Regulation 2 Prescribed authorised member payment relating to inherited estate on reattribution

For the purposes of section 164(f) of the Finance Act 2004 (authorised member payments) a payment made by a registered pension scheme to or in respect of a person who is or has been a member of the pension scheme is of a description that is prescribed if the payment meets conditions A, B and C.

Condition A is that the payment is made as part of a scheme which—

Condition B is that the payment is made to or in respect of the registered pension scheme’s with-profits policyholders in exchange for giving up rights and interests over the inherited estate.

Condition C is that the payment does not reduce the total value of the sums and assets held for the purposes of the registered pension scheme.

In this regulation—

• “inherited estate” has the same meaning as in the Conduct of Business sourcebook issued by the Financial Services Authority^f1;

  a “reattribution” means a redefinition of rights and interests of the with-profits policyholders mentioned in paragraph (3) over the inherited estate; and

• “with-profits business” has the same meaning as in the Conduct of Business sourcebook issued by the Financial Services Authority.