Made | 4th May 2007 | ||
Coming into operation | 1st June 2007 |
(3) References in these Regulations to—
Transferable rights
2.
—(1) In these Regulations, "transferable rights" means, subject to paragraph (2), any rights to relevant benefits, which, at the guarantee date, have accrued to, or in respect of, a person by virtue of—
(2) Paragraph (1) does not include—
(b) the cash equivalent of the value of the appropriate national health service allocation under section 142 of the Social Security Administration (Northern Ireland) Act 1992[10] (destination of contributions).
(3) In determining a person's rights to relevant benefits for the purposes of this regulation, regulation 6(1) of the Social Security (Widow's Benefit and Retirement Pensions) Regulations (Northern Ireland) 1979[11] (benefit at reduced rates for those who do not satisfy contribution conditions in full) shall have effect as if the words from "provided" to the end of the paragraph were omitted.
Transfer application
3.
—(1) Except where paragraph (2) applies, a person who wishes to transfer his transferable rights to the Communities' scheme must make an application to the Department.
(2) The transferor shall be treated as having made an application under paragraph (1) where the Department receives a copy of the transferor's application to become a member of the Communities' scheme.
(3) An application under paragraph (1) shall be in such form as the Department may from time to time approve.
Statement of entitlement
4.
—(1) Subject to paragraph (4), the Department shall provide the transferor with a statement of entitlement before the end of the period of 14 days beginning with the guarantee date.
(2) A statement of entitlement shall remain valid for a period of seven months beginning with the day on which it is issued by the Department.
(3) Where the transferor is not satisfied as to the accuracy of any of the information contained in the statement of entitlement, he shall notify the Department accordingly within one month of receiving it.
(4) The Department need not provide a statement of entitlement to a transferor if it has provided a statement of entitlement to that transferor in the previous twelve months.
Calculation of the cash equivalent of transferable rights
5.
—(1) The cash equivalent of the transferor's transferable rights is to be calculated and verified in such manner as may be approved by or on behalf of the Government Actuary.
(2) Where, at the guarantee date, the transferor is in receipt of one or more relevant benefits, the cash equivalent of any amounts paid in respect of that benefit or those benefits shall be deducted from the total cash equivalent of his transferable rights.
Notice of intention to complete transfer
6.
A transfer of a transferor's transferable rights to the Communities' scheme may only take place where the Department has been notified in writing, before the expiry of the period referred to in regulation 4(2), that the transferor wishes the transfer to take place.
Action to be taken by the Department
7.
—(1) Paragraphs (2) and (3) apply where the Department receives a notice under regulation 6.
(2) Where the Department is satisfied that the cash equivalent of the transferor's transferable rights is correct, it must transfer into the Communities' scheme—
before the end of the period of ten months beginning with the guarantee date.
(3) Where the Department is not satisfied as to the accuracy of the cash equivalent of the transferor's transferable rights, it shall notify the transferor accordingly and issue a revised statement of entitlement.
(4) Where—
it shall notify the transferor that his application is invalid and that a new application must be made and a new statement of entitlement obtained in accordance with the provisions of these Regulations.
Effect of making a cash equivalent transfer payment
8.
—(1) This regulation applies where the cash equivalent of the transferor's transferable rights has been transferred into the Communities' scheme.
(2) Section 22(4) of the 1992 Act[12] (earnings factors) shall be read as if it included the following—
(3) Nothing in the 1992 Act or in regulations made under it shall operate—
(4) Where the transferor returns to work in the United Kingdom he shall not be entitled to credits under—
(5) Where, at the date on which the cash equivalent of his transferable rights was paid, a transferor's former spouse or civil partner is treating the contributions of the transferor as if they were his own contributions in accordance with section 48 of the 1992 Act (use of former spouse's contributions), that transfer shall not have the effect of causing such a former spouse or civil partner's Category A pension to be re-calculated.
Incorrect amount transferred
9.
—(1) Paragraph (2) applies where—
(2) The Department shall transfer into the Communities' scheme an amount equal to the difference between—
Interest
10.
—(1) Interest shall accrue on the cash equivalent of the transferor's transferable rights in respect of the period beginning on the guarantee date and ending on the day on which an amount in respect of that cash equivalent is transferred by virtue of regulation 7(2).
(2) Interest shall accrue under paragraph (1) at an annual rate to be determined by the Department on the advice of the Government Actuary.
Time limits
11.
The periods specified in regulations 4, 6 and 7 may be extended by the Department if it considers it reasonable to do so in any particular case.
Sealed with the Official Seal of the Department for Social Development on
4th May 2007
L.S.
John O'Neill
A senior officer of the Department for Social Development
[4] Council Regulation (EEC, Euratom, ECSC) No. 259/68 of 29th February 1968 (O.J. No. L 56, 4.3.68 SE 1968 p.1, 1 December 1972). The Communities' Scheme is contained in Title V, Chapter 3, Articles 77-84 and Annex VIIIback
[5] 1966 c. 6 (N.I.); sections 35 and 36 were repealed by the Social Security Act 1973 (c. 38) but are continued in force by regulation 2 of S.R. 1978 No. 105back
[6] S.I. 1995/2705 (N.I. 15); Article 3(2) was amended by paragraph 3(2) of Schedule 7 to the Welfare Reform and Pensions (Northern Ireland) Order 1999 (S.I. 1999/3147 (N.I. 11)); Article 4 was amended by paragraph 102 of Schedule 6 to the Social Security (Northern Ireland) Order 1998 (S.I. 1998/1506 (N.I. 10)), paragraph 4 of Schedule 7 to the Welfare Reform and Pensions (Northern Ireland) Order 1999 and paragraph 46 of Schedule 1 to the National Insurance Contributions Act 2002 (c. 19)back
[8] Section 48 was amended by paragraph 78 of Schedule 24 to the Civil Partnership Act 2004 (c. 33)back
[9] Section 82 was amended by paragraph 7 of Schedule 2 and Schedule 3 to the Jobseekers (Northern Ireland) Order 1995, paragraph 89 of Schedule 24 to the Civil Partnership Act 2004 and paragraph 31 of Schedule 1 to the Child Benefit Act 2005 (c. 6); section 83 was amended by paragraph 20 of Schedule 1 and Schedule 2 to the Social Security (Incapacity for Work) (Northern Ireland) Order 1994 (S.I. 1994/1898 (N.I. 12)); section 84 was amended by paragraph 8 of Schedule 2 to the Jobseekers (Northern Ireland) Order 1995; section 85 was amended by paragraph 22 of Schedule 1 and Schedule 2 to the Social Security (Incapacity for Work) (Northern Ireland) Order 1994, paragraphs 14(d) and 18(10) of Schedule 2 to the Pensions (Northern Ireland) Order 1995 (S.I. 1995/3213 (N.I. 22)), paragraph 91 of Schedule 24 and Schedule 30 to the Civil Partnership Act 2004 and paragraph 32 of Schedule 1 to the Child Benefit Act 2005; section 86 was repealed by Schedule 2 to the Social Security (Incapacity for Work) (Northern Ireland) Order 1994; section 86A was inserted by Article 4(4) of the Social Security (Incapacity for Work) (Northern Ireland) Order 1994back
[10] Section 142 was amended by Article 4 of the Social Security (Contributions) (Northern Ireland) Order 1994 (S.I. 1994/765 (N.I. 4)), Schedule 2 to the Social Security Administration (Fraud) Act 1997 (c. 47), Article 61(2) of, and paragraph 77 of Schedule 6 to, the Social Security (Northern Ireland) Order 1998, paragraph 31 of Schedule 1, paragraph 45 of Schedule 3 and paragraph 11 of Schedule 4 to the Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 (S.I. 1999/671), paragraph 9 of Schedule 10 to the Welfare Reform and Pensions Act 1999 (c. 30), section 5 of, and paragraph 34 of Schedule 1 and Schedule 2 to, the National Insurance Contributions Act 2002, paragraph 206 of Schedule 6 to the Income Tax (Earnings and Pensions) Act 2003 (c. 1) and paragraph 4(3) of Schedule 1 to the National Insurance Contributions and Statutory Payments Act 2004 (c. 3)back
[11] S.R. 1979 No. 243; regulation 6(1) was substituted by regulation 2(2) of S.R. 1990 No. 452 and amended by regulation 8(3)(a) of S.R. 2001 No. 108back
[12] Subsection (4) was amended by paragraph 43 of Schedule 6 to the Social Security (Northern Ireland) Order 1998back
[13] Paragraph 5(3) was amended by Article 126 of the Pensions (Northern Ireland) Order 1995back
[14] S.R. 1975 No. 113; regulation 4 was amended by regulation 2(5)(a) of S.R. 1988 No. 326 and regulation 3(4) of S.R. 2001 No. 108back
[15] S.I. 1975/556; regulation 4 was amended by regulation 2(5)(a) of S.I. 1988/1545 and regulation 3(4) of S.I. 2000/1483back