§ Mr. Tim Smithasked the Chancellor of the Exchequer why the superannuation funds office has returned to employers pension schemes submitted to them for approval before Budget day.
§ Mr. Norman Lamont[pursuant to his reply, 9 April 1987]: I assume my hon. Friend has in mind the decision of the Inland Revenue superannuation funds office not to give formal tax approval to occupational pension schemes until the Finance Bill has received Royal Assent. This is because the tax reform package for pensions announced in the Budget requires pension schemes to have rules which conform with the Budget proposals and, until the Finance Bill is enacted, the precise form of these rules cannot be known. However, schemes established before Royal Assent should generally benefit from the usual tax reliefs on a provisional basis until such time as they can finalise their rules and obtain approval.