# Pension Schemes Act 2026, Section 106: Validity of certain alterations to NI salary-related contracted-out pension schemes: subsisting schemes

Extent: N.I.

(1) This section applies to any potentially remediable alteration purportedly made to an NI scheme other than a potentially remediable alteration to which section 107 applies.
(2) If the conditions mentioned in subsection (3) are met in relation to it, the alteration is to be treated for all purposes as having met the requirements of paragraph (2)(a) and (b) of regulation 42 before it was purportedly made, and so as having always been a valid alteration so far as those requirements are concerned.
(3) The conditions are—
(a) that the trustees or managers of the scheme have made a request in writing to the scheme actuary for the actuary to consider whether or not, on the assumption that it was validly made, the alteration would have prevented the scheme from continuing to satisfy the statutory standard, and
(b) that the scheme actuary has confirmed to the trustees or managers in writing that in the actuary’s opinion it is reasonable to conclude that, on the assumption that it was validly made, the alteration would not have prevented the scheme from continuing to satisfy the statutory standard.
In this subsection “the statutory standard” means the statutory standard for a contracted-out scheme under section 8A of the Pension Schemes (Northern Ireland) Act 1993 as it had effect at the time the alteration was purportedly made.
(4) A scheme actuary who has received a request as mentioned in subsection (3)(a) in relation to a potentially remediable alteration to a scheme—
(a) may act on the basis of the information available to the actuary, as long as the actuary considers it sufficient for the purpose of forming an opinion on the subject-matter of the request;
(b) may take any professional approach (including making assumptions or relying on presumptions) that is open to the actuary in all the circumstances of the case.
(5) A condition mentioned in subsection (3) may be met by action taken before (as well as action taken after) this section comes into force.
(6) Subsection (7) applies to an NI scheme if —
(a) there is an assessment period in relation to the scheme within the meaning of Part 3 of the Pensions (Northern Ireland) Order 2005 (S.I. 2005/255 (N.I. 1)), or
(b) the scheme is operating as a closed scheme under Article 137 of that Order.
(7) The powers of the Board of the Pension Protection Fund under Article 118 and 139 of the Pensions (Northern Ireland) Order 2005 to give directions include power to give a direction to the trustees or managers of the scheme requiring them—
(a) to make a request under subsection (3)(a) in relation to a potentially remediable alteration to the scheme, and
(b) to take any necessary action to enable or facilitate the making of a decision by the actuary as to whether to give the confirmation described in subsection (3)(b) in relation to that alteration.
(8) This section has effect, in relation to a potentially remediable alteration purportedly made to a public service scheme, as if the references in subsections (3) and (7) to the trustees or managers of the scheme were references to the responsible authority.
(9) In subsection (8)—
“public service scheme” means—
(a) a pension scheme established under section 1 of the Public Service Pensions (Northern Ireland) Act 2014 (2014 c. 2), or
(b) a statutory pension scheme which is connected with a scheme referred to in paragraph (a) (and for this purpose “statutory pension scheme” and “connected” have the meanings given in that Act);
“responsible authority”, in relation to a public service scheme, means the authority that is the responsible authority for the scheme by virtue of section 2 of and Schedule 2 to that Act.

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Source: https://www.legislation.gov.uk/ukpga/2026/22/section/106 (the official version)
Page: https://openlegislation.uk/pension-schemes-act-2026/section-106
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.