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The Secretary of State makes these Regulations in exercise of the powers conferred on him by section 26(1), (2)(g), and (5) of the Police (Northern Ireland) Act 1998[1] ("the 1998 Act") with the consent of the Treasury in accordance with section 72(2A)[2] of that Act. These Regulations have retrospective effect in accordance with Articles 14 and 15 of the Superannuation (Northern Ireland) Order 1972[3]. The Secretary of State has consulted with the Police Negotiating Board in accordance with section 62(3) of the Police Act 1996[4] and with the Northern Ireland Policing Board and the Police Association in accordance with section 26(6)[5] of the 1998 Act. Citation and commencement 1. These Regulations may be cited as the Police Service of Northern Ireland Reserve (Full-time) Severance Regulations 2006 and shall come into operation on 17th August 2006. Interpretation 2. In these Regulations—
Length and termination of the Scheme
(b) the consent of the Treasury.
Eligibility for and entry to Scheme 4. —(1) Any person who was a member of the reserve service on 31st March 2005 is eligible to apply to enter the Scheme except those who are or have been—
(b) required to resign.
(2) An application to enter the Scheme shall be determined by the Chief Constable.
(b) withdraw the acceptance in to the Scheme of a member if, before the date of leaving, that member is suspended, or investigated for a serious criminal or disciplinary matter under the Discipline Regulations.
(4) If an applicant is accepted into the Scheme, the date on which he or she enters the Scheme shall be determined by the Chief Constable and notified to the applicant in writing. Application 5. —(1) Upon entering the Scheme a member of the reserve service shall be entitled to benefits in accordance with these Regulations. (2) The Pensions Regulations shall apply to members of the Scheme subject to the modifications in regulations 10 to 14 below. Benefits payable 6. —(1) A member of the Scheme shall be eligible to receive one or more of the following discretionary benefits on the date of leaving—
(b) pensionable service enhancements; (c) payment in lieu of pension; (d) actuarially reduced pension.
(2) Parts 1 and 2 of the Schedule shall have effect for calculating the benefits referred to in paragraph (1).
(b) is employed (whether on a full or part-time basis) by the Police Service of Northern Ireland as a police officer within 3 years of the date of leaving,
shall be required to repay a proportion of any severance lump sum received under regulation 6(1).
(b) is employed by the Police Service of Northern Ireland as a police officer during the period he would have been receiving required re-training had he completed his required re-training,
shall be required to make a repayment.
(b) joins a police force in Great Britain.
Capping mechanism Eligibility for pensionable service enhancements 10. —(1) A member who complies with the following conditions shall be eligible for pensionable service enhancements in accordance with the Pensions Regulations—
(b) those contributions have been made continuously from 31st March 2005 (or earlier) until the date of leaving.
(2) Paragraph (1) applies to those members of the reserve service who are on authorised unpaid leave.
(b) apply for ill-health benefits under regulation B3 (member's ill-health award) or B5(4) (member's deferred pension) of the Pensions Regulations.
(2) The benefits awarded under the Scheme shall be limited so that the sum of those benefits and benefits awarded under either regulation B3 or B5(4) of the Pensions Regulations shall not exceed the maximum applicable under regulation B3 or B5(4) of those Regulations respectively.
(b) convert the amount attributable to the unexpired period of the lump sum into an annuity and deduct it from his minimum income guarantee as defined in the Pensions Regulations.
(5) Where paragraph (4)(b) applies, the annuity conversion shall be calculated as advised from time to time by the Government Actuary.
(b) the amount of an injury pension under paragraph 3 of that Part shall take account of pensionable service enhancements paid to the member under these Regulations.
Actuarially reduced pensions Conversion lump sum 15. —(1) All members shall be offered 9 months of re-training before the date of leaving. (2) A member who completes 3 months or more of the required re-training may terminate the re-training and receive a conversion lump sum. (3) A member who completes less than 3 months of the required re-training may terminate the re-training and receive a conversion lump sum only with the consent of a review panel. (4) The conversion lump sum payable in accordance with paragraph (2) or (3) is non-pensionable, and is—
(b) equivalent to the member's basic pay for the period of the required re-training still to be completed; and (c) subject to a maximum value of 6 months' pay.
(5) Any increases to a member's basic pay to which he would have been entitled had he completed the required re-training shall be included in the calculation of the conversion lump sum under paragraph (4) as if the member had completed the re-training. 1. —(1) A member of the Scheme aged 50 or over on the date of leaving shall be entitled to pensionable service enhancements of up to 5 years, subject to a maximum of—
(b) that to which the member would have been entitled had he served until his compulsory retirement age,
whichever is less.
(b) calculated on a daily basis.
2. —(1) A member who is aged 50 years or over on the date of leaving shall be entitled to a severance lump sum. (2) The amount of the lump sum in sub-paragraph (1) shall be calculated by multiplying the member's annual pensionable pay at the date of leaving by the appropriate lump sum factor as specified in the following tables— (a) Compulsory Retirement Age of 55
(b) Compulsory Retirement Age of 57
3. —(1) A member who is aged below 50 years on the date of leaving and who is entitled to an immediate pension shall be entitled to a severance lump sum. (2) The amount of the lump sum in sub-paragraph (1) shall be calculated by multiplying the member's annual pensionable pay at the date of leaving by the appropriate lump sum factor as specified in the following table—
4. —(1) A member who is aged below 50 years on the date of leaving and is not entitled to an immediate pension but has served at least 5 years shall be entitled to a severance lump sum. (2) The amount of the lump sum in sub-paragraph (1) shall be calculated by multiplying the member's annual pensionable pay by the appropriate lump sum factor determined by his number of years as a member as specified in the following table—
5. The benefits of severance shall not exceed the amount calculated as potential earnings, and where this occurs the difference between the two shall be deducted from the severance lump sum. 6. In paragraph 5—
(This note is not part of the Regulations) These Regulations create a Severance Scheme for the Police Service of Northern Ireland Reserve (Full-time) ("the reserve service"). The Scheme is open to all members of the reserve service who were employed on 31st March 2005. The Scheme has been operated on an administrative basis pending the making of these Regulations. These regulations provide that the Scheme shall be treated as having been had effect from 1st April 2005. This is possible because Articles 14 and 15 of the Superannuation (Northern Ireland) Order 1972[11] provide for regulations to have effect before they are made. All members of the reserve service are eligible to join the Scheme unless they are dismissed for disciplinary reasons or required to resign. The Chief Constable determines who may enter the Scheme and at what date; regulation 4 gives him discretion to exclude members who are suspended or under investigation for a serious criminal or disciplinary matter. The Scheme offers enhanced terms to those in the Royal Ulster Constabulary Reserve (Full-time) Pensions Regulations 1994[12]. Those Regulations apply, with modifications, the Royal Ulster Constabulary Pensions Regulations 1988[13]("the 1988 Regulations") to members of the reserve service. Regulation 3 provides that the Scheme will operate until the Secretary of State determines it should be terminated. A determination can only be made after consultation, and with the consent of the Treasury. Regulation 5 provides that the normal pension regulations for the reserve service apply, subject to the modifications in these Regulations. Regulation 6 sets out the discretionary benefits under the Scheme. Members of the Scheme can receive a severance lump sum, pensionable service enhancement, payments in lieu of pensions, and actuarially reduced pensions. Those benefits are subject to the provisions in Parts 3, 4 and 5 of the Regulations. The Schedule will be used to calculate members' benefits under the Scheme. Regulation 6(3) also provides for an additional severance lump sum worth 2 months' of pay. Regulation 7 provides that where a member of the Scheme joins the Police Service of Northern Ireland as a police officer within 3 years, they will be required to repay the severance lump sum payment received under regulation 6(1), minus the proportion attributable to the period from the date of leaving to the date of rejoining. A similar repayment is required where a member has received a conversion lump sum and joins the Police Service of Northern Ireland during the period that they would have been receiving retraining had they completed the full 9 months offered. The repayment of the severance lump sum is subject to a limit so as to leave the member with no less than he or she would have received under statutory redundancy pay. Regulation 8 provides a cap to ensure that a member shall not gain more in financial terms by accepting the benefits under the Scheme than he or she would have earned in basic pay and allowances up to compulsory retirement age or the expiry of the period of extension after that age. Regulation 11 provides for payment in lieu of pension to members who would have been eligible for short service awards under the Pensions Regulations had they not left under the severance Scheme. The payment will be equivalent to that which members would have received as a short service award. Regulations 12 and 13 set out the circumstances in which injury on duty benefits or ill-health pension benefits may be reduced to take account of the severance lump sum awarded under these Regulations. Regulation 14 provides for members to elect to receive actuarially reduced pensions. Such pensions can be paid either from the age of 50 or 55; when it will be paid depends on the age of the member at 6th April 2010. Regulation 15 provides for a period of 9 months' re-training to be offered to all members of the Scheme before they leave the reserve service. They will be entitled to their usual pay and allowances during this period. A member who chooses to leave before the 9 months is complete will receive a conversion lump sum equivalent to the basic pay the member would have received during retraining to maximum of 6 months' worth of pay. Any member who undertakes less than 3 months' training will need to obtain the approval of a review panel to obtain the conversion lump sum. This will be granted if the member provides good reason for early termination, such as an offer of alternative employment. Notes: [1] 1998 c. 32; section 26 is modified by section 49 of and Schedule 6 to the Police (Northern Ireland) Act 2000 (c. 32) ("the 2000 Act")back [2] This subsection was inserted by paragraph 23(6) of Schedule 6 to the 2000 Actback [3] Article 15 of the Superannuation (Northern Ireland) Order 1972 (1972/1073 (N.I.10)) allows regulations relating to pensions under sections 25 or 26 of the 1998 Act to have retrospective effect. Article 15 was inserted by paragraph 6 of Schedule 4 to the Police (Northern Ireland) Act 1998 ("the 1998 Act")back [5] Section 26(6) originally required consultation with the Police Authority and the Police Association; paragraph 23 of Schedule 6 to the 2000 Act amends the 1998 Act to replace "Police Authority" with "Board" which is defined as the Northern Ireland Policing Boardback [6] S.R. 1996 No. 473; regulation 2(4) is inserted by paragraph 1 of Schedule 1 to those Regulationsback [7] S.R. 2000 No. 315; amended by the Police Service of Northern Ireland (Conduct) Regulations 2003 (S.R. 2003 No. 68)back [9] S.R. 1988 No. 374; those Regulations apply to members of the reserve service with modifications, by virtue of Article 3 of the Royal Ulster Constabulary Reserve (Full-time) Pensions Regulations 1994 (S.R. 1994 No. 197)back [10] Regulation 47A and Schedule 11 were inserted by regulation 2 of the Royal Ulster Constabulary Reserve (Full-time) (Appointment and Conditions of Service) (Amendment) Regulations 1997 (S.R. 1997 No. 363)back [11] S.I. 1972 No. 1073 (N.I. 10)back
ISBN 0 337 96592 7
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