(This archived guidance relates to HMRC discretionary
practice before the 6th April 2006. For current guidance on
Registered Pension Schemes see the Registered Pension Schemes
Manual)
[PN6A.1]
Where the ex-spouse of a scheme member is initially given
scheme membership following a pension sharing on divorce order (see
PSI24.1.2), may subsequently ask for a
transfer of the pension credit rights. The transfer of pension
credit rights may be exercised independently of any benefit rights
the ex spouse has under the transferring scheme as a result of
being an employee of a participating employer.
[PN6A.21-25]
Provided the pension credit rights for the ex-spouse member
that have not come into payment, they may be transferred to another
tax approved scheme of the same or different employer provided the
ex-spouse member is already a member of the receiving scheme as a
result of being an employee or an ex-spouse member in relation to
the receiving scheme. The conditions set out in
PSI14.1.5-6 also apply to the
transfer of the pension credit rights.
The ex spouse does not have to be an existing member of the
receiving scheme of an employer if the transfer occurs due to the
employer restructuring its pension arrangements (see
PSI14.1.2).
A transfer can be made to an approved personal pension scheme
regardless of whether or not the ex spouse is already a member of
the personal pension scheme.
Provided the terms and conditions of paragraph 10.39 and
Appendix VI of PN are observed, pension credit rights can also be
transferred to an overseas scheme.
Where pension credit rights for an ex spouse are transferred
to a buy-out contract, that contract must satisfy the requirements
set out PSI Part 13, Section 4, except those relating benefits. The
form of and the limitations on the benefits that can be paid to the
ex-spouse from the new buy-out contract must meet the requirements
set out in PSI Part 24.
