ITEM PF18
PENSION FUND COMMITTEE – 25 FEBRUARY 2009
DEATH GRANT
Report by Assistant Chief Executive and Chief Finance Officer
Introduction
1. The Local Government Pension Scheme Regulations (1997) state that if a scheme member dies before his 75th birthday, the administering authority at their absolute discretion may make payments to or for the benefit of the member's nominee or personal representatives or any person appearing to the authority to have been his relative or dependant at any time.
2. This report asks the Committee to exercise their discretion under these Regulations.
Background Information
3. The sister of the deceased notified Pension Services of the death of this member in January 2004. Pension Services were also advised that the member was married, but had been separated from her husband for several years; had a son who was aged over 18 in 2004 and had not left a will.
4. Numerous attempts were made to contact the husband. A legal trace was made in 2006 which suggested an address for the son, but further attempts to contact the family failed. The sister was unable to give any further information.
5. In 2008 a new legal trace was made and this produced addresses for both husband and son of the deceased. Pension Services wrote to both the husband and son regarding the benefits due to be paid.
6. The husband has now provided information necessary to bring the widower’s pension into payment.
Death Grant
7. The member had not made any nomination regarding payment of the death grant.
8. The late member’s son wrote asking to be considered as a beneficiary for the death grant since he had been living with his mother at the time of her death. This letter also stated that the only other beneficiary of whom he was aware would be his father who had separated from his mother in 1994.
9. A letter was also received from the deceased’s sister in law supporting payment of the death benefit to her nephew rather than to her brother, who she states has already benefited financially despite being separated from his wife and offering no support during her last illness.
10. A second letter from a family friend also supports the payment of the death benefit to the late member’s son rather than her husband for the same reasons as stated above.
11. Two letters have been sent to the husband explaining that Pension Services have been contacted by another, potential, beneficiary and asking for information about any other beneficiaries and whether he wishes to make a claim regarding his entitlement to this benefit. To date no reply has been received.
RECOMMENDATION
12. The Pension Fund Committee is RECOMMENDED to make payment of the death benefit to the deceased member’s son.
SUE SCANE Assistant Chief Executive & Chief Finance Officer
Background papers: Nil
Contact Officer: Sally Fox Tel: (01865) 797111
February 2009
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