Pension-sharing order | Practical Law

Pension-sharing order | Practical Law

Pension-sharing order

Pension-sharing order

Practical Law UK Glossary 4-205-8983 (Approx. 4 pages)

Glossary

Pension-sharing order

Introduced by the Welfare Reform and Pensions Act 1999, pension-sharing orders apply to occupational pension schemes and personal pension schemes. The member's pension rights are valued as a cash equivalent, and part of their value is used for the benefit of the member's ex-spouse. When implemented, the ex-spouse benefits from a pension credit, and the member's rights are reduced by a pension debit. Pension-sharing came into effect on 1 December 2000. Since December 2005, the provisions also apply to a civil partner on the dissolution of a civil partnership.