Commentary on Sections Part 4 Pension Flexibilities Section 68: Restriction on transfers out of unfunded public service defined benefits schemes: Great Britain
235.This section restricts the right (under the Pension Schemes Act 1993) to transfer from one pension scheme to another, so as to prevent a member of an unfunded public service defined benefits scheme using that right to transfer to another pension scheme in which they can obtain flexible benefits. The section confers a power enabling the Treasury to make regulations providing that that restriction will not apply in certain circumstances or in relation to certain schemes or to schemes of a certain type. The restriction will not apply where a member has already made an application under section 95 of the Pension Schemes Act 1993 requiring the trustees or scheme managers to use the member’s cash equivalent to transfer to another scheme before 6 April 2015.