Trust Deed & Rules

The Scheme was established on 29 December 1994 under a Trust Deed and Rules.

A copy of the Trust Deed and Rules can be found here. Please note this is a large document.

There have been a series of amendments to the Trust Deed and Rules, which should be read in conjunction with the original Trust deed and Rules. Each Amendment is summarised below with a corresponding link to the actual Resolution.

UK Coal Sections

With effect from 1 January 2012, there is a separate modified benefit structure applicable to all contributing members of the IWMPS UK Coal sections.  There is therefore a separate appendix to the main Trust Deed & Rules which applies solely to the calculation of benefits within the UK Coal sections from 1st January 2012.  This is the Appendix IV: Modified Rules for the UK Coal Section.

AmendmentDescriptionEffective date
RA1/1998

Amendment to Rule 23 and (and Rule 26(3)(c)– Surviving spouse’s benefit.

To correct previous omission of provision of Death in deferment cash sum.13/01/1998
RA1/1999

Amendment to definition of Earnings in Clause 43(2)

To allow for Profit Related Pay03/02/2000
RA1/2003

Inclusion of new Rule 35A

With effect from 1 December 2000 pension sharing on divorce.Approved into the Rules 15/04/2003
RA2/2003

Amendment to Clause 43(2) re definition of Earnings

Not to include in the definition of Earnings the UK Coal profit sharing bonus scheme from the calendar year 200315/04/2003
RA3/2003

Amendment to Clause 38(1) power of amendment is clarified.

Inclusion of new paragraph (5):

 

29/08/2003
RA3/2003

Amendment to Clause 11 – substitution and amalgamation of Employers’ Funds and Clause 21 and Clause 40 and Clause 41

To allow Associated Employer Funds29/08/2003
RA3/2003

Amendment to Clause 9 & Clause 10 deleted and replaced

To allow different investment strategies29/08/2003
RA3/2003

Inclusion of new Rule 36B – under General Discretion

Introduction of commutation for triviality.29/08/2003
RA1/2005

Amendments to and clarification of Clause 39 of the Trust Deed

Amendment of Indemnity provisions.22/07/2005
RA1/2006

Occupational Pension Schemes (Modification of Schemes) Regulations 2006

 

to modify the Scheme with effect on and from 6 April 2006:

·       to achieve the same effect as all of the modifications in regulations 3 to 8 of the Registered Pension Schemes (Modification of the Rules of Existing Schemes) Regulations 2006 but disregarding any limitation to the transitional period (as defined in regulation 1(2) of the Modification Regulations); and

·          to amend the Trust Deed and Rules so that the Registered Pension Schemes (Modification of the Rules of Existing Schemes) Regulations 2006 no longer apply in relation to the Scheme.

09/01/2007

 

 

RA1/2006

Civil Partnership Act 2004 changes

 

to modify the Scheme with effect on and from 6 April 2006 so that on a member’s death and to the extent necessary to satisfy the relevant requirements of the Civil Partnership Act 2004:

·            a surviving civil partner is to be treated in the same way as a widow or widower; and

·          the rights of any other survivor of the member are to be determined as if the surviving civil partner were a widow or widower.

 

09/01/2007

 

 

RA1/2006

Finance Act changes

to give the Committee discretion to allow a member of the AVC Scheme (as defined in the Trust Deed and Rules) on drawing their benefits under the Scheme to elect to commute up to 25% of his or her AVC Interest (as defined in the Trust Deed and Rules) for a lump sum payment on such basis as the Committee directs, and to confirm that the current limit on member contributions to the Scheme will be retained.09/01/2007

 

 

RA1/2006

Occupational Pension Schemes (Employer Debt) Regulations 2005

 

to amend the Scheme to ensure that it is held to be a sectionalised scheme in accordance with regulation 8 (“Regulation 8”) of the Occupational Pension Schemes (Employer Debt) Regulations 2005.09/01/2007

 

 

RA1/2007

Employment Equality (Age) Regulations 2006

 

 

 

Pursuant to paragraph 2 of Schedule 2 to the Employment Equality (Age) Regulations 2006 (the Statutory Amendment Power) the Committee with the consent of the Co-ordinator to secure conformity with the non-discrimination rule treated as being included in the Scheme in accordance with paragraph 2(1) of that Schedule.  The effect of this amendment will be to level down benefits from 29 January 2007.

 

29/01/2007

 

 

RA2/2007

Exercise of employer discretion – definition of employer

Discretionary powers under the Trust Deed and Rules exercisable by a member’s Employer may be exercised, in the absence of the member’s last Employer, by the current participating Employer in the member’s sub-fund21/02/2007

 

 

RA2/2007

AVC Scheme – as defined in Rule 6 (2)(b)

 

 

 

To allow members who have paid AVCs to commute all their AVC fund for cash.

 

21/02/2007

 

 

RA2/2007

Pensionable earnings (Rule 8) amendment

 

 

 

To mirror the existing practice used by the administrators to include the earnings in the final part tax year as if a complete tax year.

 

21/02/2007

 

 

RA2/2007

Cash Commutation

To commute a greater proportion of pension as long as such payments do not constitute Unauthorised Payments as defined in the Finance act 2004.21/02/2007

 

 

 

 

RA3/2007

Flexible Retirement

 

 

 

To allow members to draw their benefits whilst remaining in eligible employment subject to employer consent, at any time on or after reaching age 50 (55 from 2010) onwards on the basis that having exercised the option to draw benefits the member would not have the right to accrue further Scheme benefits and lose death in service rights.

The benefits are reduced for early payment on a cost neutral basis.

12/09/2007

 

 

RA1/2008

Managing conflict

New clause 38A to include a provision to allow trustees to withhold confidential information from the Committee.02/06/2008

 

 

RA2/2008

Retention of Inland Revenue 15% Limit on Member Contributions

 

To change the Scheme Rules to remove the 15% restriction on member contributions in so far as it applied to AVCs.02/06/2008

 

 

RA3/2008

Salary Sacrifice proposal from UK Coal

 

Amend the Scheme Rules to allow UK Coal to introduce a salary sacrifice arrangement16/03/2009

 

RA1/2009

Levelling option provision

Withdrawal of the levelling option provision for all future awards.22/09/2009

 

RA2/2009

Substitution of employer

To permit the substitution of a new Employer where the existing Employer ceases to be an Employer05/11/2009

 

RA1/2010

Investing in derivatives

Amend the Trust Deed to include an express power for the Trustees to hold derivatives.24/02/2010

 

RA2/2012

Employment Equality (Age) Regulations 2006

Age Discrimination compliance

Various minor changes to the Trust Deed and Rules to ensure compliance with the Age Discrimination Regulations.2/6/2010

 

RA1/2011

Resolution in accordance with S251 PA04

Formally pass the resolution to preserve the COM’s powers to make payments under certain circumstances to employers.2/03/2011

 

RA2/2011

Death benefit lump sum provisions

 

To seek agreement to extend the trustees discretionary power to determine to whom a death benefit lump sum is payable following a member’s death in service;

To seek agreement from Employers to an amendment to the Trust Deed and Rules of the Scheme to extend the Trustees’ discretionary power to determine to whom any death benefit lump sum is payable following the death of member in deferment or retirement.

07/11/2011
RA3/2011

UK Coal Mining section

Introduction of modified benefit structure for contributing members from 1 January 201201/01/2012

 

 

RA4/2011

UK Coal Mining section

Introduction of modified benefits from 1 January 2012:

·       to provide for a money purchase section within the Scheme;

·       to ensure that the assets and liabilities of the money purchase section are ring-fenced from other assets of the UK Coal Mining section if the section were terminated.

01/01/2012

 

 

RA5/2011

UK Coal Mining section

to amend the Rule relating to employer contributions to specify that the employer standard contribution rate is fixed at 9% of Contribution Salaries (plus the value of its National Insurance rebate).01/01/2012

 

 

RA6/2011

Fenton section

A resolution was made to terminate J. Fenton and Sons (Contractors) limited as an employer in relation to the Scheme.01/12/2011
RA1/2012

Internal Transfers

Removal of the requirement within the Trust Deed for the Committee to consult with the Co-ordinator about the basis for the calculation of an Internal Transfer Payment.06/03/2012
RA2/2012

CPL section

Applies only to the Coal Products section of the Scheme.  Amended the definition of Pensionable Earnings to allow the Employer to introduce non-pensionable pay increases from 1 August 2012.01/08/2012
RA3/2012

UK Coal Operations

An amendment required to tidy-up drafting anomalies identified following the implementation of the new Modified Accrual benefit structure within the UK Coal Mining section in 2011.  The amendment ensures that the description of the modified benefits accurately reflects the benefits intended.06/12/2012
RA4/2012

UK Coal Operations section

Applies to the UK Coal Operations section. The Trustees, in exercise of their powers under Section 229 (2) of the Pensions Act 2004, resolved to modify the future accrual of benefits in the UK Coal Operations section so as to be provided on the basis new Modified Accrual benefit structure as set out in Appendix IV to the Trust Deed.07/12/2012
RA1/2013

UK Coal sections

Applies only to the UK Coal sections.  The Trustees, in exercise of their powers under Section 229 (2) of the Pensions Act 2004, resolved to modify the future accrual of benefits in the UK Coal sections so as to be provided on the basis new Modified Accrual benefit structure as set out in Appendix IV to the Trust Deed.09/07/2013
RA2/2013

Co-ordinator expenses

Allows the reasonable and agreed administration costs of the Co-ordinator Company to be paid by the Scheme and recharged to the employers through the Expenses Fund.29/11/2013
RA3/2013

UK Coal Operations section

Scottish Coal section

The amendments allowed Members of the Scottish Coal and the UK Coal Operations Limited Employer Sections who elect during a PPF Assessment Period to commute all or part of their pension for a lump sum payment on the basis for commutation most recently adopted by the Board of the PPF under PA04 Schedule 7 paragraph 24.25/06/2013
RA4/2013

UK Coal Operations section

Applies only to the UK Coal Operations section.   An amendment to allow members of the UK Operations section to take benefits early [from age 50] on an actuarially reduced basis whilst remaining in Eligible Employment within one of the new UK Coal sections.30/11/2013
RA1/2014

AVC/DC benefits

To allow members to transfer their AVC Scheme under Rule 6 of an earlier employer to the AVC Scheme of a later employer.  Additionally, DC members under Appendix IV Modified Rules for the UK Coal sections may opt to transfer the value of their Retirement Account relating to service with one employer to their Retirement Account in the DC section of a later employer.18/06/2014
RA2/2014

Trivial commutation

To allow members the option where the value of any pension payable under the Scheme meets the conditions to be treated as a Trivial Pension, such pension may be commuted immediately in accordance with the Finance Act 2004 for a single cash sum.22/09/2014
RA3/2014

Civil Partnership Act and the Marriage (Same Sex Couples) Act 2013

To comply with the Civil Partnership Act and the Marriage (Same Sex Couples) Act 2013 and thereby provide surviving civil partners with the same benefits as surviving opposite sex spouses, and surviving same sex spouses with the same benefits as surviving opposite sex spouses.22/09/2014
RA4/2014

UK Coal Thoresby section

Applies to the UK Coal Thoresby section: To correct an anomaly in the drafting of Rule 20(3) of the Appendix IV Modified Rules for the UK Coal sections to clarify that members retiring from age 59 from Contributing Service shall have no reduction to their benefits.22/09/2014
RA5/2014

UK Coal Kellingley section

To correct an anomaly in the drafting of Rule 20(3) of the Appendix IV Modified Rules for the UK Coal sections to clarify that members retiring from age 59 from Contributing Service shall have no reduction to their benefits.22/09/2014
RA1/2015

Transfers-out

To reflect in the Trust Deed & Rules the changes from 6 April 2015 regarding members’ statutory rights to transfer out accrued rights particularly in respect of AVC/DC benefits.  Members now have a statutory right to transfer their AVC fund independently of their main Scheme benefits and at any point up to retirement.  The amendment also included the provision to allow the Trustees to withhold a transfer out payment if it has not been possible to carry out the Independent Advice Check or it has but it did not confirm that the member had received appropriate independent advice.Effective 6/4/15
RA2/2015

Adoption of PPF Commutation Factors

To allow a member of an Employer’s section who wishes to commute some of his pension for a cash sum under Rule 14(4) where that Employer’s section is in a PPF Assessment period, the PPF’s basis of commutation will not apply and the basis otherwise specified in Rule 14(4) will continue to apply.11/11/2015
RA1/2017

Expenses

Changes to the way in which certain Scheme expenses are paid.28/02/2017
RA2/2017

Cessation of Contracting-Out

Following changes to the State Second Pension in April 2016, the Amendment ensures the Rules reflect current practice regrading interaction with State Pensions. There is no change to IWMPS benefits.06/04/2016
RA1/2018

Closure of Scheme to New Members

On and from 31 March 2019, no person may be admitted to membership of the Scheme unless they are already a member.
Changes to Rule 48 so that a member who is in receipt of a pension may commence employment with an Employer and earn benefits under the Scheme.
31/03/2019