Collection

Pensions Bill

This series brings together all of the department’s publications for the Pensions Bill 2013-14.

We introduced the Pensions Bill 2013-14 to Parliament on 9 May 2013. Subject to its parliamentary progress, the Bill is expected to receive Royal Assent by the end of the session in spring 2014.

Go to the Parliament website for the Pensions Bill 2013-14 and explanatory notes.

We’ve published supporting documents including impact assessments and a Delegated Powers Memorandum. These are available below.

Background – the draft Pensions Bill (published earlier)

We published the draft Pensions Bill and related impact assessments on 18 January 2013. The Work and Pensions Select Committee conducted pre-legislative scrutiny on Part 1 of the draft Bill – the single-tier pension provisions. They published their report on the single-tier pension on 4 April 2013. We published the government response to the Select Committee report on 10 May.

Main provisions of the Pensions Bill

State Pension reform (the single-tier pension)

The Bill contains provisions to implement the single-tier state pension as set out in The single-tier pension: a simple foundation for saving. The single-tier pension will, for future pensioners, replace the current basic State Pension and additional State Pension with a flat-rate pension that is set above the basic level of means-tested support.

Bringing forward the increase in the State Pension age to 67

This change will mean that the State Pension age will gradually rise from 66 to 67 between 2026 and 2028.

A framework for future changes to State Pension age

The framework provides for a regular review of the State Pension age, based around the principle that people should spend a given proportion of their lives receiving a State Pension.

Bereavement benefits

The Bill contains provisions to introduce Bereavement Support Payment to replace the existing bereavement benefits for new customers. The reforms will significantly simplify the system by moving to a more uniform payment structure with support focused on the period immediately following bereavement and a single contribution condition. These proposals were set out in the government’s response to Bereavement Benefit for the 21st Century.

Automatic transfers

The Bill introduces a framework to provide for a system of automatic transfers of small pension pots so that an individual’s pension will follow them to their new pension scheme when they change jobs. This will help individuals to consolidate their pension saving and benefit from having their pensions in fewer places.

Automatic enrolment

The Bill contains a number of amendments to the Pensions Act 2008 in relation to automatic enrolment in to workplace pension schemes. These are designed to address technical issues and clarify existing powers ahead of the next major staging milestone for automatic enrolment in spring 2014.

Other private pensions measures

The Bill contains a number of other measures relating to private pensions, many of which strengthen existing legislation. For example, the Bill:

  • provides for the abolition of short service refunds for people who leave a money purchase occupational pension scheme within two years
  • introduces a new objective for the Pensions Regulator
  • provides for regulations to be made to prohibit the offer of incentives to encourage people to transfer a cash equivalent value of their accrued rights from a salary-related occupational pension scheme to an alternative arrangement

The Bill

The Pensions Bill and the supporting explanatory notes are on the Parliament website.

Pensions Bill impact assessments

  1. Pensions Bill impact assessments: October 2013

    • 31 October 2013
    • Impact assessment
  2. Abolition of Assessed Income Periods for Pension Credit - Impact Assessment

    • 22 October 2013
    • Impact assessment
  3. The Pension Protection Fund compensation cap amendments: impact assessment

    • 4 July 2013
    • Impact assessment
  4. Pensions Bill impact assessments: May 2013

    • 10 May 2013
    • Impact assessment

Draft Pensions Bill

  1. Government response to the Select Committee report on Part 1 of the draft Pensions Bill

    • 10 May 2013
    • Policy paper
  2. Draft Pensions Bill

    • 10 May 2013
    • Policy paper
  3. Draft Pensions Bill – impact assessments

    • 10 May 2013
    • Impact assessment

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