Ministerial and other Pensions and Salaries Act 1991



Ministerial and otherPensions and Salaries Act1991

1991 CHAPTER 5

An Act to make new provision with respect to the pensions payable to or in respect of persons who have held the office of Prime Minister and First Lord of the Treasury, Speaker of the House of Commons or Lord Chancellor; to relate the salary of the Lord Chancellor to that of the Lord Chief Justice; to provide for the making of grants to persons ceasing to hold ministerial and certain other offices and the payment of an allowance to persons holding those offices who are members of the House of Lords; to make new provision for determining the Exchequer contributions to the Parliamentary Contributory Pension Fund; and to extend the purposes for which payments can be made under section 4(1) of the House of Commons Members' Fund Act 1948.

[28th February 1991]

B E IT ENACTED by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows—

S-1 Pensions of Prime Minister, Speaker and Lord Chancellor.

1 Pensions of Prime Minister, Speaker and Lord Chancellor.

(1) For subsections (3) and (4) of section 26 of the Parliamentary and other Pensions Act 1972 (pensions of Prime Minister and Speaker) there shall be substituted—

(3) Subject to section 31 of this Act, the annual amount of a pension payable to a person under this section in respect of the office of Prime Minister and First Lord of the Treasury shall be equal to one-half of the annual amount of the salary payable in respect of that office at the time when that person ceases to hold it.

(4) Subject to section 31 of this Act, the annual amount of a pension payable to a person under this section in respect of the office of Speaker of the House of Commons shall be equal to one-half of the annual amount of the salary payable in respect of that office at the time when that person ceases to hold it.’

(2) For section 28(1) of that Act (pension of Lord Chancellor) there shall be substituted—

(1) Subject to section 31 of this Act, the annual amount of any pension granted under section 3 of the Lord Chancellor's Pension Act 1832 shall, in the case of a person resigning the office of Lord Chancellor, be equal to the aggregate of one-half of the annual amount of the salary payable in respect of his tenure of that office and one-half of the annual amount of the salary payable to him as Speaker of the House of Lords at the time when he ceases to hold those offices.’

(3) Sections 27(4) and 29 of that Act (which become unnecessary in consequence of the foregoing provisions) are hereby repealed.

(4) The foregoing provisions of this section apply to persons ceasing to hold the office of Prime Minister and First Lord of the Treasury, Speaker of the House of Commons or Lord Chancellor after the passing of this Act.

(5) The annual amount of the pension which at the passing of this Act is payable under—

(a) section 26(3) of the said Act of 1972; or

(b) section 3 of the Ministerial Salaries Consolidation Act 1965 ,

to a person who has ceased to be Prime Minister and First Lord of the Treasury before that time shall be increased by the sum required to bring that amount up to what it would be by virtue of the foregoing provisions of this section if he had ceased to hold those offices immediately after the passing of this Act.

S-2 Participation of Prime Minister and Speaker in Parliamentary Contributory Pension Fund.

2 Participation of Prime Minister and Speaker in Parliamentary Contributory Pension Fund.

(1) In section 2(3) of the Parliamentary and other Pensions Act 1987 (no pensions payable for or in respect of persons with service as Prime Minister and First Lord of the Treasury or Speaker of the House of Commons) for the words from ‘Prime Minister’ onwards there shall be substituted the words ‘; and regulations under this section shall not provide for the application of any of the assets of the Fund in or towards the provision of pensions for or in respect of any person with service as Prime Minister and First Lord of the Treasury or Speaker of the House of Commons unless he has in accordance with the regulations elected to contribute to the Fund out of his remuneration as a Member of that House while holding that office.’

(2) Regulations under section 2 of that Act applying to a person who has made an election by virtue of subsection (1) above shall not enable any pension for or in respect of that person to be calculated by reference to service as a Member of the House of Commons before the passing of this Act.

S-3 Lord Chancellor's salary.

3 Lord Chancellor's salary.

(1) In subsection (2) of section 1 of the Ministerial and other Salaries Act 1975 (salary of Lord Chancellor) as amended by the Lord Chancellor's Salary Order 1989 for ‘91,500 a year’ there shall be substituted ‘2,000 a year more than the salary for the time being payable to the Lord Chief Justice’.

(2) In subsection (4) of that section (power to increase salaries by Order in Council subject to affirmative procedure) for the words ‘by subsection (2) or (3) above’ there shall be substituted the words ‘by subsection (2) above as the annual amount by which the salary is to exceed that of the Lord Chief Justice or by subsection (3) above’.

S-4 Grants to persons ceasing to hold ministerial and other offices.

4 Grants to persons ceasing to hold ministerial and other offices.

(1) Where a person who has not attained the age of sixty-five—

(a) ceases at any time (‘the material time’) after the passing of this Act to hold a relevant office; and

(b) does not again become the holder of a relevant office within the period of three weeks beginning at the material time,

he shall be entitled to a payment under this section.

(2) Subject to subsection (3) below, the amount of the payment to which a person who has ceased to hold a relevant office is entitled under this section is an amount equal to one-quarter of the...

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