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Protected modification meaning

What does Protected modification mean?
In pensions practice, a protected modification is a proposed change to an occupational pension scheme that would or might: (1) convert any subsisting right that is not a right to money purchase benefits (i.e. defined benefit) into money purchase (defined contribution) benefits; or (2) reduce any pension already in payment. The term is defined in UK pensions legislation (section 67 of the Pensions Act 1995, as amended) and in parallel Northern Ireland provisions. A protected modification is a type of regulated modification: it cannot be made using the actuarial equivalence route and ordinarily requires the informed consent of each affected member or beneficiary. It directly constrains the use of a scheme’s amendment power by employers and trustees when changing accrued benefits. Usage is consistent across England and Wales and Scotland; Northern Ireland mirrors the UK position. In Ireland, “protected modification” is not a defined statutory term, but the expression is used descriptively. Comparable protections arise under the Pensions Act 1990 (as amended), including statutory processes for reducing accrued benefits or pensions in payment (for example, section 50 orders).
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View the related News about Protected modification

NEWS
Local government law update—12 June 2025: Supreme Court ruling on Equality Act sex, planning reforms, Vagrancy Act repeal, NHS procurement slavery regulations, education AI guidance, Sizewell C funding

In this issue: Governance Planning Social housing Children’s social care Social care Healthcare Education Environmental law and climate change Local government finance Daily and weekly news alerts New and updated content Governance Equality Act 2010 provisions refer to biological sex, regardless of gender recognition certificate (For Women Scotland v Scottish Ministers) The Supreme Court ruled that, within the Equality Act 2010 (EqA 2010), the words ‘man’, ‘woman’ and ‘sex’ denote biological sex. Treating the relevant provisions as embracing ‘certificated sex’ by virtue of a gender recognition certificate (GRC) would render them incoherent and unworkable, and thus cannot be done. For sex discrimination claims, an individual has the protected characteristic of biological sex only. The relevant parts of the EqA 2010 fall within section 9(3) of the Gender Recognition Act 2004 (GRA 2004), and so displace the section 9(1) rule that a person with a GRC is, for all purposes, of the acquired...

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NEWS
UK Public Law weekly update: Brexit and Windsor Framework developments, SIs, judicial review and human rights judgments, Martyn's Law consultation, subsidy control, electoral changes (8 February 2024)

In this issue: Brexit headlines Brexit SIs Post-Brexit transition guidance Constitutional and administrative law State accountability and liability Judicial review Equality and human rights State security and intelligence Subsidy control and State aid Management and strategic planning Other Public Law updates Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Brexit headlines Brexit Bulletin—Northern Ireland Office publishes policy paper on safeguarding the Union The Northern Ireland Office has released a policy paper on safeguarding the Union, aiming to reinforce the UK Internal Market and the Union for the long term while enabling the UK to benefit from EU freedom. Building on the Windsor Framework, the document spans seven chapters and sets out progress so far, a synopsis of a new package of measures, and the next steps. See: LNB News 31/01/2024 79. Brexit Bulletin—Weekly round-up of EU-UK TCA Specialised Committees’...

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NEWS
Energy law weekly briefing: CfD AR7 results, CPPA call for evidence, heat networks amendments, hydrogen and CCUS updates, updated NPS, EU PFAS rules, grid connections reforms, and key regulatory deadlines

In this issue: Electricity and gas market regulation and licensing Renewable energy Power purchase and energy trading Conventional power, waste to energy, biomass, and CHP projects Hydrogen, CCUS and emerging technologies Planning issues in energy projects International energy New and updated content Dates for your diary Energy resources on Lexis+® Daily and weekly news alerts Electricity and gas market regulation and licensing Electricity Code Modifications All current and active changes to the Connection and Use of System Code (CUSC), the Grid Code (GC), the System Owner—Transmission Owner Code (STC) and the Security and Quality Supply Standard (SQSS) are now comprehensively gathered and presented on NESO’s Modification Tracker. It outlines each modification’s underlying purpose, the stakeholders affected, provides Panel remarks on prioritisation, and indicates precisely its position within the review process. For more information, see: Codes. Renewable energy DESNZ publishes CfD AR7 results DESNZ has released the results of CfD...

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View the related Practice Notes about Protected modification

PRACTICE NOTES
Pro-supplier IT Services Agreement Negotiation Playbook (England and Wales): Clause-by-clause drafting guidance with preferred and fallback positions

This playbook sets out guidance on preparing and negotiating an agreement for the provision of IT services from a supplier‑favourable perspective. Within it you will find both a preferred position and, where necessary, a fallback stance for the clauses most frequently negotiated. That said, it cannot be expected to cover every potential point that might arise in the course of negotiating a specific agreement. It is designed for lawyers acting for the supplier, whether they are part of an in‑house legal team or practising in private practice. Users should tailor the playbook as required to address client‑specific issues and to ensure their client’s interests are fully protected. The degree of risk indicated in the playbook may vary depending on the client in question. For the template agreement on which this playbook is built, refer to Precedent: IT services agreement—pro‑supplier. Read this alongside Practice Note: Negotiation guide—IT contracts, which gives a broader discussion of key negotiation issues in IT contracts of various kinds and may suggest further fallback options as needed....

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PRACTICE NOTES
Section 67 Pensions Act 1995: amending occupational pension schemes—subsisting rights, protected/detrimental/prohibited modifications, member consent or actuarial equivalence, trustee approval, reporting and Pensions Regulator enforcement

THIS PRACTICE NOTE APPLIES IN RELATION TO OCCUPATIONAL PENSION SCHEMES The framework set out in sections 67–67I of the Pensions Act 1995 (PA 1995), often called the ‘subsisting rights provisions’ or simply the ‘section 67 regime’, places statutory limits on what changes can be made to occupational pension schemes. Broadly, section 67 is intended to stop adverse changes to members’ accrued (past service) benefits unless members agree. From 6 April 2006 (A‑day), section 262 of the Pensions Act 2004 revised the wording of the original section 67 (the ‘old s 67’). Following A‑day, the regime applies to ‘regulated modifications’ (see below), whereas the old s 67 covered any change that ‘would or might affect any entitlement, accrued right […] of any member acquired before’ the modification took effect. The old s 67 regime governed amendments made between 6 April 1997 and 5 April 2006. Prior to 6 April 1997, no section 67 regime existed and any protection against adverse alterations to scheme benefits (if any) derived solely from the...

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PRACTICE NOTES
Scheduled monuments in Wales: designation, consent, offences, enforcement and compensation under the Historic Environment (Wales) Act 2023

Legislation and guidance On 14 June 2023, the Historic Environment (Wales) Act 2023 (HE(W)A 2023) obtained Royal Assent. It unifies the main laws safeguarding Wales’s historic environment, namely the Ancient Monuments and Archaeological Areas Act 1979 and the Historic Environment (Wales) Act 2016, whose provisions are now consolidated within HE(W)A 2023. Part 2 of HE(W)A 2023 establishes the statutory framework for scheduled monuments in Wales. Section 14(3) (regulations on applying for scheduled monument consent) and s 26(5)–(6) (regulations on scheduled monument partnership agreements) commenced on 9 September 2024, with the remainder of Part 2 coming into force on 4 November 2024. National policy on scheduled monuments is articulated in Planning Policy Wales and Technical Advice Note 24: The Historic Environment (TAN 24). Welsh Ministers have additionally issued guidance entitled Managing scheduled monuments in Wales. What is a scheduled monument? A scheduled monument is a heritage asset of national archaeological or historic significance that is protected from unauthorised alteration. Scheduling aims to secure their preservation and retain them,...

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PRECEDENTS
Workforce agreement template for employers with 20 or fewer workers to modify or exclude provisions of the Working Time Regulations, including signature requirements and duration

This workforce Agreement is dated [ date ] Parties [ enter company name ] [ of OR whose registered office is at ] [ enter address ] company registration number [ enter number ] (the ‘Employer'); and those Relevant Employees who execute this Agreement...

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PRECEDENTS
Precedent letter: Employee appeal against refusal or modification of flexible working request

[ Insert name and job title of intended recipient ] [ Insert name of employer company ] [ Insert address of recipient at employer ] [ Insert date ] Dear [ insert name ] I am writing in connection with my flexible working application dated [ insert date which appeared on employee’s request ] and the decision issued by [ insert name of employer company ] on [ insert date ], which I received on [ insert date ]. I wish to appeal [ insert name of employer company ]’s decision [ to refuse my flexible working request in its entirety OR to decline the changes I sought to my terms and conditions of employment and instead propose to [ describe nature of alternative offer that employer made in response to original request ] ]. The basis for my appeal is [ insert grounds on which appeal is being made ]. I would welcome your response setting out your proposals for the next steps to...

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