151B. Transfers from scheme or trust RAC to IORP in another Member State.

AI Summary of 151B. Transfers from scheme or trust RAC to IORP in another Member State.

The trustees of a scheme or trust, referred to as RAC, may transfer liabilities, technical provisions, obligations, rights, and corresponding assets to a receiving IORP, subject to strict regulatory approval. Prior to any transfer, trustees must secure consent from a majority of members, beneficiaries, and, where applicable, the sponsoring undertaking, alongside prior authorisation from the Pensions Authority.

The Pensions Authority will evaluate the transfer's impact on members' long-term interests, ensuring their entitlements remain unchanged and that sufficient assets back the transfer. Timely communication and compliance with statutory requirements are essential throughout this process.

Send it Download PDF

Previous Next

Version status: In force | Document consolidation status: Updated to reflect all known changes

Version date: 22 April 2021 - onwards

(1) The trustees of a scheme or trust RAC may, in accordance with this section, transfer all or part of the liabilities, technical provisions and other obligations and rights as well as corresponding assets or cash equivalent thereof, of that scheme or trust RAC to a receiving IORP.

(2) The trustees of a transferring scheme or trust RAC who intend to transfer all or part of a scheme's, or trust RAC's, liabilities, technical provisions and other obligations and rights, as well as corresponding assets or cash equivalent thereof, to a receiving IORP shall not make that transfer unless the trustees have obtained the prior approval to the transfer by -

(a) a majority of -

(i) the members, and

(ii) the beneficiaries,

of that scheme or trust RAC, and

(b) the sponsoring undertaking, where applicable.

(3) The trustees referred to in subsection (2) shall, for the purpose of obtaining the prior approval referred to in subsection (2) -

Previous Next