Pensions Act 2011

JurisdictionUK Non-devolved
Citation2011 c. 19


Pensions Act 2011

2011 CHAPTER 19

An Act to make provision relating to pensions; and for connected purposes.

[3rd November 2011]

Be 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:-

1 State pension

Part 1

State pension

S-1 Equalisation of and increase in pensionable age for men and women

1 Equalisation of and increase in pensionable age for men and women

(1) In Schedule 4 to the Pensions Act 1995 (equalisation of and increase in pensionable age for men and women) paragraph 1 is amended as follows.

(2) In sub-paragraph (1) for "6th April 1959" substitute "6th December 1953".

(3) Omit sub-paragraph (4).

(4) In table 1 for the entries (in both columns) relating to each of the periods from "6th April 1953 to 5th May 1953" to "6th March 1955 to 5th April 1955" substitute-

"6th April 1953 to 5th May 1953

6th July 2016

6th May 1953 to 5th June 1953

6th November 2016

6th June 1953 to 5th July 1953

6th March 2017

6th July 1953 to 5th August 1953

6th July 2017

6th August 1953 to 5th September 1953

6th November 2017

6th September 1953 to 5th October 1953

6th March 2018

6th October 1953 to 5th November 1953

6th July 2018

6th November 1953 to 5th December 1953

6th November 2018"

(5) For table 2 substitute-

"TABLE 2

(1)

(2)

Period within which birthday falls

Day pensionable age attained

6th December 1953 to 5th January 1954

6th March 2019

6th January 1954 to 5th February 1954

6th May 2019

6th February 1954 to 5th March 1954

6th July 2019

6th March 1954 to 5th April 1954

6th September 2019

6th April 1954 to 5th May 1954

6th November 2019

6th May 1954 to 5th June 1954

6th January 2020

6th June 1954 to 5th July 1954

6th March 2020

6th July 1954 to 5th August 1954

6th May 2020

6th August 1954 to 5th September 1954

6th July 2020

6th September 1954 to 5th October 1954

6th September 2020"

(6) In sub-paragraph (6) for "5th April 1960" substitute "5th October 1954".

(7) Schedule 1 (equalisation of and increase in pensionable age for men and women: consequential amendments) has effect.

S-2 Abolition of certain additions to the state pension

2 Abolition of certain additions to the state pension

(1) In section 150 of the Social Security Administration Act 1992 (annual up-rating of benefits)-

(a) in subsection (1)(e)(i) for "person who is also entitled to a Category A or Category B retirement pension" substitute "relevant person";

(b) after subsection (1) insert-

"(1A) In subsection (1)(e)(i) "relevant person" means a person-

(a) who became entitled to a Category A or Category B retirement pension before the day on which section 2(1) of the Pensions Act 2011 comes into force, and

(b) to whom sums became payable by virtue of section 15(1) of the Pension Schemes Act 1993 (including sums payable by virtue of section 17(2)) before that day.

(1B)In subsection (1A)-

(a) a reference to becoming entitled to a pension before a day includes a reference to becoming entitled on or after that day to the payment of a pension in respect of a period before that day;

(b) a reference to sums becoming payable before a day includes a reference to sums becoming payable on or after that day in respect of a period before that day."

(2) In that section after subsection (10A) insert-

"(10B) Subsection (10A) does not have effect unless-

(a) the member became entitled to a Category A or Category B retirement pension before the day on which section 2(2) of the Pensions Act 2011 comes into force, and

(b) the member's postponed pension under the scheme became payable before that day.

(10C) In subsection (10B)-

(a) a reference to becoming entitled to a pension before a day includes a reference to becoming entitled on or after that day to the payment of a pension in respect of a period before that day;

(b) a reference to a pension becoming payable before a day includes a reference to a pension becoming payable on or after that day in respect of a period before that day."

(3) In section 151 of that Act (up-rating - supplementary) omit subsection (5).

(4) The repeal made by subsection (3) does not affect the application of section 151(5) of that Act in relation to a person who became entitled to a Category A or Category B retirement pension before the day on which subsection (3) comes into force.

(5) In Schedule 5 to the Social Security Contributions and Benefits Act 1992 (pension increase or lump sum where entitlement to retirement pension is deferred) omit paragraphs 5, 5A, 6, 6A and 7.

(6) Schedule 2 (repeals and amendments consequential on subsection (5)) has effect.

(7) The repeals made by subsection (5) do not affect the application of paragraphs 5 to 6A of Schedule 5 to the Social Security Contributions and Benefits Act 1992 in a case where-

(a) W became entitled to a Category A or Category B retirement pension before the day on which subsection (5) comes into force, and

(b) S died before that day;

(and section 150(1)(d) of the Social Security Administration Act 1992 continues to apply accordingly).

(8) The enactments amended by Schedule 2 have effect in relation to such a case as if the repeals and amendments made by that Schedule (apart from the amendments made by paragraph 3(7) and (8)) had not been made.

(9) In subsection (7) "W" and "S" have the same meaning as in paragraph 5 of Schedule 5 to the Social Security Contributions and Benefits Act 1992.

(10) In this section a reference to becoming entitled to a pension before a day includes a reference to becoming entitled on or after that day to the payment of a pension in respect of a period before that day.

S-3 Consolidation of additional pension

3 Consolidation of additional pension

Schedule 3 (consolidation of additional pension) has effect.

2 Automatic enrolment

Part 2

Automatic enrolment

S-4 Automatic re-enrolment where scheme membership interrupted

4 Automatic re-enrolment where scheme membership interrupted

(1) In section 2 (continuity of scheme membership) of the Pensions Act 2008 ("the 2008 Act") for subsection (3) substitute-

"(3) Subsection (1) is not contravened if by virtue of section 5 the jobholder becomes an active member of an automatic enrolment scheme with effect from-

"(a) the day after the cessation referred to in paragraph (a) or (b) of subsection (1), or

(b) a day within the prescribed period (if a period is prescribed).""

(2) In section 5 of the 2008 Act (automatic re-enrolment) after subsection (1) insert-

"(1A) This section also applies to a jobholder who-

(a) is aged at least 22,

(b) has not reached pensionable age, and

(c) is not an active member of a qualifying scheme because there has been a period beginning at any time after the jobholder's automatic enrolment date during which the requirements of section 1(1)(a) or (c) were not met (so that the person was not a jobholder for that period).

(1B) This section also applies to a jobholder who has ceased to be an active member of a qualifying scheme because of something other than an action or omission by the jobholder."

(3) For subsection (4) of that section substitute-

"(4) Regulations may provide for subsection (2) not to apply in relation to a jobholder who in prescribed circumstances-

(a) has ceased to be an active member of a qualifying scheme because of any action or omission by the jobholder, or by the employer at the jobholder's request, or

(b) is treated as not being an active member of a qualifying scheme because the jobholder has given notice under section 8."

(4) In subsection (8) of that section omit ", after the automatic enrolment date,".

(5) In section 6 of the 2008 Act (timing of automatic re-enrolment) in subsection (4)-

(a) in paragraph (a) omit "at any time after the jobholder's automatic enrolment date,";

(b) in that paragraph omit "or a qualifying scheme of which the jobholder is an active member ceases to be such a scheme";

(c) in paragraph (b) omit "or the employer";

(d) in paragraph (c) for "time" substitute "event".

(6) In section 54 of the 2008 Act (inducements)-

(a) in subsection (1)(a) for "within the period prescribed under section 2(3)" substitute "with effect from-

(i) the day after the membership is given up, or

(ii) a day within the prescribed period (if a period is prescribed)";

(b) in subsection (1)(b) for "within the period prescribed under section 2(3)" substitute "with effect from-

(i) the day on which the jobholder became an active member of the scheme to which the notice relates, or

(ii) a day within the prescribed period (if a period is prescribed)".

S-5 Earnings trigger for automatic enrolment and re-enrolment

5 Earnings trigger for automatic enrolment and re-enrolment

(1) In section 3 of the 2008 Act (automatic enrolment) for subsection (1) substitute-

"(1) This section applies to a jobholder-

(a) who is aged at least 22,

(b) who has not reached pensionable age, and

(c) to whom earnings of more than £7,475 are payable by the employer in the relevant pay reference period (see section 15)."

(2) After subsection (6) of that section insert-

"(6A) In this section "earnings" has the meaning given in section 13(3).

(6B) In the case of a pay reference period of less or more than 12 months, subsection (1) applies as if the amount in paragraph (c) were proportionately less or more."

(3) In section 5 of the 2008 Act (automatic re-enrolment) for subsection (1) substitute-

"(1) This section applies to a jobholder-

(a) who is aged at least 22,

(b) who has not reached pensionable age, and

(c) to whom earnings of more than £7,475 are payable by the employer in the relevant pay reference period (see section 15)."

(4) After subsection (7) of that section insert-

"(7A) In this section...

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