Lee Andrew v Royal Devon and Exeter NHS Foundation Trust
[2022] EWHC 2992 (Ch)
The Pensions Ombudsman v CMG Pension Trustees Limited & Anor
1 November 2023
[2023] EWCA Civ 1258
Court of Appeal
The question was whether the Pensions Ombudsman could make an official order to take back wrongly paid pensions. The court said no, only a real court can do that, even if the Ombudsman already decided who owed what. The real court just makes the Ombudsman's decision official.
Key Facts
- •Appeal concerned whether the Pensions Ombudsman is a "competent court" under section 91(6) Pensions Act 1995.
- •Part 8 claim sought determination of complex questions regarding a pension scheme's rules.
- •Leech J's judgment ([2022] EWHC 2130 (Ch)) found overpayment of benefits, leading to questions about recoupment under section 91(6).
- •Leech J held that a competent court order is needed for recoupment, a declaration suffices, and the Pensions Ombudsman is not a "competent court".
- •The Pensions Ombudsman appealed Leech J's decision regarding his status as a "competent court".
- •The appeal focused on the Pensions Ombudsman's statutory functions and the construction of section 91(6) PA 1995.
Legal Principles
Modern statutory interpretation requires ascertaining the meaning of words in light of their context and purpose.
Kostal UK Ltd v Dunkley [2021] UKSC 47
External aids to interpretation play a secondary role; statutory words are the primary source of meaning.
R (O) v Secretary of State for the Home Department [2022] UKSC 3
Whether a tribunal is a 'court' depends on the context.
Watson v Hemingway Design Ltd [2021] ICR 1034
The meaning of 'competent court' in section 91(6) PA 1995 must be considered within the context of the entire section and the broader legislative framework.
Pensions Act 1995, section 91
Pensions Ombudsman's determinations are final and binding, subject to appeal on a point of law.
PSA 1993, section 151(3)
Outcomes
Appeal dismissed.
The Pensions Ombudsman is not a "competent court" under section 91(6) PA 1995. The court interpreted the legislation to require an order from a court (like the County Court) to make an overpayment obligation enforceable, even if the Pensions Ombudsman has already determined the dispute. Enforcement in the County Court is an administrative process following the Ombudsman's determination.