The following Pensions practice note Produced in partnership with Sheamal Samarasekera, Macfarlanes LLP provides comprehensive and up to date legal information covering:
The pension implications of an intra-group reorganisation will depend largely on the nature of the group’s pension arrangements. Key pension issues usually arise where a group sponsors one or more occupational defined benefit pension schemes. This Practice Note considers, by reference to two case studies, key issues that employers and trustees should bear in mind when implementing an intra-group reorganisation.
Where the group sponsors a defined benefit (DB) pension scheme, immediate consideration should be given to whether the reorganisation would:
trigger the employer debt liabilities of a sponsoring employer under the Pensions Act 1995, s 75 (the s 75 debt) and, if so, how this could be managed
detrimentally impact the sponsor support available to that scheme, which might in turn:
impact the investment and funding strategy for the scheme, or
expose the sponsoring employers (and parties associated or connected to them) to the Pensions Regulator’s (the Regulator’s) anti-avoidance powers, and
require clearance from the Regulator
Consideration also needs to be given to whether the reorganisation would:
result in a group of employees ceasing to be eligible to participate in the existing pension arrangements and, if so, what action is needed to continue the arrangements or make alternative arrangements
be subject to the provisions of the Transfer of Undertakings (Protection of Employment) Regulations 2006, SI 2006/246 (TUPE) and the related pension protection provisions that
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
This Practice Note considers the law governing the procedural law of arbitration proceedings (the curial law or lex arbitri) and how it is determined under the law of England and Wales (England and English are used as convenient shorthand).The procedural law of the arbitral proceedingsThe procedural
This Practice Note discusses Term Loan B (TLB) facilities which frequently appear as a tranche of senior facilities in syndicated loans in leveraged financings. TLBs are an established feature in the US market and increasingly used in the European lending market for institutional investors.This
Practical completion marks the end of the construction period of a project, when the works are 'finished' and the employer can occupy and/or use them. Practical completion also typically marks the start of the defects liability period/maintenance period.As explained below, practical completion is an
This Practice Note discusses the common law doctrine of privity of contract; the equitable and statutory exceptions to it; how the doctrine affects enforcing a contract against a third party and what happens when, notwithstanding the lack of privity, a contract has an indirect effect on a third
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.