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Contributory scheme meaning

What does Contributory scheme mean?
A contributory scheme is an occupational pension scheme in which members pay contributions from their earnings, in addition to contributions paid by the employer. The expression is descriptive rather than a statutory term, and is used consistently across England & Wales, Scotland, Northern Ireland and Ireland. Key features include: - Member (employee) contributions set by the scheme rules, typically as a percentage of pensionable salary, either mandatory or voluntary. - In defined contribution schemes, member and employer contributions fund the member’s pot; in defined benefit schemes, member contributions help meet funding costs but do not determine the benefit promised. - Contributions are usually deducted through payroll under contractual authority, with tax relief applied under the relevant UK or Irish tax regime. - Changes to required member contribution rates are governed by the scheme rules and may engage employer consultation and trustee processes. A scheme where only the employer contributes is termed non-contributory. Salary sacrifice (employer-funded contributions paired with reduced salary) may render a scheme non-contributory in form, despite members bearing an equivalent cost. In Ireland, do not confuse this term with the State Pension (Contributory), which is unrelated to occupational schemes.
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NEWS
Personal Injury and Clinical Negligence update: UK Supreme Court on secondary victims; key RTA, employer and occupier liability cases; fraud, healthcare regulation and Brexit reforms—11 January 2024

PI & Clinical Negligence weekly highlights—11 January 2024 In this issue: Supreme Court decision in Paul and another v Royal Wolverhampton NHS Trust Road traffic accidents Employers’ liability Occupiers’ liability Abuse and criminal injuries Fraud and fundamental dishonesty Regulation of healthcare professionals Brexit Useful information Daily and weekly news alerts Supreme Court decision in Paul and another v Royal Wolverhampton NHS Trust The Supreme Court has delivered its Judgment in Paul v Royal Wolverhampton NHS Trust [2024] UKSC 1, addressing whether a person may recover for psychiatric harm after observing the death or another shocking event involving a close relative resulting from earlier clinical negligence. By a six-to-one majority, the court determined that, whilst doctors owe a duty of care to protect their patients’ health, they do not owe a duty to close family members to guard them from illness arising from witnessing a relative’s death or medical crisis caused by a condition...

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NEWS
PI and clinical negligence update (England and Wales): secondary victim psychiatric injury, RTA insurer liability, UEFA jurisdiction, hospital consultant liability, infected blood GLO refusal, litigation funding oversight, IBCA compensation progress

In this issue: Psychiatric and occupational stress Road traffic accidents Accidents abroad Clinical negligence Case management Costs and funding Other news LexTalk®PI & Clinical Negligence: a Lexis®Nexis community Daily and weekly news alerts LexisNexis® Webinars Useful information Psychiatric and occupational stress Court of Appeal grants damages to a child secondary victim from the historic Hyde Park bombing In Young v Downey [2025] EWCA Civ 177, the claim traces back to the 1982 Hyde Park bombing. The defendant, although never convicted, has been found in other courts to have been involved as a perpetrator. The claimant is the daughter of a bombing victim. She was in Hyde Park at the time, heard the blast, and witnessed appalling injuries in the aftermath. She later learnt that her father had been killed. As a consequence, she suffered substantial secondary psychiatric harm. Yet she was only four at the time, with a child’s comprehension...

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NEWS
DPO finds multiple statutory and equitable investment breaches by trustee; personal liability imposed; exoneration and indemnity defeated by dishonesty; administrator’s maladministration; substantial redress directed

Summary The DPO upheld a complaint, concluding that a pension scheme trustee committed multiple breaches of trust by directing scheme assets into speculative ventures and holdings in which he had a personal stake. He did not obtain advice before making these investment decisions. Given the trustee’s reckless conduct, the scheme’s exoneration and indemnity provisions afforded no protection. The Ombudsman’s decision emphasises that trustees can be personally liable for breaches of investment duties. What were the facts? Mr M and Mr Y were members of the Focus Administration Pension Scheme (the Scheme). Mr Williams acted as trustee, initially in his personal capacity and later indirectly through Focus Administration Ltd (Focus), which he controlled as a director/shareholder. Brambles Administration Ltd (Brambles) served as the Scheme administrator. The Scheme’s assets were allocated between: lending at below‑market rates to unregulated finance companies and small property developers; and acquiring leases of office pods together with shares in small property development companies...

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PRACTICE NOTES
Self-driving vehicles in the UK: AVA 2024 regulatory framework, authorisation and in-use enforcement, with liability, insurance, product safety, data and marketing issues

This Practice Note considers the following issues in relation to the development and use of autonomous and connected vehicles (also referred to as self-driving vehicles, driverless cars or automated vehicles): Core terminology and concepts Developments in sector-specific UK law The Law Commissions’ joint report: Automated Vehicles Automated Vehicles Act 2024 Liability Product liability under the Consumer Protection Act 1987 Advertising and marketing Data protection and cybersecurity Mobility-as-a-service Public policy and press coverage around driverless technology has largely centred on privately owned road vehicles, which is the principal emphasis of this note at present. Nonetheless, the underlying systems span multiple industries, and there are indications that earlier, tangible gains may arise from advancing automated vehicle capability in fields such as maritime transport and agriculture. The technology’s relevance extends well beyond personal transport, with earlier adoption likely in certain commercial settings. For a summary of key dates and information relating to the development of automated vehicles in...

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PRACTICE NOTES
2023 civil litigation appeals: key judgments and forthcoming Supreme Court appeals tracker (archived)

ARCHIVED: This archived Practice Note sets out key dispute resolution (DR) appeals or notable appellate court rulings in the sphere of general civil litigation in England and Wales from 2023 to the present, and highlights significant pending appeal matters (to support horizon scanning) alongside reported decisions handed down by the Supreme Court, Court of Appeal, Competition Appeal Tribunal, Judicial Committee of the Privy Council (the Privy Council), Court of Justice of the European Union (Court of Justice) and the European Court of Human Rights (ECtHR). Links are provided to each judgment and any bespoke News Analysis to aid comprehension of the principles addressed in the decisions and the impact of those rulings. This Practice Note comprises two elements designed to help dispute resolution practitioners stay current with developments in case law that affect their practice area, or that bear upon civil litigation procedure more generally: selected forthcoming appeals to the Supreme Court are listed below; see Dispute resolution: key appeal cases—2023—Key forthcoming appeals to the Supreme...

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PRACTICE NOTES
NHS Injury Costs Recovery via the CRU: tariffs, certificates, payment, review and appeal; contributory negligence and multiple compensators (including FSCS)

This Practice Note It sets out how NHS charges are recovered, covering applications for certificates, payment of sums due, and routes to request a review or lodge an appeal against an NHS charges certificate. It explains how to apply for a certificate, settle NHS charges, and the steps to seek a review or bring an appeal where that is required. It further addresses procedures where contributory negligence arises and where more than one compensator is involved. Where an injured party obtains compensation following an accident, the NHS may reclaim the costs of that person’s NHS hospital care and any associated ambulance charges. Responsibility for collection rests with the Compensation Recovery Unit (CRU), which then reimburses the appropriate hospital or ambulance provider. The scheme is designed so that monies recovered by the CRU flow straight to the NHS and/or the ambulance trust that delivered the care, for reinvestment in patient services. The Department for Work and Pensions (DWP) makes clear these sums are not extra funding, but reimbursement of resources...

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PRECEDENTS
UK Share Incentive Plan: Partnership Share Agreement with Matching and Dividend Shares (Template)

Parties Participant Name: [ insert name of participant ] Residential Address: [ insert address of participant ] Payroll Reference: [ insert payroll number of participant ] Company Name: [ insert name of company ] Registered Address: [ insert registered address of company ] Registered Number: [ insert registered number of company ] Trustee Name: [ insert name of trustee ] Registered Address: [ insert registered address of trustee ] Registered Number: [ insert registered number of trustee company ] This agreement outlines the conditions under which the Participant commits to purchase Partnership Shares [and receive Matching Shares] in line with the Plan. The definitions set out in the Plan Rules shall apply to this agreement. Should any inconsistency arise between this agreement and the Rules, the...

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