The Iron and Steel (Pensions) (Dependants) Regulations 1969

Dependants' pensions

3.—(1) In this regulation the expression “deprived pensionable dependant” means the widow or child or other dependant of a deceased person who was immediately before his death in receipt of retirement compensation, or of a deceased person to whom retirement compensation would then have been payable had he then reached normal retiring age, being a widow, child or other dependant who under the last relevant pension scheme would have been paid an annual sum by way of pension, or as the case may be, a larger annual sum, but for the deceased person's having suffered a loss or diminution of pension rights in consequence of a relevant event.

(2) Subject as is in these regulations provided, the Corporation shall pay annually by way of pension to a deprived pensionable dependant—

(a)where the deceased person was in receipt of retirement compensation, the sum which bears the relevant proportion to the annual rate of that retirement compensation;

(b)where the deceased person was not in receipt of retirement compensation, the sum which bears the relevant proportion to the annual rate of retirement compensation which he would have received under regulation 19 of the principal regulations had he become entitled to that compensation immediately before his death:

Provided that—

(i)where by virtue of a provision of the last relevant pension scheme the annual pension which would have been paid to a deprived pensionable dependant would not have exceeded, or would not have been less than, or would have been, a specified sum, the annual pension payable under this regulation, together with any annual pension payable to the deprived pensionable dependant under the last relevant pension scheme, shall correspondingly not exceed, or shall not be less than, or shall be, that specified sum; and

(ii)for the purpose of computing a sum payable under this regulation the annual rate at which retirement compensation is paid or would have been payable to a person shall be regarded as the rate at which it would have been paid or payable if any surrender of retirement compensation made under regulation 25 of the principal regulations or compounding of retirement compensation effected under regulation 31 of those regulations had not taken place.

(3) Where a person who suffers loss of employment in consequence of a relevant event exercises an option, contained in the last relevant pension scheme, which becomes exercisable by reason of that loss, the effect of which is that a deprived pensionable dependant ceases to be entitled to a pension upon the death of that person and that person subsequently dies, that deprived pensionable dependant shall be paid annually by way of pension by the Corporation such amount as the Corporation assess to be equivalent to that which would have been payable to such dependant had the deceased been treated under the principal regulations as having suffered a complete loss of pension rights.

(4) A pension under this regulation shall cease to be payable in circumstances in which the corresponding pension under the last relevant pension scheme would have ceased to be payable.

(5) If the corresponding pension under the last relevant pension scheme would have been increased or supplemented in specified circumstances, or might at the discretion of the body administering that scheme have been increased or supplemented to a specified extent, the Corporation shall in those circumstances, or may at their discretion, as appropriate, increase or supplement to a proportionate extent the pension payable under this regulation, and in the exercise of this discretion the Corporation shall have regard to the terms of any relevant resolution of the body administering the pension scheme with regard to the increase of benefits.

(6) Subject to paragraph 7 hereof if the last relevant pension scheme provides for payment of an annual sum by way of pension payable under that scheme to any specified person on behalf of a child or other dependant, any pension payable under this regulation to a child or other dependant shall be paid to the person so specified on behalf of the child or dependant in the like manner and for the like period as is provided in that pension scheme, and if that pension scheme contains no such provision the payment may be made to such person on behalf of or for the benefit of a child or other dependant as the Corporation may determine.

(7) Payment of a pension to a widow under this regulation shall only be made to her direct or on her instruction, unless she is unable to give any instruction whereupon payment may be made to such person on her behalf or for her benefit as the Corporation may determine.

(8) Where an annual sum payable under this regulation does not exceed £26, the Corporation may, at their discretion, compound their liability in respect thereof by paying a lump sum equivalent to the capital value of the annual sum.

(9) In this regulation “relevant proportion” means the proportion which the last relevant pension scheme specified as being the proportion the pension which would have been payable to a deprived pensionable dependant should bear to the pension which was or would have been payable to the deceased person.