Explanatory note

These Regulations amend the Parliamentary Pensions (Consolidation and Amendment) Regulations 1993 (S.I. 1993/3253) (“the Principal Regulations”), which were made under the Parliamentary and other Pensions Act 1987 (c.45) (“the 1987 Act”) and set out a pension scheme for Members of Parliament, Ministers and holders of certain offices.

The amendments made by regulations 2 to 4 have effect from 6th April 2006. Section 2(4)(b)(i) of the 1987 Act authorises the making of provisions taking effect from a date earlier than the date the Regulations are made.

Regulation 2 amends the Principal Regulations by inserting a new regulation C5B, which provides an option for persons reaching 75 after 5th April 2006 to opt to cease to be participants and to become entitled to commute their pensions for a lump sum despite continuing in office as Members of the House of Commons or office holders.

Regulation 3 amends regulation F8(2) of the Principal Regulations, which provides for abatement of pension, by making it expressly subject to regulation F7(guaranteed minimum pensions).

Regulation 4 amends part M of the Principal Regulations to extend certain provisions that apply to pensioner members who have opted under regulation C5A (Members of the House of Commons and office holders reaching 75 before 6th April 2006) to pensioner members who have opted under new regulation C5B. Regulation M5A(8) of the Principal Regulations is also amended in relation to pensioner members who have opted under regulation C5A.

Regulation 5 amends Schedule 1 to the Principal Regulations so that up to two of the trustees can be pensioner members.