Regulation 9 Payments to or in respect of members who were untraceable

(1)

A payment made to or in respect of a member who has reached the age of 75 if—

(a)

at the time the member reached the age of 75 the scheme administrator had been unable to ascertain the member’s whereabouts despite having taken reasonable steps to do so;

(b)

the scheme administrator had received no communication from the member for at least 5 years before the date on which the scheme administrator had discovered the member’s whereabouts or, if the member had died, had learned of the death;

(c)

either of the conditions in paragraph (2) is satisfied;

(d)

the payment is made no later than the relevant date;

(e)

the payment does not exceed £2,000; and

(f)

the payment—

(i)

extinguishes the member’s entitlement to benefits under the pension scheme, or

(ii)

if made after the member’s death, represents the total value of all sums and assets held for the purposes of the scheme in respect of the member.

(2)

The conditions mentioned in paragraph (1)(c) are—

(a)

paragraph 8(2) of Schedule 28 (member’s unsecured pension fund) applies in relation to the member and the arrangement and none of the sums or assets held for the purposes of the arrangement are member-designated funds^f1 immediately before it applies;

(b)

the arrangement is a defined benefits arrangement^f2 and no scheme pension is being paid to the member by the scheme making the payment or any related scheme.

(3)

For the purposes of paragraph (1)(d) the relevant date is the later of—

(a)

1st June 2010; and

(b)

12 months after the date on which the scheme administrator had discovered the member’s whereabouts or, if the member had died, had learned of the death.

Annotations

Footnotes

f1: Paragraph 8(1A) of Schedule 28 to the Finance Act 2004, which was inserted by paragraph 18 of Schedule 10 to the Finance Act 2005, specifies what sums or assets are member-designated funds.
f2: Section 152(6) of the Finance Act 2004 defines “defined benefits arrangement”.