DWP Central Freedom of Information Team

Our Ref: VTR1047

03 November 2008

Dear Mr Wynn

Freedom of Information Request - VTR 1047

Thank you for your recent FOI request about regulation 14 of the Stakeholder Pensions regulations- “permitted reductions.”

Any reduction (including those listed in regulation 14 of the Stakeholder Pension Schemes Regulations 2000) to the value of any rights of a member would lead to the reduction being used in a way which could not result in the provision of benefits to the member. It follows, therefore, that there can be no further reductions to the rights of a member other than those listed in regulation 14. The purpose of the quoted text is to ensure that regulation 13 cannot be applied in isolation and that account must be taken of the exceptions set out in 14.

The text quoted in the request has been extracted from the original regulations that came into force on 1 October 2000. These have since been amended by the Stakeholder Pension Schemes (Amendment) Regulations 2005, which substituted new regulations 14A-14C. Regulation 14B sets out further permitted reductions in funds. To take account of this, regulation 13 was amended at the same time so that paragraph 13(1) now reads “Except to the extent permitted by regulation 14 or 14B”.

If you are not satisfied with my handling of your Freedom of Information request please tell me why. I will then arrange for an internal review of your request and my actions. The review will be conducted by another officer of a more senior grade to myself who took no part in my original decision. The reviewing officer will advise you of their decision in writing.

If you are still not satisfied after we have looked at your request again, you can then ask the Information Commissioner to look into the way your request has been handled. The Commissioner is an independent officer who is appointed by Her Majesty the Queen and reports directly to Parliament. The Commissioner can see all the papers about your request and decide whether my decision is fair and meets the requirements of the Freedom of Information Act.

The Commissioner can be contacted at:

Information Commissioner's Office

Wycliffe House

Water Lane

Wilmslow

Cheshire

SK9 5AF

Fax: 01625 524 510

e-mail: http://www.informationcommissioner.gov.uk

If you have any queries about this letter, please contact me. Please remember to quote the reference number above in any future communications.

Yours sincerely

DWP Central FoI Team