The Police Pension Scheme (Scotland) Regulations 2015

Made: 24th March 2015

Laid before the Scottish Parliament: 26th March 2015

Coming into force: 1st April 2015

In accordance with section 21(1) of that Act, the Scottish Ministers consulted the representatives of such persons as appeared to the Scottish Ministers likely to be affected by these Regulations.

PART 1 — Preliminary

Citation and commencement

1

These Regulations may be cited as the Police Pension Scheme (Scotland) Regulations 2015 and come into force on 1st April 2015.

Interpretation

2

In these Regulations—

• “the Act” means the Public Service Pensions Act 2013;

• “FA 2004” means the Finance Act 2004[^f00002];

• “PA 1995” means the Pensions Act 1995[^f00003];

• “PIA 1971” means the Pensions (Increase) Act 1971[^f00004];

• “PSA 1993” means the Pension Schemes Act 1993[^f00005];

• “WRPA 1999” means the Welfare Reform and Pensions Act 1999[^f00006];

• “the 2013 Regulations” means the Police Service of Scotland Regulations 2013[^f00007];

• “the 1987 scheme” means the scheme constituted by the Police Pensions Regulations 1987[^f00008];

• “1987 transition member” has the meaning given in Schedule 4;

• “the 1988 NI Police scheme” means the scheme constituted by the Royal Ulster Constabulary Pensions Regulations 1988[^f00009];

• “the 2006 scheme” means the scheme constituted by the Police Pensions Regulations (Scotland) 2007[^f00010];

• “2006 transition member” has the meaning given in Schedule 4;

• “the 2009 NI police pension scheme” means the scheme constituted by the Police Pension (Northern Ireland) Regulations 2009[^f00011];

• “the 2015 NI police pension scheme” means a scheme established under the Public Service Pensions Act (Northern Ireland) 2014[^f00012] for payment of retirement pensions to or in respect of members of the police service in Northern Ireland which comes into force on 1st April 2015;

• “the 2015 England and Wales police pension scheme” means the scheme established by the Police Pensions Regulations 2015[^f00013];

• “accrued added pension” means— accrued added (self only) pension (if any); and accrued added (all beneficiaries) pension (if any);

• “accrued added (all beneficiaries) pension”, for the purpose of calculating the amount of retirement added pension or the provisional amount of deferred added (all beneficiaries) pension, has the meaning given in regulation 36(6);

• “accrued added (self only) pension”, for the purpose of calculating the amount of retirement added pension or the provisional amount of deferred added (self only) pension, has the meaning given in regulation 36(5);

• “accrued club transfer earned pension”, for the purpose of calculating the amount of retirement earned pension or the provisional amount of deferred club transfer earned pension, has the meaning given in regulation 36(4);

• “accrued earned pension” means— in relation to this scheme— accrued standard earned pension (if any); and accrued club transfer earned pension (if any); in relation to another pension scheme or the existing police pension scheme, accrued rights to benefits under that scheme derived from— pension which is earned under that scheme; or pension which is attributable to a transfer payment received by that scheme;

• “accrued pension” means— accrued earned pension; and accrued added pension (if any);

• “accrued rights”, in relation to benefits under this scheme, does not include a right to benefits attributable (directly or indirectly) to a pension credit;

• “accrued standard earned pension”, for the purpose of calculating the amount of retirement earned pension or the provisional amount of deferred standard earned pension, has the meaning given in regulation 36(3);

• “active member”, in relation to this scheme, means a person who is in pensionable service[^f00014] under this scheme;

• “active member’s account” has the meaning given in regulation 46(2);

• “actuarial guidance” means guidance given by the Scottish Ministers after consultation with the scheme actuary;

• “actuarial reduction” has the meaning given in regulation 41(4) (actuarial reduction on early payment of pension);

• “actuarial tables” means tables determined by the Scottish Ministers after consultation with the scheme actuary;

• “added pension” means— added (self only) pension (if any); and added (all beneficiaries) pension (if any);

• “added (all beneficiaries) pension” means added pension payable in respect of a member after the member has died;

• “added (self only) pension” means added pension payable to a pensioner member;

• “adoption leave” means— for a person in service in the police force, leave taken in accordance with a determination under regulation 25(8)(c) of the 2013 Regulations; or for any other person, any period of equivalent leave taken by the person;

• “adoption support leave” means— for a person in service as a member of the police force, leave taken in accordance with a determination under regulation 25(8)(d) of the 2013 Regulations; or for any other person, any period of equivalent leave taken by the person;

• “age addition” has the meaning given in regulation 39(3);

• “amount of added pension”, in relation to a scheme year, means an amount calculated in accordance with regulation 49(7);

• “amount of credited pension” has the meaning given in regulation 62(5);

• “amount of standard earned pension”, in relation to a scheme year, means an amount calculated in accordance with regulation 49(4) (amount of pension for a scheme year);

• “annual rate”— for each description of pension, has the meaning given in Part 7 (retirement benefits); and in relation to pensionable earnings, means the amount of pensionable earnings payable for a scheme year;

• “appeal board” has the meaning given in Schedule 1 (medical decisions: appeals and reconsideration);

• “assistant inspector of constabulary” means an assistant inspector of constabulary appointed under section 72 of the Police and Fire Reform (Scotland) Act 2012[^f00015];

• “assumed age addition” has the meaning given in regulation 40(3);

• “assumed pay” except as otherwise provided in Part 10 (contributions), means the amount of pensionable earnings an active member of this scheme is taken to receive under regulation 25(2) in respect of a period of assumed pay;

• “the beginning date”, in relation to a pension not attributable (directly or indirectly) to a pension credit, means the date on which the pension is deemed to begin for the purpose of section 8(2) of PIA 1971[^f00016];

• “career break”, in relation to a member of this scheme, means a period of unpaid leave whether or not it exceeds 5 years which is agreed by the employer in accordance with a determination under regulation 25(13) of the 2013 Regulations;

• “child’s added pension” means a pension payable to an eligible child under regulation 135(4)(d);

• “child’s earned pension” means a pension payable to an eligible child under regulation 135(4)(a);

• “child’s enhanced upper tier ill-health pension” means a pension payable to an eligible child under regulation 135(4)(c);

• “child’s lower tier ill-health pension” means a pension payable to an eligible child under regulation 135(4)(b);

• “closing date”, in relation to a transition member, has the meaning given in paragraph 1 of Schedule 4 (transitional provisions);

• “club scheme” has the meaning given in Part 11 (transfers);

• “club transfer arrangements” has the meaning given in Part 11;

• “club transfer earned pension” means pension attributable to receipt of a club transfer value payment;

• “club transfer value” has the meaning given in Part 11;

• “club transfer value payment” has the meaning given in Part 11;

• “the commutation amount” means the amount of pension exchanged for a lump sum as a result of the exercise of the option to exchange part of a pension for a lump sum— exercisable under regulation 114 (option to commute part of a pension) in relation to a retirement pension; or exercisable under regulation 121 (option for pension credit member to commute part of pension) in relation to a pension credit member’s pension;

• “connected scheme” means another statutory pension scheme that is connected, within the meaning of section 4(6) of the Act, with this scheme;

• “continuity of service”— in relation to service in the 1987 scheme and this scheme, has the meaning given in paragraph 4 of Schedule 4; and in relation to service in the 2006 scheme and this scheme, has the meaning given in paragraph 5 of that Schedule;

• “continuous period of pensionable service”, in relation to this scheme, means a period of pensionable service under this scheme disregarding any gap in service not exceeding 5 years;

• “death benefits” means benefits payable under Part 9 (death benefits);

• “death gratuity” means a gratuity paid under Chapter 8 of Part 9 (death benefits);

• “deferred member”, in relation to this scheme, has the meaning given in regulation 34;

• “deferred member’s account” has the meaning given in regulation 55(3);

• “description of accrued pension” means accrued pension of a description mentioned in regulation 35;

• “description of deferred added pension” means— deferred added (all beneficiaries) pension; or deferred added (self only) pension;

• “description of deferred earned pension” means— deferred standard earned pension; deferred club transfer earned pension;

• “description of deferred pension” means— deferred standard earned pension; deferred club transfer earned pension; deferred added (all beneficiaries) pension; or deferred added (self only) pension;

• “description of pension” means— standard earned pension; transferred pension; club transfer earned pension; added (all beneficiaries) pension; or added (self only) pension;

• “dual capacity member” has the meaning given in regulation 189;

• “duly qualified medical practitioner” means a registered medical practitioner who holds— the minimum qualification of Associate of the Faculty of Occupational Medicine or the equivalent EEA qualification; or any other equivalent qualification acceptable to the scheme manager;

• “early payment reduction” has the meaning given in regulation 41(4) (actuarial reduction on early payment of pension);

• “eligible child” has the meaning given in regulation 134;

• “eligible child’s pension” has the meaning given in regulation 133;

• “eligible service” has the meaning given in regulation 12;

• “employment” includes an office or appointment and related expressions are to be read accordingly;

• “employer” means— for a member of the police force, the Scottish Police Authority; for an inspector of constabulary, the Scottish Ministers;

• “enhanced upper tier ill-health pension” means a pension payable to a member who meets the upper tier threshold;

• “the existing England and Wales police pension scheme” means the scheme constituted by the Police Pensions Regulations 2006[^f00017]

• “the existing NI police pension scheme” means— for a 1987 transition member, the 1988 NI Police Pension scheme; for a 2006 transition member, the 2009 NI police pension scheme;

• “the existing police pension scheme” means— the 1987 scheme; or the 2006 scheme;

• “final pay” has the meaning given in regulation 149;

• “first day of eligible service” has the meaning given in regulation 16;

• “full retirement pension” means the following pensions payable under Chapter 2 of Part 7 (full retirement benefits)— a retirement earned pension; and a retirement added pension (if any);

• “full retirement pension which comes into payment early on grounds of permanent medical unfitness”, in relation to a member of this scheme, means a full retirement pension to which the member becomes entitled under regulation 81(3) (entitlement to full retirement pension (deferred pension));

• “gap in service”, in relation to service in this scheme, means any period after a member’s first day of eligible service— in which the member is not in eligible service; or in respect of which the member is opted out of this scheme under Chapter 2 of Part 4;

• “guaranteed minimum” means the guaranteed minimum as defined in sections 14 and 17 of PSA 1993 (minimum pensions for earners, widows and widowers)— as increased in accordance with the requirements of section 109 of that Act (annual increase of minimum pensions); and if a reduction has been made under section 15A of that Act (reduction of guaranteed minimum in consequence of pension debit), as reduced in accordance with that section;

• “guaranteed minimum pension” has the meaning given in section 8(2) of PSA 1993;

• “ill-health benefits” means— an ill-health pension; or a full retirement pension which comes into payment early on grounds of permanent medical unfitness;

• “ill-health pension” means— for a transition member with continuity of service, a transition member’s ill-health pension payable under paragraph 23 of Schedule 4 (transitional provisions); otherwise, a lower tier ill-health pension and an enhanced upper tier ill-health pension (if applicable) payable under Part 7 (retirement benefits);

• “ill-health pension under this scheme” means a lower tier ill-health pension and if applicable an enhanced upper tier ill-health pension payable under Part 7;

• “index adjustment” means— in relation to the opening balance of earned pension other than club transfer earned pension for any scheme year, the change in prices in that scheme year[^f00018], plus 1.25%; and in relation to the opening balance of club transfer earned pension for any scheme year, the in-service revaluation index that the sending scheme would have applied to that amount of earned pension for that scheme year, had the earned pension not been transferred;

• “injury received in the execution of duty” has the meaning given in regulation 6 of the Police (Injury Benefit) (Scotland) Regulations 2007[^f00019] and “the result of an injury” is construed in accordance with regulation 8 of those Regulations;

• “Injury Benefits Regulations” means— the Police (Injury Benefit) (Scotland) Regulations 2007; or scheme regulations providing for payment of injury benefits to members of the police force;

• “in-service revaluation index”, in relation to a pension scheme, means the percentage increase or decrease by which the pensionable earnings of a person, or a proportion of those earnings accrued as a pension, are revalued whilst the person is in pensionable service in that pension scheme;

• “inspector of constabulary” means an inspector of constabulary appointed under section 71 of the Police and Fire Reform (Scotland) Act 2012 or an assistant inspector of constabulary;

• “last active scheme year” means the scheme year in which an active member of this scheme ceases to be in pensionable service under this scheme;

• “last day of pensionable service” means the last day of a continuous period of pensionable service under this scheme;

• “the leaving year” means the scheme year in which the last day of pensionable service falls;

• “lower tier ill-health pension” means a pension payable under Part 7 to a member who meets the lower tier threshold;

• “lower tier threshold”, in relation to entitlement to payment of an ill-health pension, has the meaning given in regulation 91 (payment thresholds);

• “lump sum death grant” means a lump sum paid under Chapter 6 of Part 9 (death benefits) on the death of a member;

• “maternity leave” means— for a person in service in the police force, leave taken in accordance with a determination under regulation 25(7) of the 2013 Regulations; or for any other person, any period of equivalent leave taken by the person;

• “maternity support leave” means— for a person in service in the police force, leave taken in accordance with a determination under regulation 25(8)(a) of the 2013 Regulations; or for any other person in service, any period of equivalent leave;

• “member”, in relation to this scheme, means an active member, deferred member, pensioner member or pension credit member of this scheme;

• “member of the police force” includes a former member of the police force;

• “member of a police force”, in relation to England and Wales, has the meaning given in regulation 2 of the 2015 England and Wales police pension scheme;

• “member contributions” has the meaning given in Part 10 (contributions);

• “normal minimum pension age” has the same meaning as in section 279(1) of FA 2004;

• “occupational pension scheme” has the meaning given in section 1 of PSA 1993;

• “opening balance”, in relation to a description of pension for a scheme year, has the meaning given in regulation 50(3);

• “parental leave” means— for a person in service in the police force, leave taken in accordance with a determination under regulation 25(8)(b) of the 2013 Regulations; or for any other person, any period of equivalent leave taken by the person;

• “part-time service” means— in relation to a member of the police force, service by a person appointed under regulation 3 of the 2013 Regulations; or in relation to any other person, part-time service under the member’s terms and conditions of employment;

• “pay period” means the period in respect of which a payment of pensionable earnings is made;

• “payments for added pension” means payments resulting from the exercise of the added pension option under Schedule 3;

• “pension credit” has the meaning given in section 124(1) of PA 1995;

• “pension credit member”, in relation to this scheme, means a person who has rights under this scheme which are attributable (directly or indirectly) to a pension credit under a pension sharing order following divorce or nullity of marriage;

• “pension credit member’s account” has the meaning given in regulation 62;

• “pension credit member’s pension” means a pension payable under regulation 116;

• “pension debit” means a debit under section 29(1)(a) of WRPA 1999;