the approval of certain arrangements for schemes ceasing to be contracted out, to update references concerning discharge of liability, and to extend the transitional arrangements for salary related schemes becoming money purchase schemes.

Regulation 4 amends the Occupational Pension Schemes (Investment) Regulations (Northern Ireland) 1996 to extend the meaning of “employer” in respect of schemes which there are no active members. It also amends the list of investments to which the restrictions on employer-related investments do not apply and amends the transitional provisions relating to employer-related loans.

Regulation 5 amends the Occupational Pension Schemes (Scheme Administration) Regulations (Northern Ireland) 1997 to change the way in which a scheme’s professional advisers notify the trustees or managers where there is any conflict of interest in relation to the scheme. It also extends the range of persons who are excepted from being ineligible to act as auditor or actuary of the scheme.

Regulation 6 amends the Occupational Pension Schemes (Disclosure of Information) Regulations (Northern Ireland) 1997 to limit the range of members to whom certain basic information about the scheme has to be given.

Sections 3(2A), 8B(6), 46(1B) and 49(3) of the Act, some of the enabling provisions under which these Regulations are made, were inserted or substituted by Article 133(1) and (5) of, and paragraphs 37(b) and 40(c) of Schedule 3 to, the Pensions (Northern Ireland) Order 1995 (“the Order”). The Pensions (1995 Order) (Commencement No. 2) Order (Northern Ireland) 1996 (S.R. 1996 No. 91 (C. 4)) provides for the coming into operation of the said Article and paragraphs, for the purpose only of authorising the making of regulations, on 6th April 1996. It also provides for the coming into operation of Article 133, in so far as it is not already in operation on 6th April 1997.

As these Regulations make in relation to Northern Ireland only provision corresponding to provision contained in Regulations made by the Secretary of State for Social Security in relation to Great Britain, the requirement for consultation under Article 117(1) of the Order does not apply by virtue of paragraph (2)(e) of that Article.