TNAG-0697-FCO40-847-Pension-scheme-for-governors-1978 — Page 30

HKA 233/1

RECEIVED

12 SEP 1978

37

Civil Service Department Whitehall London SW1A 2AZ

Telephone (Direct dialling) 01-27397

(Switchboard) 01-273 3000

DESK OFFICER

A

INDEX

PA

Action Take

D.

M 1/9

Mrs MT Foley

Ministry of Overseas Development

Eland House

Stag Place

LONDON SW1E 5DH

Your reference

Our reference

Date

8 September 1978

Dear Mrs Foley

GOVERNORS PENSION SCHEME

Thank you for your letter of 16 August.

LABT

R

(22

NEXT

REP.

2. In my letter of 28 June I was not questioning that there is power in the Superannuation Act 1972 to amend a scheme made under that Act or that there was power in the Overseas Pensions Act 1973 to amend a scheme made under that Act. Nor was I suggesting that there is no power to consult. What I was saying was that a scheme under the Overseas Pensions Act could not amend the Principal Civil Service Pension Scheme and that any provision in the Governors' Pension Scheme that, for instance, provides for a pension to be based on total service, including civil service, that would give a pension under the Governors Pension Scheme but would not take away the right to a deferred pension under the PCSPS in respect of the same period of civil service. It would merely have conveyed an entitlement to double henefit for that period. On the other hand the Governors Pensions et could and did amend the Superannuation Act and that was saved in respect of Governors by section 23(2) of the Superannuation Act 1972.

3. We are now moving into a new era where both civil servants and Governors will be pensioned under schemes made under the respective Acts and the schemes must be framed accordingly. You are replacing the Governors Pensions Act 1957 by a scheme made under the 1973 Act. When that happens the saving in section 23(2) of the Superannuation Act 1972 would cease to operate and the corresponding effect has to be achieved by amendment of the PCSPS under the powers given to amend that scheme. The amendments I proposed in my letter of 28 June were directed to that end.

Yours sincerely

C

DL Hawkins

Superannuation Division

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