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Baroness Hollis of Heigham moved Amendment No. 60:


Page 100, line 12, after (“include") insert--
(“(a) provision for calculation or verification in accordance with guidance from time to time prepared by a prescribed person, and
(b)")

The noble Baroness said: My Lords, in moving Amendment No. 60 I wish to speak also to those amendments which are grouped with it. We come to a group of amendments to the pension sharing provisions in the Bill. I shall be as speedy as I can. I shall give the briefest of explanations as they are essentially technical.

I start with Amendments Nos. 60 to 66, 218, 224, 226 to 228, 267, 278 and 279. These amendments are largely drafting changes which move provisions from one part of the Bill to another. They relate to the powers already in the Bill to make regulations in terms of information, the recovery of charges, the valuation of pension rights and the recovery of

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certain charges by pension arrangements. At present these regulation-making powers are in separate provisions for England, Wales and Scotland. We propose to consolidate them for the whole of Great Britain.

There is, however, one significant departure from the equivalent provisions in the Bill; namely, that the amendments enable the regulations to extend to requests for information and earmarking orders emanating from Northern Ireland. This ensures that regulations can require any pension arrangement in Great Britain to supply the relevant pension information in connection with divorce or nullity proceedings in any part of the UK.

Amendment No. 84 is a simple amendment to tidy up the legislation by removing a superfluous definition of “regulatory authority". Amendments Nos. 89 to 91 are technical amendments to the Social Security Contributions and Benefits Act 1992. They are designed to ensure that pension debits and credits are revalued in the same way as the additional pension that has been shared.

Amendments Nos. 220 and 282 ensure that the references to the Bill in the Income and Corporation Taxes Act 1988 which were inserted by this year's Finance Act are correct. Amendments Nos. 221 and 222 correct a minor drafting defect in provisions in the Bill which amend the Pension Schemes Act 1993. Amendments Nos. 225 and 268 ensure that the calculation of cash equivalents for pension sharing purposes is consistent with the provisions already in the Pension Schemes Act and in the rest of this Bill.

Amendment No. 214 is again a technical amendment to delete Clause 80(4)(c) which should have been removed from the face of the Bill as a consequence of Amendment No. 157 which was accepted by your Lordships in Committee on 20th July.

Finally, Amendments Nos. 215 to 219 are technical amendments to the Family Law (Scotland) Act 1985. As the House may be aware, in about 90 per cent of cases in Scotland matrimonial property is shared by minute of agreement without the need for a court order.

These amendments ensure that the Scottish courts cannot make earmarking orders or pension sharing orders if a pension sharing agreement is in effect in relation to the same marriage and the same pension arrangement. The court should be able to make such orders if the agreement is varied or set aside, and provision for this is made in the amendment. The amendments also make it clear that pension sharing orders and earmarking orders cannot, as we have just discussed, be made in the same divorce proceedings in relation to the same pension arrangements. The amendments will ensure that pension sharing terms in negotiated agreements can be set aside only by the courts when a decree of divorce is granted.

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There are a number of amendments here but the policy remains the same. I am sure that your Lordships will agree that it is important that the legislation is as clear as possible for both scheme members and pension arrangements. I urge noble Lords to accept these amendments. If any noble Lord wishes a fuller explanation of any one of these, I shall be happy to write to him. I beg to move.

On Question, amendment agreed to.

Baroness Hollis of Heigham moved Amendment No. 61:


Page 100, leave out lines 17 to 39.

On Question, amendment agreed to.

Clause 22 [Extension to overseas divorces etc.]:

Baroness Hollis of Heigham moved Amendments Nos. 62 and 63:


Page 26, line 33, leave out (“and (2D)").
Page 26, leave out lines 35 to 38.

On Question, amendments agreed to.

Baroness Hollis of Heigham moved Amendments Nos. 64 to 66:


After Clause 22, insert the following new clause--

(“Miscellaneous
SUPPLY OF PENSION INFORMATION IN CONNECTION WITH DIVORCE ETC

.--(1) The Secretary of State may by regulations--
(a) make provision imposing on the person responsible for a pension arrangement, or on the Secretary of State, requirements with respect to the supply of information relevant to any power with respect to--
(i) financial relief under Part II of the Matrimonial Causes Act 1973 or Part III of the Matrimonial and Family Proceedings Act 1984 (England and Wales powers in relation to domestic and overseas divorce etc.),
(ii) financial provision under the Family Law (Scotland) Act 1985 or Part IV of the Matrimonial and Family Proceedings Act 1984 (corresponding Scottish powers), or
(iii) financial relief under Part III of the Matrimonial Causes (Northern Ireland) Order 1978 or Part IV of the Matrimonial and Family Proceedings (Northern Ireland) Order 1989 (corresponding Northern Ireland powers),
(b) make provision about calculation and verification in relation to the valuation of--
(i) benefits under a pension arrangement, or
(ii) shareable state scheme rights,
for the purposes of regulations under paragraph (a)(i) or (iii),
(c) make provision about calculation and verification in relation to--
(i) the valuation of shareable rights under a pension arrangement or shareable state scheme rights for the purposes of regulations under paragraph (a)(ii), so far as relating to the making of orders for financial provision (within the meaning of the Family Law (Scotland) Act 1985), or
(ii) the valuation of benefits under a pension arrangement for the purposes of such regulations, so far as relating to the making of orders under section 12A of that Act,

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(d) make provision for the purpose of enabling the person responsible for a pension arrangement to recover prescribed charges in respect of providing information in accordance with regulations under paragraph (a).
(2) Regulations under subsection (1)(b) or (c) may include provision for calculation or verification in accordance with guidance from time to time prepared by a person prescribed by the regulations.
(3) Regulations under subsection (1)(d) may include provision for the application in prescribed circumstances, with or without modification, of any provision made by virtue of section 38(2).
(4) In subsection (1)--
(a) the reference in paragraph (c)(i) to shareable rights under a pension arrangement is to rights in relation to which pension sharing is available under Chapter I of Part IV, or under corresponding Northern Ireland legislation, and
(b) the references to shareable state scheme rights are to rights in relation to which pension sharing is available under Chapter II of Part IV, or under corresponding Northern Ireland legislation.").
After Clause 22, insert the following new clause--
CHARGES BY PENSION ARRANGEMENTS IN RELATION TO EARMARKING ORDERS

(“ . The Secretary of State may by regulations make provision for the purpose of enabling the person responsible for a pension arrangement to recover prescribed charges in respect of complying with--
(a) an order under section 23 of the Matrimonial Causes Act 1973 (financial provision orders in connection with divorce etc.), so far as it includes provision made by virtue of section 25B or 25C of that Act (powers to include provision about pensions),
(b) an order under section 12A(2) or (3) of the Family Law (Scotland) Act 1985 (powers in relation to pensions lump sums when making a capital sum order), or
(c) an order under Article 25 of the Matrimonial Causes (Northern Ireland) Order 1978, so far as it includes provision made by virtue of Article 27B or 27C of that Order (Northern Ireland powers corresponding to those mentioned in paragraph (a)).").
After Clause 23, insert the following new clause--
INTERPRETATION OF PART III

(“--(1) In this Part--
“occupational pension scheme" has the same meaning as in the Pension Schemes Act 1993,
“pension arrangement" means
(a) an occupational pension scheme,
(b) a personal pension scheme,
(c) a retirement annuity contract,
(d) an annuity or insurance policy purchased, or transferred, for the purpose of giving effect to rights under an occupational pension scheme or a personal pension scheme, and
(e) an annuity purchased, or entered into, for the purpose of discharging liability in respect of a pension credit under section 26(1)(b) or under corresponding Northern Ireland legislation;
“personal pension scheme" has the same meaning as in the Pension Schemes Act 1993;
“prescribed" means prescribed by regulations made by the Secretary of State;

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“retirement annuity contract" means a contract or scheme approved under Chapter III of Part “IV of the Income and Corporation Taxes Act 1988;
“trustees or managers", in relation to an occupational pension scheme or a personal pension scheme, means--
(a) in the case of a scheme established under a trust, the trustees of the scheme, and
(b) in any other case, the managers of the scheme.
(2) References to the person responsible for a pension arrangement are--
(a) in the case of an occupational pension scheme or a personal pension scheme, to the trustees or managers of the scheme,
(b) in the case of a retirement annuity contract or an annuity falling within paragraph (d) or (e) of the definition of “pension arrangement" above, the provider of the annuity, and
(c) in the case of an insurance policy falling within paragraph (d) of the definition of that expression, the insurer.").

On Question, amendments agreed to.

Clause 25 [Activation of pension sharing]:

[Amendments Nos. 67 to 69 not moved.]


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