Statutory Instruments
2007 No. 826
income tax
The Registered Pension Schemes (Bridging Pensions) Regulations 2007
Made
13th March 2007
Laid before the House of Commons
14th March 2007
Coming into force
6th April 2007
The Treasury make the following Regulations in exercise of the powers conferred by paragraphs 2(5) and 2(8) of Schedule 28 to the Finance Act 2004( 1 ).
Citation, commencement and effect
1. —(1) These Regulations may be cited as the Registered Pension Schemes (Bridging Pensions) Regulations 2007 and shall come into force on 6th April 2007.
(2) These Regulations have effect in relation to payments of scheme pensions made on or after 6th April 2006.
Prescribed percentage of the basic pension rate
2. —(1) The prescribed percentage of the rate of the basic pension under paragraph 2(5)(c) of Schedule 28 to the Finance Act 2004 is that found by the formula—
Here—
-
A is the total number of years of a member’s employment to which the pension scheme relates which is not or has not been contracted-out employment, and
-
B is the total number of years of a member’s employment to which the pension scheme relates.
(2) In paragraph (1) “the basic pension” and “contracted-out employment” have the meanings given by paragraph 2(5A) of Schedule 28 to the Finance Act 2004 ( 2 ).
Frank Roy
Alan Campbell
Two of the Lords Commissioners of Her Majesty’s Treasury
13th March 2007
2004 c. 12 ; paragraph 2(5) of Schedule 28 was substituted by paragraph 20(3) of Schedule 23 to the Finance Act 2006 (c. 25) , and paragraph 2(8) of Schedule 28 was inserted by paragraph 11(9) of Schedule 10 to the Finance Act 2005 (c. 7) and amended by paragraph 20(4) of Schedule 23 to the Finance Act 2006.
Paragraph 2(5A) of Schedule 28 was substituted by paragraph 20(3) of Schedule 23 to the Finance Act 2006.