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Explanatory note

Original text. Later amendments are not shown.

These Rules replace, and extend, the Superannuation (Local Government and Public Boards) Interchange Rules 1949 and 1955, which provided for the interchange of superannuation rights between local government employment and employment by certain public authorities who maintain pension schemes.

The Rules prescribe the action to be taken by a person who wishes to take advantage of the Rules, and in particular provide for—

  1. (i)

    the payment of appropriate transfer values;

  2. (ii)

    the repayment of returned contributions;

  3. (iii)

    the exercise of discretionary powers by local authorities when a person leaves local government employment and enters other specified employment;

  4. (iv)

    the reckoning of previous pensionable service in other specified employment;

  5. (v)

    the continuation of voluntary contributions;

  6. (vi)

    preservation of rights in respect of earlier local government employment when a person re-enters local government employment.

The principal changes from the previous Rules are that—

  1. (a)

    the bodies and pension schemes to which the rules apply are listed (in schedules 1 to 4);

  2. (b)

    provision is made for transfers involving employment by a body with “fractional” or “unequal” pension schemes—that is to say, schemes which are not actuarially equivalent to the local government scheme: employment subject to such schemes can be reckoned in the local government scheme at adjusted length;

  3. (c)

    a person transferring from certain employment subject to an “unequal” scheme may make payments to enhance his reckonable service;

  4. (d)

    any time limits prescribed by the Rules can be extended by the authority or authorities concerned;

  5. (e)

    a person can in certain circumstances be required to pay interest on returned contributions held by him.

The Rules are given retrospective effect to a limited extent under the express power of, and subject to the safeguards required by, section 2(5) of the Superannuation (Miscellaneous Provisions) Act 1948.