Members, Benefits and Pension Sharing

The Deputy Pensions Ombudsman has given her determination in a complaint by Miss Caroline Goss against Nicholas Goss, Jane Goss, Daniel Goss and Charlotte Goss.

The Pensions Bill 2013 was published on 10 May 2013.

The Pensions Ombudsman has given his determination in a complaint by Mrs B Wytch against the trustees of the Pearl Group Staff Pension Scheme and First Actuarial.

HMRC has issued guidance for scheme members in relation to the costs and risks involved in pension liberation schemes.

The Department for Work and Pensions (DWP) has published an interim response to its 2012 consultation exercise on how occupational pensions schemes should equalise for the effect of guaranteed minimum pensions (GMPs).

HM Revenue & Customs (HMRC) has announced the withdrawal of various forms from its website following the abolition of defined contribution (DC) contracting-out.

Three statutory instruments have been published that make changes to social security pensions legislation from 6 April 2013.

A guide to using our materials to help train new pensions lawyers.

In a speech to the Association of Pensions Lawyers, Pensions Minister Steve Webb has confirmed that there will be no further announcements on GMP equalisation before 2014.

The Equitable Life Payment Scheme has published its January 2013 progress report.

The Pensions Ombudsman has given his determination in a complaint by Dr D N Winterbotham against Leeds City Council.

The DWP has published Abolition of contracting-out - consultation on a statutory override for Protected Persons Regulations for consultation.

The Department for Work & Pensions has published its White Paper on state pension reform, The single-tier pension: a simple foundation for saving. (free access)

The High Court has handed down its decision on a preliminary issue in a rectification claim in Konica Minolta Business Solutions (UK) v Applegate and others [2012] EWHC 3741.

The Department for Work and Pensions (DWP) has decided not to allow members of DC pension schemes to commute "micro pots" following the introduction of automatic transfers on a change of employment.

The High Court has handed down its judgment in IBM United Kingdom Pensions Trust Ltd v IBM United Kingdom Holdings Trust Ltd and others [2012] EWHC 3540 (Ch).

The Pensions Ombudsman has given his determination in a complaint by Mrs K J Smart against West Berkshire Council.

The Pensions Ombudsman has given his determination in a complaint by Mrs G Holt against Lancashire Constabulary.

The Office for National Statistics has launched a public consultation on changes to the way the Retail Prices Index is calculated.

The Pensions Ombudsman has given his determination in a complaint by Captain P Squibbs against the management trustees of the Airways Pension Scheme.

The Pensions Ombudsman has given his determination in a complaint by Mr R J Paffey against the Cabinet Office.

The Pensions Regulator has published its 2012 survey of DC pension scheme members. (free access)

The Deputy Pensions Ombudsman has given her determination in a complaint by Mr D Bore against the Group Trustees of the Electricity Supply Pension Scheme (RWE npower Group) and MNPA Ltd.

The Deputy Pensions Ombudsman has given her determination in a complaint by Mr K Frost against Wolverhampton City Council and West Midlands Police Authority.

The Pensions Regulator has issued new, shorter guidance for trustees and employers on dealing with member incentive exercises.

The DWP has published a response to its December 2011 consultation paper on Meeting future workplace pension challenges: Improving transfers and dealing with small pension pots.

The NAPF and other pensions industry bodies have published a voluntary code of practice dealing with incentive exercises aimed to reduce defined benefit liabilities.

The Deputy Pensions Ombudsman has given her determination in a complaint by Mrs W McKinney against the trustees of the Howden Group Pension Plan.

The FSA has published the final notice (dated 25 April 2012) it has issued to Stuart Unwin prohibiting him from carrying on any significant influence functions (SIFs) on the basis that he has failed to meet minimum regulatory standards of competence and capability.

The government has announced that it will introduce a limited power for trustees to amend scheme rules relating to bridging pensions to take account of the increase in state pension age.

HMRC has published edition six of its countdown bulletin.

The Pensions (Institute and Faculty of Actuaries and Consultation by Employers – Amendment) Regulations 2012 (SI 2012/692) have been laid before Parliament. (Free access.)

The Occupational Pension Schemes (Contracting-out and Modification of Schemes) (Amendment) Regulations 2012 (SI 2012/542) have been laid before Parliament.

The Pensions Regulator, HMRC and the FSA have warned about the dangers of so-called pension unlocking schemes.

The DWP has published its consultation on draft regulations and possible method for equalising for the effect of guaranteed minimum pensions.

The DWP has published a consultation document, Meeting future workplace pension challenges: improving transfers and dealing with small pension pots, aimed at helping individuals achieve a decent standard of living in retirement. (For details of the subsequent consultation response, see Legal update, Small DC pension pots: new framework for automatic transfer on change of employment.)

The Social Security Pensions (Flat Rate Introduction Year) Order 2011 (SI 2011/2593) has been made.

HM Revenue & Customs has published draft regulations to amend legislation and extend the small lump sum commutation regime to personal pensions.

The Pensions Ombudsman has given his determination in a complaint by Mrs S Dipple against the Royal Bank of Scotland Group and RBS Pension Trustee Limited.

The Deputy Pensions Ombudsman has given her determination in a complaint by Miss C Brown against BESTrustees.

The Pensions Ombudsman has given his determination in a complaint by Mr R Lee against Aviva Life Services UK Limited.

The Office for National Statistics (ONS) has published data and indices that underpin the calculation of the Consumer Prices Index (CPI), used in the indexation of pension benefits.

The Pensions Ombudsman has given his determination in a complaint by Mr D Wilson against Oxfordshire County Council.

The DWP has published a consultation document on the draft Occupational Pension Schemes (Contracting-out and Modification of Schemes) (Amendment) Regulations 2012.

The Deputy Pensions Ombudsman has given her determination in a complaint by Ms J W Jones against JLT Benefit Solutions Ltd.

A round-up of pensions-related new stories.

We have published a new practice note: Moving from trust-based to contract-based defined contribution arrangements.

The Pensions Act 2007 (Abolition of Contracting-out for Defined Contribution Pension Schemes (Consequential Amendments) (No. 2) Order 2011 (SI 2011/1724) and the Pensions Act 2008 (Abolition of Protected Rights) (Consequential Amendments) (No. 2) Order 2011 (SI 2011/1730) have been made.

The Pensions Ombudsman has given his determination in a complaint by Mrs M Boate against Aon Trust Corporation Limited.

The DWP has published its Response to the call for evidence, Regulatory differences between occupational and workplace personal pensions.

The DWP has published a response to its December 2010 consultation paper that considered the impact of the switch to using the consumer prices index in the statutory minimum requirements for revaluing deferred pensions and indexing pensions in payment.

The DWP has published the Occupational Pension Schemes (Contracting-out) Amendment Regulations 2011.

The DWP has issued its response to its consultation paper, Offering a default option for defined contribution automatic enrolment pension schemes.

The Pensions Ombudsman has given his determination in a complaint by Mr K Duffy against Dow Chemical Company Ltd and Dow Services Trustees UK Limited.

The FSA has published a press release announcing that it has, for the first time, published decision notices for enforcement decisions that have been referred to the Upper Tribunal. (Free access.)

The Pensions Ombudsman has given his determination in a complaint by Mr S Jaszczyk against East Riding of Yorkshire Council.

The DWP has published a factsheet, Abolition of contracting out on a defined contribution basis.

The Pension Protection Fund (Revaluation Amendments) Regulations 2011 (SI 2011/554) have been laid before Parliament and come into force on 31 March.

The Pensions Ombudsman has given his determination in a complaint by Mr G Thomas against AXA Sun Life Services plc.

HMRC has published new tables for use in calculating maximum drawdown pensions from 6 April 2011.

The Deputy Pensions Ombudsman has given her determination in a complaint by Mr D Johnson against the Cabinet Office and the Ministry of Defence.

The DWP has indicated that it intends to issue draft legislation requiring occupational pension schemes to equalise GMPs.

The Pensions Ombudsman has given his determination is a complaint by Mrs J B White against the trustees of the RC Warren Packers Ltd Retirement Savings Plan and Alexander Forbes Financial Services Limited.

The Pensions Ombudsman has given his determination in a complaint by Mrs A Ioannou against Aviva Life Services UK Ltd.

HM Treasury has published a consultation paper entitled Early access to pension savings. HM Treasury published a response to its consultation paper on 19 April 2011, see Legal update, Government rules out early access to pension savings.

The Pensions Ombudsman has given his determination in a complaint by Ms M Hogestijn against Standard Life Assurance Limited.

Advocate General Kokott has given an opinion in the matter of Maurits Casteels v British Airways plc (C-379/09). The ECJ delivered its judgment on 10 March 2011, for more information see Legal update, Casteels v BA: ECJ confirms pension rules can restrict freedom of movement. 

The DWP has published its response to the consultation on draft regulations amending the disclosure of information regime.

The Pensions Ombudsman has given his determination in a complaint by Mr J Roberts against Countrywide Assured plc.

The July 2010 LGPC bulletin contains a report on a case in which the possibility of reconfiguring a pensioner member's benefits was considered.

The Department for Work and Pensions is consulting on draft regulations implementing the abolition of contracting-out of the state second pension on a defined contribution basis.

The Board for Actuarial Standards has published its technical standard on modelling.

The Board for Actuarial Standards (BAS) has published a consultation paper on possible changes to the technical memorandum for statutory money purchase illustrations.

The Occupational Pensions (Revaluation) Order 2009 (SI 2009/3267) has been laid before Parliament.

The body representing local government employers has written to the Department of Communities and Local Government about the vesting period for entitlement to benefits in the Local Government Pension Scheme.

The Registered Pension Schemes (Authorised Payments) Regulations 2009 have come into force

The Association of British Insurers has launched a new consumer leaflet entitled People need pensions.

The recent media furore over the pension entitlements of former Royal Bank of Scotland chief, Sir Fred Goodwin, raises interesting issues about, among other things, the circumstances in which a member of a pension scheme may be deprived of his benefits, whether forcibly or otherwise.

We have published a new practice note about the statutory requirements relating to early leavers.

We have published a new article on the issues raised by the Sir Fred Goodwin affair written by Kris Weber, Partner at Charles Russell LLP.

The Occupational Pension Schemes (Contracting-out) (Amendment) Regulations 2009 have been laid before Parliament.

The Department for Work and Pensions has published a response to its consultation exercise on draft regulations implementing GMP conversion.

An update about the delay in introducing reforms to the revaluation of deferred pensions, and the impact of the Occupational Pensions (Revaluation) Order 2008 (SI 2008/3070).

On 17 October 2008, Conservative peers tabled an amendment to the Pensions Bill suspending the requirement for a pension to be taken in the form of an annuity before age 75.

The government has published its response to its consultation on the draft Pension Sharing (Pension Credit Benefit) (Amendment) Regulations 2008. The regulations will align the pension commutation rights of former spouses with those of ordinary members (see Legal update, Amending regulations update pension credit commutation rules).The key point in the response is that, because the Finance Act rules are outside the scope of the regulations, these rules will still prevent former spouses from: Taking a tax free pension commencement lump sum if the member has the right to receive payment of a pension before the pension-sharing order is made. Drawing a pension before normal pension age on ill-health grounds if they have not had an occupation. (The ill-health condition under the Finance Act 2004 requires that members be incapable of carrying out their occupation because of physical or mental impairment and to have stopped carrying it out). The government proposes that the regulations are effective from 6 April 2009 when safeguarded rights are abolished under the Pensions Bill, as the two sets of changes complement each other. Currently, safeguarded rights, which are derived from contracted-out benefits, cannot be paid before age 60 or as lump sums. See Government response to the consultation on The Pension Sharing (Pension Credit Benefit) (Amendment) Regulations 2008, DWP, 27 August 2008.

The Department for Communities and Local Government (DCLG) has published the latest edition of its pensions newsletter for local authorities. The main topic covered is the statutory guidance on the new criteria for ill-health pensions in the new-look LGPS, which the DCLG has this week issued for consultation. The guidance makes clear that in deciding eligibility under the new three-tier system for ill-health pensions, the main issues for employing authorities are: Has the member been employed for longer than three months? Is the member's employment being terminated on the grounds that his condition has rendered him permanently incapable of discharging efficiently the duties of his employment? Does the member have a reduced likelihood of obtaining gainful employment (with the employer or elsewhere) before normal retirement age (NRA)? If the answers to each of these questions is in the affirmative, the member has a basic entitlement to an ill-health pension. But the level of benefit payable depends on whether the member is judged incapable of ever returning to work before NRA; likely to return before NRA; or within the next three years. Other points covered include an authority's duty to obtain further evidence from an independent registered medical practitioner on the review of the entitlement of a member receiving a third-tier pension who has not found gainful employment, and the transitional protection applying to determinations made before 1 October 2008. Cons

The regulations amending the transfer value legislation have been laid before Parliament and are due to come into effect on 1 October 2008. At the same time, the Department for Work and Pensions (DWP) has published its formal response to the consultation initiated in July 2007. Detailed amendments have been made to the draft amending regulations published for consultation, although there are no real policy changes. The new regime will provide for cash-equivalent transfer values (CETVs) to be calculated on a scheme-specific basis. Trustees will have sole responsibility for setting the assumptions used in the calculation of CETVs, and must set these on a "best estimate" basis.

The Deputy Pensions Ombudsman has dismissed a complaint brought by Mrs Kathleen Weekes against the NHS Pensions Agency. Mrs Weekes complained that although she was in NHS employment from 1961 until 31 March 1992, the Agency awarded her a pension based only on 13 years' and 84 days' membership. The Deputy Ombudsman determined that Mrs Weekes had no pension entitlement in relation to her service before 1978 since she could not show, on the balance of probabilities, that she did not receive a refund of contributions for this period.

The Ombudsman has upheld a complaint brought by Mr D J Clark against the Cabinet Office and Paymaster (1836) Limited. Mr Clark was a member of the Principal Civil Service Pension Scheme. He complained that the respondents provided incorrect information that resulted in his receiving a reduced pension under a pension-sharing order. The Ombudsman upheld the complaint.

The Occupational Pensions (Revaluation) Order 2007 (SI 2007/3369) has been laid before Parliament. The order is made under paragraph 2(1) of Schedule 3 to the Pension Schemes Act 1993 (PSA 1993) and specifies the "revaluation percentages" required for deferred pensions in occupational pension schemes (excluding guaranteed minimum pensions). Under section 83 of the PSA 1993, deferred pensions accrued by members of occupational schemes whose pensionable service ends after 1 January 1986 must be revalued on one of the four statutory bases. In final salary schemes, the relevant revaluation basis is known as limited price indexation and is set out in paragraphs 1 and 2 to Schedule 3 to the PSA 1993. The Secretary of State for Work and Pensions is required to specify a "revaluation percentage" each year, namely the lesser of the increase in the retail prices index in the previous year and 5% compound. For 2007, the relevant percentage is 3.9%. The order comes into force on 1 January 2008. See The Occupational Pensions (Revaluation) Order 2007.

The Department for Work and Pensions (DWP) has announced that it is delaying the introduction of the new regime for calculating pension transfer values until 1 October 2008. The DWP had issued draft regulations for consultation in July 2007, and these were due to come into force on 6 April 2008 (see Legal update, DWP consults on draft transfer value regulations). Pensions minister Mike O'Brien said that several respondents to the consultation had asked for further time to put in hand the necessary administrative arrangements. After considering the arguments, the government has decided to accede to these requests. The Board for Actuarial Standards has apparently confirmed that actuarial guidance note GN11 will continue to apply until 1 October 2008. The Actuarial Profession had been among those calling for a six-month delay in the implementation of the new regime (see Legal update, Actuarial Profession publishes response to DWP consultation on revised transfer value regime). See Press release: Calculation of pensions transfer values, DWP, 25 October 2007.

The Actuarial Profession has published its response to the consultation paper and draft regulations issued by the Department for Work and Pensions (DWP) in July 2007 about the revised framework for calculating cash equivalent transfer values (CETVs) from defined benefit schemes. The DWP plans to implement the regulations in April 2008. These provide for a scheme-specific basis for calculating CETVs. Trustees will have sole responsibility for setting the assumptions used in the calculation of transfer values, and must set these on a "best estimate" basis, after obtaining actuarial advice. The Profession proposes that the Pensions Regulator should issue a code of practice or guidance for trustees and actuaries, designed to help them develop a framework for operating the new system. The Profession objects to the requirement in the draft regulations for scheme actuaries to advise on the benefits that members have accrued, warning that this would include legal, rather than actuarial, matters, such as how to equalise benefits between the sexes.

The Department for Work and Pensions (DWP) has issued a consultation document and draft regulations implementing changes to the regime for calculating transfer values from defined benefit schemes. The changes will come into force on 6 April 2008. As announced in January 2007, the DWP is proceeding with a scheme-specific basis for calculating transfer values, in preference to other methods canvassed in an earlier consultation. Scheme trustees will have sole responsibility for setting the assumptions used in the calculation of transfer values, and must set these on a "best estimate" basis, after obtaining actuarial advice. The consultation closes on 17 August 2007.

The Financial Services Authority (FSA) has issued a new factsheet aimed at certain people who contracted out of the state earnings-related pension scheme (SERPS). Generally, the FSA reports that it has found no widespread evidence that individuals were wrongly advised to contract out during this period. But it has identified a group of people who may have contracted out because they were wrongly advised, and could be eligible for compensation. The individuals concerned: Were advised to contract out of SERPS between 1 July 1988 and 5 April 1997. Were aged 45 or more (for men), or 40 or more (for women) when they contracted out. The FSA advises individuals who believe they were wrongly advised to lodge complaints with the firm that advised them. If they receive no satisfactory response from the firm, they may bring complaints to the Financial Ombudsman Service. See The State Second Pension (formerly SERPS) - were you wrongly advised to contract out? FSA, 30 May 2007.

The FSA has published decision trees for individuals who are considering whether to join a stakeholder pension scheme. There are separate decision trees for those who are employed, self-employed, and not in employment. (See Decision trees for stakeholder pensions, COB 6 Annex 1R, FSA, 27 April 2007.)

The Local Government Pension Scheme (Benefits, Membership and Contributions) Regulations 2007 (SI 2007/1166) have been laid before Parliament. The regulations will come into force on 1 April 2008. They are the culmination of the lengthy review of the local government pension scheme that the government has conducted over the past couple of years. New elements include a standard normal retirement age of 65, an accrual rate of one-sixtieth of a member's salary for each year of pensionable service, and an increase in the minimum age for early retirement (other than on ill-health) to 55. Consultation on a draft version of the regulations closed on 28 February 2007, and a full update will appear when the Department for Communities and Local Government has published the results of its consultation analysis. (See Local Government Pension Scheme (Benefits, Membership and Contributions) Regulations 2007 (SI 2007/1166).)

The Employment Committee of the European Parliament has endorsed a proposed directive on improving the portability of supplementary pension rights within and across member states of the European Union. The proposed directive sets minimum standards in accordance with which workers must acquire pension entitlements, preserved benefits and the right to transfer entitlements. Member states will be required to implement the proposed directive by 1 July 2008.

In Hodgson and others v Toray Textiles Europe Limited [2007] EWHC 444 (Ch), the High Court held that the trustees of the Toray Textiles Europe pension scheme did not exceed their powers when they executed a definitive deed in 1993 that contained different provisions in relation to early retirement pensions from the scheme's interim deed. The case arose after one of the representative defendants in an earlier court application asked the court for further guidance.

The European Court of Justice has held that UK pensions law is not compatible with the Insolvency Directive.

The Court of Appeal has held that if a statement in a members' booklet is inconsistent with the scheme's trust deed and rules then the trust deed and rules prevail, provided that the booklet is manifestly not intended to override them.

In Jones v Bright Capital Limited and others, the High Court held that a compromise reached between a deferred member of a final salary scheme and his former employer entitled him to receive the same level of guaranteed pension increases on his basic scheme pension and a top-up pension promised by the employer. In reaching its decision, the court took account of extraneous material, following the approach advocated by Lord Hoffmann in Investors Compensation Scheme Ltd v West Bromwich Building Society [1998] 1 WLR 896.

The Department for Trade and Industry (DTI) and Department for Work and Pensions (DWP) have published draft revised guidance on the impact of the age discrimination legislation on pension schemes. The pensions provisions of the Employment Equality (Age) Regulations 2006 (SI 2006/1031) (as amended by the Employment Equality (Age) (Amendment No. 2) Regulations 2006(SI 2006/2408) are due to come into effect on 1 December 2006. The revised guidance provides illustrative examples of the effect of the legislation on pension schemes. It updates the DTI guidance originally published in July 2005, reflecting the changes made to the pensions aspects of the legislation following consultation.The DWP has asked for comments on the draft by 29 November 2006.

The Department of Work and Pensions is consulting on amendments to the pensions aspects of the Employment Equality (Age) Regulations.

The Department for Work and Pensions has announced that the application of new age discrimination rules to pension schemes will be delayed.

The High Court has considered how far equalisation of benefits between men and women can be achieved by a retrospective amendment.

The High Court has held that an amendment of a pension scheme to require employer consent to early retirement was invalid to the extent that it prejudiced the rights of members accrued before the amendment date.

The High Court has held that a trustee's decision to distribute two-thirds of a lump sum death benefit to the deceased's co-habitee, who was expecting his child, and only one-third to his daughter, who was not financially dependent on him, was a valid exercise of its discretion.

The Occupational and Personal Pension Schemes (Consultation by Employers and Miscellaneous Amendment) Regulations 2006 have come into force.

HM Revenue & Customs published the draft Pension Schemes (Modification of Rules of Existing Schemes) Regulations 2005 on 21 October 2005. The draft regulations will permit the continued application of the earnings cap and Revenue limits in certain circumstances and for a limited period after 6 April 2006. The transitional period will last a maximum of three years.

The High Court has upheld a Pensions Ombudsman decision to compensate a complainant by directing his employer to admit him to membership of their pension scheme rather than award him damages.

The High Court has confirmed the correct approach to compensation in misstatement cases.

Regulations taking effect on 1 December 2003 will outlaw discrimination by occupational pension schemes on the grounds of religion or belief or sexual orientation.

The Department of Trade and Industry has issued a consultation paper on its proposals for outlawing age discrimination.

The High Court has ruled on the meaning of the expression "retires from service at the request of the Employer".

Warnings have been issued by pension consultants that a number of bogus pension schemes have been set up to defraud members of their transfer payments.

The High Court has confirmed that a contractual arrangement between an employer and an employee can override pension scheme rules.

The High Court has held that the Pensions Ombudsman was wrong to find that a breach of Article 141 of the EC Treaty amounted to maladministration.

The pension sharing provisions of the Welfare Reform and Pensions Act 1999 came into force on 1st December, 2000.

The pension sharing provisions of the Welfare Reform and Pensions Act 1999 will come into force on 1st December, 2000.

The High Court has confirmed that covert surveillance can be lawful where trustees are establishing eligibility for an incapacity pension.

The High Court has held that a member's benefits can be claimed by the trustee in bankruptcy even after the member has been discharged from bankruptcy.

The High Court has considered the power to make earmarking orders conferred by the Pensions Act 1995.

A recent decision of the Pensions Ombudsman covers several important points which trustees should bear in mind when considering applications for ill health retirement pensions.

The government has published a White Paper containing proposals to give courts power to order "pensions splitting" on divorce.

The Inland Revenue has issued new guidance on the cases where they will permit a scheme to treat a person as the dependant of a member in order to pay that person a pension on the member's death.

The government has announced that there will be a cut of 0.2% in the contracting-out rebate for employee's National Insurance contributions with effect from 6th April, 1997. The rebate for employer's contributions will be unchanged at 3%.

Preliminary guidance has been given by the Inland Revenue on the implications of the Coloroll judgment.

The European Court of Justice (ECJ) has now given its judgment in Coloroll and five other cases relating to Article 119 of the Treaty of Rome.

In his Opinion in Smith v Avdel Systems Limited, the Advocate-General has said that an employer can comply with the Barber judgment by reducing the benefits of female members for service after the date on which the reduction is put into effect.

The government has decided that the state pension age shall be equalised at 65 for men and women. The change will be implemented between 2010 and 2020. The government has also published a consultative document on equalising the terms for contracting-out of the state scheme.

The European Court of Justice (ECJ) has ruled that it is not contrary to Article 119 of the Treaty of Rome for an occupational pension scheme to provide a bridging pension for a man and not for a woman where the objective is to counteract the more favourable treatment for women under the state pension scheme.

The European Court of Justice (ECJ) has ruled that its decision in Barber v Guardian Royal Exchange Assurance Group was not retroactive. This means that the obligation to equalise pension benefits only applies to benefits deriving from service after 17th May, 1990. The requirement to equalise also applies to survivors' benefits.

In the Melton Medes pension scheme case, the judge has appointed judicial trustees of the pension scheme and has made an order giving the members the right to use pension scheme money to finance their action for breach of trust against the former trustees.

In a recent Opinion the Advocate General to the European Court of Justice (ECJ) has advised that providing bridging pensions for men but not women is not contrary to Article 119 of the Treaty of Rome where the payments are aimed at ensuring that men and women receive the same overall pension (occupational pension and state pension combined). The ECJ is likely to follow this opinion in its judgment expected later this year.

The Advocate General has given his Opinion in the Coloroll case. He considers that the Barber judgment should only be relied on in relation to benefits relating to post-17th May, 1990 service. He also considers that the judgment is directly binding on the trustees of a pension scheme. The final judgment in Coloroll is now expected by October 1993.

The High Court has directed in a recent case that provision for a divorced wife should be made out of a member's pension scheme. There were special circumstances in the case which means that it will not apply to most company pension schemes. The Pensions Management Institute working party will shortly be issuing a report on pensions and divorce which is likely to affect all pension schemes.

Employer owes no duty of care to employee when supplying information to the trustees of the employer's pension scheme.

Schedule 5 of the Social Security Act 1989 did not come into force on 1st January, 1993, as originally planned. Schedule 5 contains provisions designed to secure equal treatment for men and women and was enacted to comply with EC Directive 86/378. The status of this directive is in doubt following the decision in Barber v Guardian Royal Exchange Assurance Group and the government have therefore decided not to implement Schedule 5 until after the result of the Coloroll case is known, hopefully in the summer of 1993.

The rejection of the Maastricht Treaty by the people of Denmark in the Referendum means that there is a serious possibility that the Treaty will not be ratified by all EC member states and will therefore never come into force.

An amendment to the EC Treaty has been adopted to resolve problems created by the Barber case.

The Coloroll case has been referred to the European Court of Justice (ECJ) with the request to clarify its judgment in the Barber case.

Mr Roscoe received a smaller pension on his retirement than he would have received if he had been a woman and claimed compensation from his employer, based on Article 119 of the Treaty of Rome and Barber v GRE. The employer's defence was that Mr Roscoe could not bring a claim in respect of the part of his pension which was attributable to pensionable service before 17th May, 1990. The tribunal rejected this argument and found for Mr Roscoe.

The Industrial Tribunal has held that a male employee who retired before his company's normal pension age for men (65) but after the company's normal pension age for women (60) could claim for the full pension comparable with women as he began to receive his pension after 17th May, 1990, the cut-off date laid down by the Barber case.

Counsel's opinion on whether the judgment is retrospective in the Barber v Guardian Royal Exchange case.

The Social Security Act 1990 provides that any member of an occupational pension scheme will have the same rights under the preservation requirements of the Social Security Act 1973 as if he had actually left service.

The European Court of Justice (ECJ) has held that occupational pension schemes must apply the same retirement benefits to men as they do to women made compulsorily redundant by their employers.