Regulation 2 Requirements to be met by receiving arrangements

(1)

The prescribed circumstances referred to in section 95(5A) of the 1993 Act (prescribed circumstances regarding the construction of section 95(2A)) are that a member of an unfunded public service defined benefits scheme who has acquired a right to a cash equivalent has required the managers of the scheme to use the cash equivalent for subscribing to an overseas arrangement^f1.

(2)

The prescribed requirements referred to in section 95(2A)(d) of the 1993 Act (cash equivalent to be used for subscribing to pension arrangements not mentioned in section 95(2A)(a) to (c)) are that the pension arrangement to which it is proposed to subscribe—

(a)

is an overseas arrangement;

(b)

if the cash equivalent is or includes the cash equivalent of accrued section 9(2B) rights, is one to which a transfer payment in respect of such rights may be made in accordance with regulation 11 of the 1996 Regulations (transfer payments to overseas schemes or arrangements in respect of section 9(2B) rights)^f2;

(c)

if the scheme from which rights are transferred is registered under section 153 of the Finance Act 2004 (registration of pension schemes)^f3, is a qualifying recognised overseas pension scheme as defined in section 169(2) of the Finance Act 2004 (recognised transfers)^f4; and

(d)

may only provide benefits by virtue of the subscription that are not flexible benefits^f5.

Annotations

Footnotes

f1: In these Regulations “unfunded public service defined benefits scheme” has the meaning given in section 95(2C) of the 1993 Act (ways of taking right to cash equivalent).
f2: Regulation 11 was amended by S.I. 2005/555.
f3: 2004 c. 12; section 153 was amended by the Finance Act 2005 (c. 7) Schedule 10, paragraphs 2 and 3, and the Finance Act 2014 (c. 26), Schedule 7, paragraph 2.
f4: Section 169(2) was amended by the Finance Act 2013 (c. 29), section 53(3).
f5: In these Regulations “flexible benefit” has the meaning given in section 100D of the 1993 Act (interpretation of Chapter).