The Personal and Occupational Pension Schemes (Transfer to Self-employed Pension Arrangements) Regulations 1988
These Regulations amend the Occupational Pension Schemes (Transfer Values) Regulations 1985 and the Personal Pension Schemes (Transfer Values) Regulations 1987. They make provision for a member of an occupational or personal pension scheme who, on termination of his pensionable service under the scheme, has acquired a right under Part II of Schedule 1A to the Social Security Pensions Act 1975 to a cash equivalent of his accrued rights under the scheme and who is, or is about to become, self-employed to require the trusteees or managers of the scheme to use that cash equivalent to secure rights to money-purchase benefits under a self-employed pension arrangement. The right so to require does not extend to any part of the cash equivalent which represents guaranteed minimum pensions or protected rights. A “self-employed pension arrangement” is an arrangement which is a personal pension scheme for the purposes of Chapter IV of Part XIV of the Income and Corporation Taxes Act 1988 and which is approved by the Inland Revenue under that Chapter; but which is neither a personal pension scheme for the purposes of the Social Security Act 1986 nor a contract or a scheme approved under Chapter III of Part XIV of the Income and Corporation Taxes Act 1988. The Regulations also amend certain references to the income tax legislation to take account of the consolidation of that legislation.