{
  "url": "https://openlegislation.uk/occupational-pension-schemes-transitional-provisions-amendment-regulations-1996/regulation-4",
  "json_url": "https://openlegislation.uk/occupational-pension-schemes-transitional-provisions-amendment-regulations-1996/regulation-4.json",
  "legislation": "uksi/1996/3115",
  "legislation_title": "The Occupational Pension Schemes (Transitional Provisions) (Amendment) Regulations 1996",
  "legislation_url": "https://openlegislation.uk/occupational-pension-schemes-transitional-provisions-amendment-regulations-1996",
  "path": "regulation/4",
  "kind": "regulation",
  "number": "4",
  "heading": "Amendments to the principal Regulations",
  "text": "After regulation 4 there shall be inserted—\n“Disapplication of paragraphs 2, 3, 4 and 6 of the Schedule - further provision\n4ZA (1) The provisions contained in paragraphs 2, 3, 4 and 6 of the Schedule shall not apply as regards an employee in the circumstances prescribed in paragraph (2) below.\n(2) The circumstances prescribed in this paragraph are circumstances where—\n(a) the employee became a member of a scheme before 17th March 1987 and remained a member until, in the circumstances specified in paragraph (3) below, he ceased to be a member, and\n(b) by way of compensation for loss suffered, or reasonably likely to be suffered, by the employee as a result of the circumstances specified in paragraph (3) below—\n(i) the employee is reinstated as a member of that scheme, or becomes a member of another scheme established by the employer or by an employer who was a relevant employer in relation to that employer, and\n(ii) a capital sum is paid on or after 1996 (whether or not to the trustees of the scheme) in respect of the employee.\n(3) The circumstances specified in this paragraph are circumstances where, acting in reliance on bad investment advice at least some of which was given during the period beginning with 29th April 1988 and ending with 30th June 1994, the employee—\n(a) ceased to be a member of, or to pay contributions to, the scheme and instead became a member of a personal pension scheme or entered into a retirement annuity contract;\n(b) ceased to be a member of the scheme as a result of the transfer of accrued rights of his under the scheme to a personal pension scheme; or\n(c) ceased to be a member of the scheme and instead (by virtue of such a provision as is mentioned in section 591(2)(g)) entered into arrangements for securing relevant benefits by means of an annuity contract.\n(4) In paragraph (3) above—\n“bad investment advice” means investment advice in respect of which an action against the person who gave it has been, or may be, brought—\n(a) in or for negligence;\n(b) for breach of contract;\n(c) by reason of a breach of a fiduciary obligation; or\n(d) by reason of a contravention which is actionable under section 62 of the Financial Services Act 1986;\n“investment advice” means advice such as is mentioned in paragraph 15 of Schedule 1 to the Financial Services Act 1986;\n“personal pension scheme” has the meaning given by section 630(1);\n“relevant benefits” has the meaning given by section 612(1);\n“retirement annuity contract” means a contract made before 1st July 1988 and approved by the Board under or by virtue of any provision of Chapter III of Part XIV of the Taxes Act.”",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "Amended by S.I. 1993/3219."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "Section 591(2)(g) of the Income and Corporation Taxes Act 1988 was amended by section 107(2) of, and Part V (12) of Schedule 26 to, the Finance Act 1994 (c. 9)."
    },
    {
      "type": "footnote",
      "label": "f3",
      "text": "1986 c. 60."
    },
    {
      "type": "footnote",
      "label": "f4",
      "text": "Section 630 was renumbered as subsection (1) of that section by paragraph 2(2) of Schedule 11 to the Finance Act 1995 (c. 4) which also amended the definition of “personal pension scheme” in that section."
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/1996/3115/regulation/4",
    "retrieved_at": "2026-10-29T12:29:54.652100+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}