The 1983 regulations are amended by inserting after regulation 5 the following:
Preservation of rights on dissolution of National Water Council
(5A)
(1) This regulation applies where—
(a) an election has been made under regulation 4(2) or (3)(b), or by virtue of regulation 5 the principal regulations are deemed to have been modified in accordance with Case A in Part IV of the Schedule, and
(b) the transferred employee has, not earlier than 9th May 1983, ceased to hold an employment under the National Water Council (“the first employment”) and has, within 12 months after ceasing to hold the first employment and without having entered any other employment in which he was or was deemed to be a pensionable employee, or which he held for a period of more than 3 months, entered a new employment which is—
(i) an employment under a water authority in which he becomes a pensionable employee, or
(ii) an employment in which he is admitted under an agreement made under regulation B4 of the principal regulations with the Severn-Trent Water Authority to participate in the benefits of a superannuation fund maintained by them.
(2) Subject to paragraph (4), where paragraph (1)(b)(i) applies the new employment shall for the purposes of the principal regulations as modified by these regulations be deemed to be a continuation of the first employment.
(3) Subject to paragraph (4), but notwithstanding anything in regulation B4 of the principal regulations, every agreement made under that regulation with the Severn-Trent Water Authority shall provide that where paragraph (1)(b)(ii) applies the transferred employee's rights and liabilities are to be those which he would have had by virtue of regulation 4 or 5 if the new employment had been a continuation of the first employment.
(4) Nothing in this regulation shall be taken—
(a) to make any contributions payable in respect of, or
(b) to make reckonable as reckonable service or as qualifying service,
any period between the cessation of the first employment and the commencement of the new employment.