Government papers: Consultation outcome: Bulk transfer of contracted out pension rights without member consent: draft regulations
The new Contracting-out (Transfer and Transfer Payment) Regulations 2018 will enable transfers of contracted-out rights without the consent of members. It applies to those from a formerly contracted-out salary-related scheme moving to a newly established salary-related scheme that has never been contracted-out, under specified conditions.
The conditions are that the rights to be provided by the receiving scheme should be broadly, no less favourable than the rights which would have been provided under the transferring scheme. These regulations will work in tandem with the existing protections to members’ rights where benefits are transferred without consent, which are set out in regulation 12(3) of, and Schedule 3 to, the Occupational Pension Schemes (Preservation of Benefit) Regulations 1991.
The original consultation can be found here.
