{
  "url": "https://openlegislation.uk/personal-pension-schemes-transfer-payments-regulations-2001/regulation-14",
  "json_url": "https://openlegislation.uk/personal-pension-schemes-transfer-payments-regulations-2001/regulation-14.json",
  "legislation": "uksi/2001/119",
  "legislation_title": "The Personal Pension Schemes (Transfer Payments) Regulations 2001",
  "legislation_url": "https://openlegislation.uk/personal-pension-schemes-transfer-payments-regulations-2001",
  "path": "regulation/14",
  "kind": "regulation",
  "number": "14",
  "heading": "Exceptions to section 638(7A) of the Taxes Act",
  "text": "(1) Paragraphs (2) and (3) prescribe situations which fall within the exception in section 638(7A) of the Taxes Act with regard to the making of transfer payments.\n(2) The first situation is where—\n(a) the transfer payment is from the personal pension scheme (“the paying scheme”) to another personal pension scheme (“the receiving scheme”);\n(b) income withdrawals are being made by the member from the paying scheme with respect to which the conditions in section 634A of the Taxes Act are satisfied, and the period of deferral of the purchase of an annuity has not ended;\n(c) the transfer payment comprises the whole of the funds held under any arrangement which is the subject of the transfer payment;\n(d) where any of the funds referred to in sub-paragraph (c) was the subject of, or represents the proceeds of, an earlier transfer payment made in accordance with this paragraph (“the earlier transfer payment”), the period between the earlier transfer payment and the transfer payment referred to in sub-paragraph (a) is not less than one year;\n(e) the arrangements made in accordance with the receiving scheme (“the new arrangements”) were set up by the member for the purpose of accepting the transfer payment, or a previous or contemporaneous transfer payment which fell or falls within this first situation, and prohibit the acceptance of—\n(i) contributions, or\n(ii) further transfer payments which do not fall within this first situation;\n(f) under the new arrangements the member elects to defer the purchase of such an annuity as is mentioned in section 634 of the Taxes Act, and to make income withdrawals as mentioned in sub-paragraph (b), and that election takes effect simultaneously with the transfer payment; and\n(g) no benefit referred to in section 633(1)(b) or (d) of the Taxes Act is payable under the new arrangements.\n(3) The second situation is where—\n(a) the transfer payment is from the paying scheme to another personal pension scheme (“the receiving scheme”);\n(b) the member referred to in section 634 of the Taxes Act (“the original member”) has died;\n(c) a surviving spouse or dependant referred to in section 636 of the Taxes Act is making income withdrawals from the paying scheme with respect to which the conditions in section 636A of the Taxes Act are satisfied, and the period of deferral of the purchase of an annuity has not ended;\n(d) the arrangements made in accordance with the receiving scheme by the surviving spouse or dependant (“the substitute member”) were set up for the purpose of accepting the transfer payment, or a previous or contemporaneous transfer payment which fell or falls within this second situation, and prohibit the acceptance of—\n(i) contributions, or\n(ii) further transfer payments which do not fall within this second situation;\n(e) under the arrangements referred to in sub-paragraph (d) (“the new arrangements”) the substitute member elects to defer the purchase of an annuity and to make income withdrawals with respect to which the conditions in section 634A of the Taxes Act are satisfied;\n(f) the income withdrawals referred to in sub-paragraph (e) cannot be made after the original member would have attained the age of 75 or, if earlier, after the substitute member attains that age;\n(g) the election referred to in sub-paragraph (e) takes effect simultaneously with the transfer payment;\n(h) any benefit under the new arrangements corresponds to a benefit which would have been payable to the same person under the paying scheme (and “the same person” means the same individual, without having regard to the way in which that or any other individual is defined in the new arrangements); and\n(i) the conditions in paragraph (2)(c), (d) and (g) are satisfied (construing the references in paragraph (2)(d) to “this paragraph” and “sub-paragraph (a)” as if they were references to the present paragraph and sub-paragraph (a) of this paragraph).",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "I",
      "label": "I1",
      "text": "Reg. 14 in force at 14.2.2001 for specified purposes and 6.4.2001 in so far as not already in force, see reg. 1(1)"
    },
    {
      "type": "footnote",
      "label": "f1",
      "text": "Section 638(7A) was inserted by paragraph 9 of Schedule 11 to the Finance Act 1995."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "Section 634A was inserted by paragraph 4 of Schedule 11 to the Finance Act 1995."
    },
    {
      "type": "footnote",
      "label": "f3",
      "text": "Section 634 was amended by paragraph 12 of Schedule 10 to the Finance Act 1999 (c. 16)."
    },
    {
      "type": "footnote",
      "label": "f4",
      "text": "Section 633(1) was amended by paragraph 3 of Schedule 11 to the Finance Act 1995 and section 172 of the Finance Act 1996 (c. 8)."
    },
    {
      "type": "footnote",
      "label": "f5",
      "text": "Section 636A was inserted by paragraph 7 of Schedule 11 to the Finance Act 1995, and amended by paragraph 14 of Schedule 10 to the Finance Act 1999 and paragraph 12 of Schedule 13 to the Finance Act 2000 (c. 17)."
    }
  ],
  "outstanding_effects": [
    {
      "type": "words inserted",
      "affecting": "uksi/2005/3230",
      "affecting_title": "The Tax and Civil Partnership (No. 2) Regulations 2005"
    },
    {
      "type": "words inserted",
      "affecting": "uksi/2005/3230",
      "affecting_title": "The Tax and Civil Partnership (No. 2) Regulations 2005"
    }
  ],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2001/119/regulation/14",
    "retrieved_at": "2026-10-29T08:07:00.705020+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."
}