Explanatory note

These Regulations amend the Pension Protection Fund (Entry Rules) Regulations (Northern Ireland) 2005 (“the Entry Rules Regulations”), the Pension Protection Fund (Valuation) Regulations (Northern Ireland) 2005 (“the Valuation Regulations”) and the Pension Protection Fund (General and Miscellaneous Amendments) Regulations (Northern Ireland) 2006 (“the General Regulations”).

Regulation 2 amends the Entry Rules Regulations to provide that former approved superannuation funds will cease to be eligible schemes for the purposes of the Pension Protection Fund. It also provides for any decisions which fall to be made by the trustees or company in its capacity as trustee to be made by the unanimous agreement of the trustees, or directors of that company, who are members of the scheme. It also amends a reference.

Regulation 3 amends the Valuation Regulations to add a definition of “pre-6th April 1997 contract of insurance” and substitutes the definition of “relevant accounts”. It amends the prescribed date by which an eligible scheme, which becomes a registrable scheme before the commencement date, submits its initial actuarial valuation, in accordance with Article 162 of the Pensions (Northern Ireland) Order 2005, to within 15 months of the relevant time of the valuation or by 31st March 2008, whichever is the earlier. It also amends the prescribed date by which the trustees or managers of an eligible scheme provide any subsequent actuarial valuation to the Board of the Pension Protection Fund (“the Board”), or the Pensions Regulator, to within 15 months of the relevant time of that valuation. It further provides for the amount representing the value of a pre-6th April 1997 contract of insurance to be excluded from the actuarial valuation of the assets and protected liabilities of an eligible scheme if, in the opinion of the appropriate person (as defined in regulation 1(2) of the Valuation Regulations), there is insufficient information about that contract of insurance with which to conduct a valuation. It also adds a Schedule to make provision for the information to be contained in the audited scheme accounts.

Regulation 4 amends provisions of the General Regulations which specify circumstances in which the Board is not required to recover overpayments of scheme benefits or compensation. Non-recovery of an amount is permitted in cases where its recovery would cause hardship and, in determining whether such grounds exist, the amendments made by this regulation provide that the Board may seek additional information and, having regard to the information before it, must make its determination as soon as is reasonably practicable.

Regulation 5 makes transitional provision in relation to the coming into operation of the substituted definition of “relevant accounts” in the Valuation Regulations.

Regulation 6 makes consequential revocations.

As these Regulations make in relation to Northern Ireland only provision corresponding to provision contained in regulations made by the Secretary of State for Work and Pensions in relation to Great Britain, the requirement to consult under Article 289(1) of the Pensions (Northern Ireland) Order 2005 does not apply by virtue of paragraph (2)(e) of that Article.