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Amendments to the Welfare Reform and Pensions Bill

Welfare Reform and Pensions Bill -
Amendments to be debated in the House of Lords

Here you can browse the Amendments to the Welfare Reform and Pensions Bill to be moved on Report in the House of Lords.

 

The amendments have been marshalled in accordance with the Order of 28th July, as July, as follows --

Clauses 1 to 6Schedule7
Schedule 1Clauses 56 to 66
Clauses 7 to 18Schedule 8
Schedule 2Clauses 67 to 70
Clause 19Schedules 9 and 10
Schedule 3Clauses 71 to 77
Clauses 20 and 21Schedule 11
Schedule 4Clauses 78 to 80
Clauses 22 to 32Schedule 12
Schedule 5Clauses 81 to 83
Clauses 33 to 47Schedule 13
Schedule 6Clauses 84 to 86
Clauses 48 to 55
 
  
Before Clause 1
 
  
BY THE LORD RIX
 
1*     Insert the following new Clause-- 
 ("PART A1 
 ADDITIONAL PENSION 
     .--(1)  The Secretary of State shall by regulations make provision for one or more of the following--
    (a)  to substitute, in any provision of the Contributions and Benefits Act which relates to additional pension for widows or widowers, for any sum payable by way of such pension as is derived from the contributions of a deceased spouse, such higher sum as may be prescribed;
    (b)  to substitute, in any such provision, for any prescribed reference to the year 2000, a reference to such later year as may be prescribed;
    (c)  to establish a scheme to compensate persons who are widowed after 5th April 2000 and who suffered loss as a result of any action or failure to act in reliance on incorrect information received from a Government department with respect to the reduction in the additional pension payable to them as a result of the enactment of the former section 19 of the Social Security Act 1986.

    (2)  If regulations under subsection (1) are not in force on 5th April 2000, then until such time as such regulations are in force, the provisions of the Contributions and Benefits Act to which paragraph (a) of that subsection apply shall continue to have effect as in force on that date.
 
    (3)  No regulations shall be made under subsection (1) unless a draft of the regulations has been laid before, and approved by a resolution of, each House of Parliament.")

 
Additional pension for widows or widowers.
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
2*     Insert the following new Clause-- 
     ("  .  Part I of this Act shall not have effect until comprehensive legislation embodying the pensions proposals outlined in "A new contract for welfare: Partnership In Pensions" (Command 4179) has been introduced.")Part I: Commencement.
  
Clause 1
 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
3     Page 1, line 12, leave out subsection (2) 
  
BY THE BARONESS TURNER OF CAMDEN
 
4     Page 1, line 12, leave out from ("trust") to end of line 13 
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
5     Page 1, line 17, leave out subsection (4) 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
6     Page 1, line 20, leave out ("or section 176 of the Pension Schemes (Northern Ireland) Act 1993") 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
7     Page 1, line 21, at end insert ("but there shall be no requirement to take out a stakeholder pension in the form of an annuity by a specified age") 
8     Page 1, line 22, leave out subsection (5) 
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
9     Page 1, line 22, leave out from ("that") to ("or") on page 2, line 2, and insert ("no part of--
    (a)  any payment made to the scheme by a member of the scheme;
    (b)  any income or capital gain arising from the investment of a payment made to the scheme by or on behalf of a member;")
 
  
BY THE LORD GOODHART
THE EARL RUSSELL
THE LORD ADDINGTON
 
10     Page 2, line 4, leave out (", to pay commission") 
11     Page 2, line 6, at end insert--
 
    ("(  )  The requirements to be prescribed under subsection (5) shall include a requirement that no commission shall be paid in connection with any person becoming a member of a stakeholder pension scheme.")
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
12     Page 2, line 8, leave out ("or section 109 of the Pension Schemes (Northern Ireland) Act 1993") 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
13     Page 2, line 11, leave out from ("to") and ("and") in line 12 and insert ("a minimum contribution level of £20 per month") 
14     Page 2, line 12, leave out ("and other restrictions as may be prescribed,") and insert ("up to a maximum of £5,000 a year of the proportion of earnings which may be relieved of income tax if invested in an eligible pension scheme for a person of the relevant age in accordance with current Inland Revenue rules, whichever may be higher,") 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
15     Page 2, line 16, leave out ("or the Pension Schemes (Northern Ireland) Act 1993") 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
16     Page 2, line 18, at end insert ("or other insurance contracts, annuity contracts or pension arrangements which satisfy the prescribed arrangements") 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
17     Page 2, line 18, at end insert-- 
 
    ("(  )  contracts and schemes approved under Chapter III of Part XIV of the Income and Corporation Taxes Act 1988 (retirement annuity contracts);
    (  )  annuities and insurance policies purchased or transferred for the purpose of giving effect to rights under pension schemes; and
    (  )  annuities purchased or entered into for the purpose of discharging liability in respect of pension credits under section 26(1)(b) or under corresponding Northern Ireland legislation.")
1988 c. 1.
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
18     Page 2, line 20, at end insert--
 
    ("(10)  The ninth condition is that the scheme shall provide full and accurate advice to any person who applies to join the scheme as to how a stakeholder pension would benefit the applicant compared to other types of pension and shall tell the applicant that they have up to twenty-five days to cancel the application without cost or penalty; and an applicant to a stakeholder pension scheme shall have up to twenty-five days from receiving the said advice to cancelling the said application without cost or penalty.")
 
  
After Clause 1
 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
19     Insert the following new Clause-- 
     ("  .  Participation in a stakeholder pension scheme shall not preclude participation in other pension arrangements.")Participation in stakeholder pension schemes.
20     Insert the following new Clause-- 
     ("  .  The Treasury shall publish on an annual basis a decision tree explaining the relationship between the stakeholder pensions and all other types of pension and other forms of saving to enable employees to decide what the most appropriate form of retirement provision is for them to make.")Treasury to publish annual report on pensions and saving schemes.
  
BY THE LORD GOODHART
THE EARL RUSSELL
THE LORD ADDINGTON
 
21     Insert the following new Clause-- 
     ("  .--(1)  Nothing in regulations made under section 1 shall prohibit the payment to stakeholder pension schemes of contributions up to the limit necessary to ensure that the scheme has tax-exemption or tax-approval (within the meaning of the 1993 Act or the Pension Schemes (Northern Ireland) Act 1993).
 
    (2)  Regulations made under section 1 shall permit any person to be a member of both a stakeholder pension scheme and of a personal pension scheme which has been approved under Chapter IV of Part XIV of the Income and Corporation Taxes Act 1988 or an occupational pension scheme (within the meaning of the 1993 Act) which is a money purchase scheme (within the meaning of the 1993 Act) in respect of the same employment.
 
    (3)  If a person is a member both of a stakeholder pension scheme and of another scheme such as is mentioned in subsection (2), contributions may be paid in any year by or in respect of him--
    (a)  to the stakeholder scheme, not exceeding such amount as may be provided by regulations; and
    (b)  to the other scheme, not exceeding such amount as would be permissible if he were a member only of that scheme, less the amount of contributions paid by or in respect of him to the stakeholder scheme.

    (4)  The Secretary of State and the Board of Inland Revenue shall within twelve months of the coming into force of this section lay before each House of Parliament a report containing proposals for legislation to enable a person to be a member both of a stakeholder pension scheme and of an occupational pension scheme (within the meaning of the 1993 Act) which is not a money purchase scheme and which has tax-exemption or tax-approval (within the meaning of the 1993 Act).")

Additional contributions and dual membership.
  
Clause 2
 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
22     Page 2, line 30, at end insert--
    ("(  )  the premiums received will ensure a pension in excess of that which will be received if an individual is entitled to the Minimum Pension Guarantee;")
 
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
23     Page 2, line 35, after ("scheme") insert ("or that the scheme was established to replace an occupational pension scheme") 
  
Clause 3
 
  
BY THE LORD HIGGINS
THE BARONESS BUSCOMBE
THE LORD ASTOR OF HEVER
 
24     Page 3, line 24, after the second ("of") insert ("10 or more") 
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
25     Page 3, line 31, at end insert ("other than those who prefer to acquire earnings-related pension rights under section 44(3)(b) of the Contributions and Benefits Act (SERPS).") 
26     Page 3, line 38, after ("schemes;") insert--
    ("(  )  a statement showing the estimated proportion by which the benefits payable for or in respect of members of the scheme could be increased if the whole of the income of the scheme, including capital gains, were used for the provision of such benefits;")
 
27     Page 3, line 38, after ("schemes;") insert--
    ("(  )  the name and address of a person or persons, with no financial interest in any scheme designated by the employer, from whom they may obtain advice on the advantages and disadvantages of membership of a designated scheme compared with the alternatives available to them;")
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
28     Page 4, line 13, at end insert--
 
    ("(  )  An employer is not, whether before designating a scheme for the purposes of subsection (2) or at any time while a scheme is designated by him for those purposes, under any duty--
    (a)  to make any enquiries, or act on any information, about the scheme for any purpose not connected with--
          (i)  ascertaining whether the scheme is for the time being registered under section 2,
          (ii)  ascertaining the persons to whom it offers membership, or
          (iii)  enabling him to comply with subsection (3), or
    (b)  in particular, to investigate or monitor, or make any judgment as to, the past, present or future performance of the scheme.")
 
29     Page 4, line 14, at end insert--
    (""employer" means any employer, whether or not resident or incorporated in any part of the United Kingdom;")
 
30     Page 4, line 21, leave out ("except those") and insert ("employed in Great Britain and also, in the case of an employer resident or incorporated in any part of Great Britain, all employees of his employed outside the United Kingdom, but with the exception, in the case of any employer, of any employees of his") 
  
BY THE BARONESS TURNER OF CAMDEN
 
31     Page 4, line 26, at end insert--
 
    ("(  )  Regulations may prescribe that, when a designated scheme has been agreed, the employer and the employee members shall each have the obligation to make at least minimum payments into the scheme.")
 
  
Clause 4
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
32     Page 4, line 29, at end insert (", or
    (  )  corresponding Northern Ireland legislation,")
 
  
Clause 5
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
33     Page 5, line 3, after ("3") insert ("or corresponding Northern Ireland legislation") 
  
Schedule 1
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
34     Page 89, line 22, at end insert ("to (13)") 
35     Page 89, line 25, at end insert ("except subsection (3)") 
36     Page 89, line 28, leave out from ("91") to end of line and insert (", 92 and 94 (assignment and forfeiture etc.) except section 91(5)(d);") 
37     Page 89, line 29, leave out ("96") and insert ("96(2)(c)") 
38     Page 90, line 18, leave out from first ("to") to end of line 19 and insert (", or to any subsection of, section 1 or 2 includes a reference to any provision in force in Northern Ireland corresponding to that section or (as the case may be) that subsection; and the reference in sub-paragraph (1) to any pension scheme includes a personal pension scheme (as well as an occupational scheme) within the meaning of the Pension Schemes (Northern Ireland) Act 1993.")1993 c. 49.
  
Clause 7
 
  
BY THE BARONESS CASTLE OF BLACKBURN
THE BARONESS TURNER OF CAMDEN
 
39     Page 5, line 47, at end insert ("and whether contributions to it result in a reduction of the earner's liability for income tax") 
  
Clause 9
 
  
BY THE BARONESS HOLLIS OF HEIGHAM
 
40     Page 11, line 10, at end insert--
 
    ("(  )  References in this section to, or to any provision of, section 111A include references to corresponding provisions of Northern Ireland legislation; and in this section as it has effect in relation to those corresponding provisions, "employee" and "employer" have the meaning they have for the purposes of those provisions."")
 

 
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Prepared 8 October 1999