Regulations that bring various provisions of the Pensions Act 2008 have been made. Under these regulations some provisions, including section 132, of the Pensions Act 2008 come into force on 26 January 2009. Section 132 allows the Pensions Regulator to intervene if a pension scheme’s technical provisions are improperly determined.
Some other section of the Pensions Act 2008 are also brought into force on 6 April 2009. These include provisions that:
- abolish safeguarded rights;
- reduce the cap on statutory revaluation of deferred pension benefits from 5% to 2.5%;
- amend section 37 of the Pensions Act 1995 to allow a return of non-surplus payments to employers; and repeal safeguarded rights.
Comment: Consideration will need to be given to scheme rules and the Consultation Regulations 2006 in relation to introducing revaluation at 2.5%