Q&As

If a member of a contracted-out scheme has died and is due arrears of payments to equalise for the effect of their unequal GMP what are the specific provisions of the Finance Act 2004 (or regulations made under it) by which the payment of such arrears would be considered an authorised payment? and; to whom such arrears can be paid as an authorised payment? Can such arrears be paid to someone other than the original member’s personal representatives?

read titleRead full title

Published by a ÀÏ˾»úÎçÒ¹¸£Àû Pensions expert
Published on: 14 January 2025
imgtext

While Part 4 of the Finance Act 2004 states the broad rules under which authorised payments can and cannot be made by registered pension schemes, the Registered Pension Schemes (Authorised Payments) Regulations 2009, SI 2009/1171 provide for some exceptions to these rules. See the Registered Pension Schemes (Authorised Payments) Regulations 2009, SI 2009/1171, regs 3 and 4.

In its GMP Newsletter (dated July 2020), HMRC confirms that, in circumstances where benefits need to be adjusted for GMP equalisation, the adjustments may be paid as an authorised lump sum following the death of a member using the provisions in the Registered Pension Schemes (Authorised

Powered by Lexis+®
Jurisdiction(s):
United Kingdom

Popular documents

Bulk transfers between occupational pension schemes—an introduction

Bulk transfers between occupational pension schemes—an introductionFORTHCOMING DEVELOPMENT: Further to the Spring Budget of 15 March 2023, the Finance (No.2) Act 2023 removed the lifetime allowance charge with effect from 6 April 2023, pending the abolition of the lifetime allowance regime through

Abolition of DC contracting-out

Abolition of DC contracting-outContracting-out on a money purchase basis before 6 April 2012Contracting-out was the mechanism whereby an individual (whether employed or self-employed) could elect to forgo accrual of the element of the State pension which, before 6 April 2016, was known as the

Early leavers—revaluation

Early leavers—revaluationFORTHCOMING DEVELOPMENT: Section 10 of the Finance Act 2022 will increase the normal minimum pension age (NMPA) from 55 to 57 on 6 April 2028 (save for members of the firefighters, police and armed forces public service pension schemes).The Finance Act 2022 will also give

Anti-franking

Anti-frankingThe conceptIt used to be the case that contracted-out salary-related (COSR) schemes could revalue a deferred member's guaranteed minimum pension (GMP) without increasing the overall deferred pension. The pension in excess of the GMP was effectively reduced so that the overall deferred