Statutory Rules of Northern Ireland

(i) after the definition of "tax year", add the following definition—

" (f) whether a pension commencement lump sum is to be paid and if so, the amount of such sum.".

(c) for paragraph (7) substitute the following paragraph—

(a) out of the amount obtained make any payment of a pension commencement lump sum in accordance with the election, and

(b) apply the balance of the amount obtained to the purchase of a pension policy from an authorised provider chosen by the participator to provide the benefits specified in the election.".

(d) for paragraph (11) substitute the following paragraph—

" (b) has attained the age of 55 if he is a post 5th April 2006 entrant or the age of 50 in any other case,";

(b) in sub-paragraph (7)(c) for "has ceased after attaining the age of 50" substitute "has ceased after attaining that age".

(c) after paragraph (7) insert the following paragraphs—

(a) he enters pensionable employment for the first time after 5th April 2006,or

(b) he enters pensionable employment after 5th April 2006 having previously been in pensionable employment where—


(i) the previous period of pensionable employment ended on or before the 5th April 2006, and

(ii) a cash equivalent transfer value or a transfer value under Part F had been paid in respect of that employment, or the person has been repaid the balance of his contributions relating to that pensionable employment under regulation C9.

    (7AB) A person is not however a post-5th April 2006 entrant (even if he falls within paragraph (7AA)) if—

(a) he was in comparable service on or before 5th April 2006, and

(b) neither a cash equivalent transfer value nor a transfer value has been paid in respect of that service (other than a cash equivalent transfer value or a transfer value accepted by the Department) nor has the balance of his contributions relating to that service been repaid.".

(i) omit "or" at the end of sub-paragraph (a), and

(ii) omit sub-paragraph (b).

(b) in paragraph (6)(b) after "having attained that age" insert "but not having attained the age of 23";

(c) for paragraph (6)(c) substitute the following paragraph—

" (c) was, at the date of death of the person referred to in paragraph (5), dependent on that person because he was incapacitated.";

(d) after paragraph (10) insert the following paragraphs—

(a) a child who was entitled to a pension under regulations E24 to E30 on 5th April 2006, and

(b) provision to or for the benefit of a child of a person who was entitled to payment of retirement benefits under regulation E4 on 5th April 2006,

paragraphs (5) and (6) shall have effect with the modifications specified in paragraph (11).

    (12) The modifications are—

(a) in paragraph (5) at the end insert "or accepted by him as a member of the family and wholly or mainly dependent on him";

(b) in paragraph (6)—


(i) omit "but not having attained the age of 23" in sub-paragraph (b), and

(ii) for sub-paragraph (c) substitute the following sub-paragraph—


" (c) having ceased while incapacitated to fall within sub-paragraph (a) or (b), he continues to be incapacitated.".".

(a) amendments changing references to schemes approved under various provisions of the Income and Corporation Taxes Act 1988 ("the Taxes Act") to references to registered pension schemes; in consequence the provisions relating to transfers are simplified (Regulations 3, 6 and 7), and

(b) amendments reflecting the provisions in the Finance Act 2004 under which small pensions can be commuted to a lump sum (Regulations 8(d) and 9).

Amendment of the 1998 Regulations
Regulation 16 amends regulation E4 of the 1998 Regulations to increase the age at which a person can retire early on the basis of redundancy or in the interests of the efficient discharge of his employer's functions from 50 to 55 where the person is a "post-5th April 2006 entrant" as defined.

Regulation 18 amends regulation E22 of the 1998 Regulations so as to change the meaning of "child". The effect of regulation 18(d) is that these changes do not apply where the child is in receipt of benefits under the 1998 Regulations on 5th April 2006 or to the child of a person who had retired on or before 5th April 2006.

Regulation 23 amends the date by which persons may be able to elect that the Teachers' Superannuation (Amendment) (No. 2) Regulations (Northern Ireland) 2005 do not apply if the effect is that the person is placed in a worse position.

Again the other amendments are minor amendments consequential on the new taxation provisions and the provisions specified above. These include—

(a) amendments referring to provisions in the Finance Act 2004 under which small pensions can be commuted to a lump sum (regulation 17), and

(b) amendments changing references to schemes approved under various provisions of the Taxes Act to references to a registered pension scheme; this has meant some simplification to provisions relating to transfers (regulations 19, 20 and 22), including an express provision preventing the acceptance of a transfer value from certain schemes which are money purchase arrangements and which provide additional benefits (regulations 20(c) and (d)).

General
Regulation 24 makes provision for persons to elect that the amendments made by these Regulations do not apply if the effect is that the person is placed in a worse position.