Paragraph 12 C1

England, Wales and Scotland

(1)

Subject to the following provisions of this Schedule, a member acquires a right, when his pensionable service terminates, to the cash equivalent at the relevant date of any benefits—

(a)

which have accrued to or in respect of him under the applicable rules; . . . F1

(b)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2)

In this paragraph “the applicable rules” means—

(a)

the rules of the scheme, except so far as—

(i)

section 41A or 41B above; or

(ii)

Part I of this Schedule,

overrides them; and

(b)

any provision which the rules of the scheme do not contain but which a scheme must contain if it is to conform with the preservation requirements; and

(c)

any provision—

(i)

of section 41A or 41B above; or

(ii)

of Part I of this Schedule,

which overrides any of the rules of the scheme;

“the relevant date” means F2, subject to regulations under sub-paragraph (2C) below, the date when the member’s pensionable service terminates or the date of the relevant application, whichever is the later; and
“the relevant application” means any application which the member has made under paragraph 16 below and which he has not withdrawn.

F3(2A)

Where a member continues in employment to which a scheme applies after his pensionable service in that employment terminates—

(a)

if regulations so provide, he only acquires a right to the cash equivalent of such part of the benefits specified in sub-paragraph (1) above as may be prescribed; and

(b)

if regulations so provide, he acquires no right to a cash equivalent.

(2B)

Regulations may provide for the purposes of sub-paragraph (2A) above that in prescribed circumstances a number of employments (whether or not consecutive) shall be treated as a single employment.

F4(2C)

Regulations—

(a)

may provide that a right at the relevant date to the cash equivalent of any part of the benefits specified in sub-paragraph (1) above which but for regulations under the foregoing provisions of this paragraph a member would have on the termination of his pensionable service in an employment to which a scheme applies shall, if his employment terminates at least one year before normal pension age, accrue to him on the date when it terminates and be valued accordingly; and

(b)

may substitute, in relation to any case to which the regulations apply—

(i)

a new definition of the “relevant date” for the definition in sub-paragraph (2) above, and

(ii)

a new definition of “the last option date” for the definition in paragraph 15(2) below.

(3)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F5in sub-paragraph (2) above “the preservation requirements” means the requirements set out in Part I of Schedule 16 to the Social Security Act 1973 as the requirements of Part II of that Act relating to preservation of benefit under occupational pension schemes.

(4)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F6

Annotations

Textual amendments

F1: Sch. 1A para. 12(1)(b) and word “or” preceding it repealed (with effect from 28.2.1991) by Social Security Act 1990 (c. 27), Sch. 4, para. 5(4)(c)(iii) and Sch. 7
F2: Words inserted (with effect from 6.4.1988) by Social Security Act 1988 (c. 7), Sch. 2, para. 3(a)
F3: Sch. 1A paras. 12(2A) and (2B) inserted (with effect from 6.4.1988) by Social Security Act 1986 (c. 50), Sch. 10, para. 30(a)
F4: Sch. 1A para. 12(2C) inserted (with effect from 6.4.1988) by Social Security Act 1988 (c. 7), Sch. 2, para. 3(b)
F5: Words repealed restrospectively by Social Security Act 1986 (c. 50), Sch 10, para. 30(b)
F6: Sch. 1A para. 12(4) repealed restrospectively by Social Security Act 1986 (c. 50), Sch 10, para. 30(b)

Modifications

C1: Under reg. 3(10) of S.I. 1987/1116, Sch. 1A para. 12 has effect (27.7.1987) in relation to personal pension schemes as modified by para. 8 of Sch. 4 to that S.I.

Notes on Schedule 1A

Textual amendments

F1: Sch. 1A repealed (7.2.1994) by 1993 c. 48, s. 188(1), Sch. 5 Pt. I; S.I. 1994/86, art. 2