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195 provisions
75 Provisional award of ill-health pension
(1) This regulation applies if the scheme medical adviser is unable to form an opinion on the following matters—
(a) whether a member (P) has suffered a permanent breakdown in health involving incapacity for employment or total incapacity for employment;
(b) whether P’s breakdown in health involves—
(i) incapacity for employment; or
(ii) total incapacity for employment.
(2) The scheme medical adviser may recommend that—
(a) for a period specified in the recommendation (being a period of not more than 5 years), P is taken to have suffered a permanent breakdown in health involving whichever of the following is specified in the recommendation—
(i) incapacity for employment; or
(ii) total incapacity for employment; and
(b) P’s case should be reviewed by the scheme medical adviser at the end of the period specified in the recommendation.
(3) If the scheme manager agrees to the recommendation—
(a) the scheme manager must determine if P meets the lower tier payment threshold or the upper tier payment threshold; and
(b) P is entitled to the immediate payment of—
(i) an ill-health pension in accordance with regulation 74; and
(ii) any full retirement added pension payable with it.
(4) At the end of the period specified in the recommendation—
(a) the scheme medical adviser must give the scheme manager an opinion on the matter to which the recommendation related; and
(b) regulation 74 applies to P accordingly, subject to paragraph (5).
(5) If as a result of the opinion P ceases to be entitled to payment of a lower tier earned pension, an upper tier top up earned pension or a full retirement added pension, that pension continues to be payable for a period of 3 months beginning with the date of the opinion.
(1) The annual rate of ill-health pension is calculated as follows—
(a) the annual rate of lower tier earned pension is calculated in the same way as the annual rate of full retirement earned pension is calculated under regulation 61, but without subtracting the early payment reduction;
(b) the annual rate of upper tier top up earned pension is calculated in the same way as the annual rate of full retirement earned pension is calculated under regulation 61, but—
(i) the references to the member’s full retirement earned pension are taken to be references to the enhancement fraction of the earnings-related part of that pension; and
(ii) the early payment reduction is not subtracted.
(2) The annual rate of any full retirement added pension payable with a lower tier earned pension is calculated in the same way as it is calculated under regulation 61, but without subtracting the early payment reduction.
(3) In this regulation—
“the earnings-related part”, in relation to the member’s full retirement earned pension, means the proportion of that pension not attributable to an amount of transferred pension;
“the enhancement fraction” is—
A
B
where—
A is the member’s assumed period of pensionable service (expressed in years); and
B is the shorter of—
the member’s period of service (expressed in years); and
the number of scheme years in relation to which an amount of earned pension was specified in the active member’s account;
“the member’s assumed period of pensionable service” means the period (expressed in years)—
beginning with the day after the member’s period of service ceased; and
ending with—
for a member employed for a fixed term, the day with which that term ends; or
for a member otherwise employed, the day before the day on which the member will reach prospective normal pension age (assuming that the member lives until that age); and
“period of service” means a continuous period of pensionable service under this scheme.
77 Periodical review of entitlement to upper tier top up earned pension
(1) This regulation applies in relation to a member of this scheme (P) who meets the upper tier payment threshold.
(2) The scheme medical adviser—
(a) must periodically review whether, as a result of P’s breakdown in health, P remains incapable of gainful employment; and
(b) after carrying out a review, must give an opinion on that matter to the scheme manager.
(3) A review must be carried out—
(a) at any time the scheme manager directs; and
(b) in any event—
(i) before the fifth anniversary of the day on which P became entitled to the pension; and
(ii) subsequently at intervals not exceeding 5 years.
(4) A review is not required after the member reaches normal pension age under this scheme.
(5) P ceases to be entitled to an upper tier top up earned pension—
(a) at the end of the period of 3 months beginning with the date on which the scheme medical adviser, after carrying out a review, gives an opinion that P is no longer incapable of gainful employment; or
(b) if earlier, the day on which P returns to service in a scheme employment.
78 Deferment of accrued earned pension attributable to a transfer payment
(1) This regulation applies in relation to a member of this scheme—
(a) who is entitled to an ill-health pension; and
(b) whose active member’s account as at the end of the last day of pensionable service specifies an amount of accrued earned pension attributable in whole or in part to a transfer payment received by this scheme in relation to the member in the 24 months before that last day.
(2) If the scheme manager so directs, the member becomes a deferred member of this scheme in respect of that amount of accrued earned pension and accordingly—
(a) a deferred member’s account must be established under Part 5 (pension accounts);
(b) that amount of accrued earned pension must be specified in the deferred member’s account as the provisional amount of deferred earned pension; and
(c) that amount of accrued earned pension is not included in the calculation of the annual rate of full retirement earned pension.
79 Deferment of added pension attributable to recent payments
(1) This regulation applies in relation to a member of this scheme—
(a) who is entitled to payment of an ill-health pension; and
(b) whose active member’s account as at the end of the last day of pensionable service specifies an amount of accrued added pension that is attributable in whole or in part to a lump sum payment for added pension made under Schedule 1 within the 12 months before the relevant day.
(2) The member becomes a deferred member of this scheme in respect of that amount of accrued added pension and accordingly—
(a) a deferred member’s account must be established under Part 5 (pension accounts);
(b) that amount of accrued added pension must be specified in the deferred member’s account as the provisional amount of the relevant description of deferred added pension; and
(c) that amount of accrued added pension is not included in the calculation of the annual rate of full retirement added pension payable with the lower tier earned pension.
(3) In paragraph (1), “the relevant day” means—
(a) the day on which the member’s employer first asked the scheme medical adviser for the opinion mentioned in regulation 74(2)(b) by virtue of which the member is entitled to payment of the ill-health pension; or
(b) if the member was on sick leave on that day and did not return to service from that leave, the day on which that leave began.
The options under this Chapter are—
(a) the option under regulation 82 to buy out the early payment reduction;
(aa) the option under regulation 82A to partially buy out the early payment reduction;
(b) the option under regulation 83 to defer payment of a full retirement added pension;
(c) the option under regulation 84 (option to commute part of pension) to exchange part of a retirement pension for a lump sum;
(d) the option under regulation 85 to exchange the whole of the member’s accrued pensions for a lump sum.
(1) A member may exercise an option under this Chapter by notice to the scheme manager in any form the scheme manager requires.
(2) In this Chapter, “option notice” means a notice by which a member exercises an option under this Chapter.
(1) This regulation applies if—
(a) a member of this scheme becomes entitled under Chapter2 or 3 to the immediate payment of a full retirement pension or a partial retirement pension; and
(b) the member has not reached—
(i) normal pension age under this scheme; or
(ii) if applicable, the member’s effective pension age or enhanced effective pension age.
(2) The member may opt under this regulation to buy out the early payment reduction that would otherwise apply to the calculation of the annual rate of retirement pension.
(3) The cost must be met by way of a special payment to this scheme made by—
(a) the member;
(b) the member’s employer (“the employer”); or
(c) both the member and the employer.
(4) The employer may make a special payment using a lump sum payable to the member under a compensation scheme.
(5) Any special payment by the employer must be made—
(a) in accordance with the compensation scheme; or
(b) with the consent of the Minister.
(6) If the employer makes a special payment under paragraph (5)(a)—
(a) the lump sum payable to the member under the compensation scheme is reduced by the amount of the special payment; and
(b) if the amount of the special payment is more than the whole of the lump sum payable to the member under the compensation scheme, any difference is not chargeable to the member.
(7) The cost of buying out the early payment reduction is an amount determined by the scheme manager after consulting the scheme actuary.
82A Option to partially buy out early payment reduction
(1) This regulation applies if—
(a) a member of this scheme becomes entitled under Chapter 2 to the immediate payment of a full retirement pension; and
(b) the member has not reached—
(i) normal pension age under this scheme; or
(ii) if applicable, the member’s effective pension age or enhanced effective pension age.
(2) The member may, with the consent of the Minister, opt under this regulation to buy out a proportion of the early payment reduction that would otherwise apply to the calculation of the annual rate of retirement pension.
(3) The cost must be met by way of a special payment to this scheme made by—
(a) the member;
(b) the member’s employer (“the employer”); or
(c) both the member and the employer.
(4) The employer may make a special payment using a lump sum payable to the member under a compensation scheme.
(5) Any special payment by the employer must be made—
(a) in accordance with the compensation scheme; or
(b) with the consent of the Minister.
(6) If the employer makes a special payment under paragraph (5)(a), the lump sum payable to the member under the compensation scheme is reduced by the amount of the special payment.
(7) The scheme manager, after consulting the scheme actuary, must determine the actuarial reduction that would apply if a member exercises the option under this regulation.
(8) Where a member exercises the option under this regulation, references in these Regulations to the early payment reduction apply as if the reference were to the actuarial reduction determined under this regulation.
(1) This regulation applies if a member of this scheme—
(a) becomes entitled to the immediate payment of a full retirement added pension of any description; and
(b) has not reached normal pension age under this scheme.
(2) The member may opt under this regulation to defer payment of the full retirement added pension of that description.
(3) A member who exercises the option under this regulation becomes a deferred member of this scheme in respect of the full retirement added pension of that description and accordingly—
(a) a deferred member’s account must be established under Part 5 (pension accounts); and
(b) the amount of full retirement added pension of that description must be specified in the deferred member’s account as the provisional amount of deferred added pension of that description.
(4) The member is entitled to payment of the full retirement added pension of that description when the member gives notice to the scheme manager, in any form the scheme manager requires, that the member wishes to take that full retirement added pension.
(5) The annual rate of full retirement added pension is calculated in accordance with regulation62.
(1) A member who becomes entitled to the immediate payment of a retirement pension under this scheme may opt under this regulation to exchange part of the pension for a lump sum.
(2) An option under this regulation may only be exercised before the first payment of the pension is made.
(3) If a member exercises the option, for every £1 by which the amount of the member’s annual rate of pension is reduced, the member must be paid a lump sum of £12.
(4) A member may not exchange pension for lump sum under this regulation to the extent that it would result in a scheme chargeable payment for the purposes of Part 4 (pension schemes etc.) of FA 2004 (see section241 of that Act).
(5) If paragraph (6) applies, the member may opt to exchange only so much of the pension (after subtracting the allocation amount, if any) that exceeds the guaranteed minimum, multiplied by such factor as is indicated for a person of the member’s description in tables provided by the scheme actuary.
(6) This paragraph applies if the member has a guaranteed minimum under section 14 (earner’s guaranteed minimum) of PSA1993 in relation to the whole or part of a pension as a result of the receipt by this scheme of a transfer payment from another pension scheme in respect of which the member had such a guaranteed minimum.
85 Option to commute whole of member’s accrued pensions (serious ill-health)
(1) This regulation applies in relation to an active member or deferred member of this scheme whom the scheme medical adviser certifies has a life-expectancy of less than 12 months.
(2) The member may opt under this regulation to exchange the whole of the member’s accrued pensions for a lump sum.
(3) An option under this regulation (“this option”) may only be exercised before the first payment of the pension is made.
(4) The lump sum payable to the member is an amount equal to—
(
A
+
B
+
C
)
×
5
where—
A means the total annual amount of full retirement pension;
B means the total annual amount of partial retirement pension; and
C means the total annual amount of ill-health pension.
(5) For the purpose of paragraph (4), “total annual amount” means—
(a) in relation to a full retirement pension or partial retirement pension to which the member would be entitled apart from this option, the sum of—
(i) the annual rate of pension to which the member would be entitled apart from this option, calculated as at the date the option is exercised, but without subtracting the early payment reduction (if any); and
(ii) the amount of increase (if any) in the annual rate of that pension under PIA 1971 calculated as at that date; and
(b) in relation to an ill-health pension, the sum of—
(i) the annual rate of pension to which the member would be entitled apart from this option, calculated as at the date when payment would first be due, but without subtracting the early payment reduction (if any); and
(ii) the amount of increase (if any) in the annual rate of that pension under PIA 1971 calculated as at that date.
(6) The lump sum must be paid to the member as soon as is reasonably practicable after this option is exercised.
(1) This regulation applies in relation to a full retirement earned pension or a partial retirement earned pension payable in respect of a member’s pensionable service under this scheme.
(2) The member may elect to allocate part of the retirement pension to a beneficiary (“allocation election”).
(3) The beneficiary of an allocation election must be a person who, when the allocation election is made, is—
(a) the member’s spouse or civil partner;
(b) financially wholly or mainly dependent on the member; or
(c) financially interdependent with the member.
(4) If the member wishes to allocate pension to more than one beneficiary, the member must make a separate allocation election in respect of each beneficiary.
(5) If paragraph (6) applies, the member may elect to allocate only so much of the pension (after subtracting the commutation amount, if any) that exceeds the guaranteed minimum, multiplied by such factor as is indicated for a person of the member’s description in tables provided by the scheme actuary.
(6) This paragraph applies if the member has a guaranteed minimum under section 14 (earner’s guaranteed minimum) of PSA1993 in relation to the whole or part of a pension as a result of receipt by this scheme of a transfer payment from another pension scheme in respect of which the member had such a guaranteed minimum.
87 Restriction on total amount of pension that may be allocated
(1) The sum of the following must not exceed an amount equal to the annual rate of retirement pension that would be payable to the member (P)—
(a) the total amount of retirement pension allocated under this Chapter (“total allocation amount”); and
(b) the annual rate of surviving adult’s pension that would be payable on P’s death.
(2) In determining whether the restriction in paragraph (1) is met, it is assumed that—
(a) P will have become a pensioner member before P’s death;
(b) P will exercise the commutation option so as to exchange for a lump sum the maximum amount possible of the whole of P’s accrued pensions;
(c) P’s spouse or civil partner status will not change before P dies;
(d) all of P’s beneficiaries will survive P; and
(e) any beneficiary who would have been P’s dependant for the purposes of paragraph 15(2) or (3) of Schedule 28 (registered pension schemes: authorised pensions – supplementary) to FA 2004 will be such a dependant when P dies.
(3) If at the time an allocation election is made it would result in the restriction in paragraph (1) not being met, the scheme manager may treat the election (or each of the elections) as allocating a smaller amount that would result in the election (or the elections taken together) complying.
(1) If requested by a member (P), the scheme manager must advise P of the last day on which P may make an allocation election.
(2) An allocation election may only be made—
(a) by notice to the scheme manager in a form required by the scheme manager; and
(b) before the election closing date.
(3) An allocation election must—
(a) specify the amount of retirement pension to be allocated;
(b) name the beneficiary;
(c) be accompanied by a declaration in a form required by the scheme manager stating that—
(i) P is in good health; and
(ii) the beneficiary is a person who meets the conditions set out in regulation 86(3); and
(d) be accompanied by a certificate from the scheme medical adviser giving the opinion that P is in good health.
(4) Before the election closing date, the member may, by notice to the scheme manager in a form required by the scheme manager—
(a) revoke the election; or
(b) amend the election by altering the amount of retirement pension to be allocated.
(5) The election takes effect on the election closing date unless it has no effect under paragraph (6) or (7).
(6) An allocation election has no effect unless the scheme manager is satisfied that when P made the election the matters stated in the declaration were true.
(7) An allocation election has no effect if P or the beneficiary dies before the election closing date.
(8) In this regulation, “election closing date” means the earlier of—
(a) the date advised by the scheme manager under paragraph (1); or
(b) the day before the pension becomes payable.
(1) If an allocation election takes effect—
(a) the member’s pension is reduced accordingly (and this reduction applies even if the beneficiary predeceases the member); and
(b) if the beneficiary survives the member, on the member’s death the beneficiary becomes entitled to the payment of a pension for life (“allocated pension”) of an amount determined by the scheme manager, after consultation with the scheme actuary, having regard to—
(i) the amount of retirement pension allocated under the election, and
(ii) the beneficiary’s age and gender.
(2) The scheme manager may withhold payment from the beneficiary if—
(a) the member dies before the end of the period of 2 years beginning with the date on which the election takes effect; and
(b) the scheme manager is satisfied that the member made a false declaration about the member’s state of health when making the election.
(3) An allocation election in relation to a retirement pension has no effect if it would result in an allocated pension being paid—
(a) on the member becoming entitled to the retirement pension, to a person who is not—
(i) the member’s spouse or civil partner;
(ii) financially wholly or mainly dependent on the member; or
(iii) financially interdependent with the member;
(b) on the death of the member, to a person who is not—
(i) the member’s surviving adult; or
(ii) a dependant of the member for the purposes of paragraph 15(2) or (3) of Schedule 28 (registered pension schemes: authorised pensions – supplementary) to FA 2004.
90 Adjustment of allocated benefit (members who have reached the age of 75)
(1) The amount of allocated pension payable to the beneficiary of an allocation election may be adjusted in a manner determined by the scheme manager if—
(a) the member who made the allocation dies after reaching the age of 75; and
(b) on the death of the member, the amount of allocated pension payable to the beneficiary does not qualify as a dependants’ scheme pension under section 167 (the pension death benefit rules) of FA 2004.
(2) In this regulation, “allocated pension” has the meaning given in regulation 89(1)(b).
A pension credit member (P) of this scheme is entitled to the immediate payment for life of a pension credit member’s pension under this scheme if—
(a) P has reached normal pension age under this scheme;
(b) the pension sharing order under which P is entitled to the pension credit has taken effect; and
(c) P has claimed payment of the pension.
(1) This regulation applies in relation to a pension credit member (P) who—
(a) has reached normal minimum pension age; and
(b) has not reached normal pension age under this scheme.
(2) P may claim early payment of a pension credit member’s pension by notice to the scheme manager in a form required by the scheme manager.
(3) A claim for early payment—
(a) must state whether P has opted to buy out the early payment reduction under regulation 94; and
(b) must specify the date on which payment of the pension is claimed (“the claim date”).
(4) P is entitled to the immediate payment for life of a pension credit member’s pension on the claim date if the scheme manager is satisfied that on that date the requirements of regulation7(5) of the Pension Sharing (Pension Credit Benefit) Regulations 2000 are met.
(1) The annual rate of a pension credit member’s pension is calculated by—
(a) taking the amount of credited pension specified in the pension credit member’s account;
(b) subtracting the early payment reduction (if any) specified in that account in relation to that amount; and
(c) subtracting the commutation amount (if any) specified in that account in relation to that amount.
(2) If a member buys out the early payment reduction, the annual rate of pension is calculated without subtracting the early payment reduction.
(1) A pension credit member who claims early payment of a pension credit member’s pension may opt to buy out the early payment reduction.
(2) The option may only be exercised by notice to the scheme manager in a form required by the scheme manager.
(3) The scheme manager must prepare tables setting out the cost of buying out the early payment reduction, after consulting the scheme actuary.
(4) The member must meet the cost by making a payment to this scheme calculated in accordance with the tables prepared in accordance with paragraph (3).
The benefits to which a pension debit member is entitled under this Part are subject to the reduction to be made under section 31 (reduction of benefit) of WRPA1999.
(1) If regulation 7(5) of the Pension Sharing (Pension Credit Benefit) Regulations 2000 applies, the scheme manager must be reasonably satisfied that the requirements of that regulation have been met.
(2) Benefits that are attributable (directly or indirectly) to a pension credit may not be aggregated with any other benefit to which a pension credit member is entitled under this scheme.
(3) If a pension credit member is a dual capacity member, the benefits that are payable to or in respect of the member in each of the member’s capacities are treated separately for the purposes of these regulations.
97 Option for pension credit member to commute part of pension
(1) A pension credit member who becomes entitled to payment of a pension credit member’s pension under this scheme may opt to exchange part of the pension for a lump sum.
(2) The option under this regulation may only be exercised—
(a) by notice to the scheme manager in a form required by the scheme manager; and
(b) before the first payment of the pension is made.
(3) If a pension credit member exercises the option under this regulation, for every £1 by which the amount of the member’s annual rate of pension is reduced, the member must be paid a lump sum of £12.
(4) A pension credit member may not exchange pension for lump sum under this regulation to the extent that it would result in a scheme chargeable payment for the purposes of Part 4 (pension schemes etc.) of FA2004 (see section241 of that Act).
(5) This regulation does not apply if the pension debit member from whose rights the pension is derived received a lump sum under Part 6 (retirement benefits) before the date on which the pension sharing order takes effect.
98 Option for pension credit member to commute whole pension (serious ill-health)
(1) This regulation applies in relation to a pension credit member whom the scheme medical adviser certifies has a life-expectancy of less than 12 months.
(2) The pension credit member may opt to exchange the whole of the pension credit member’s pension under this scheme for a lump sum.
(3) The option under this regulation (“this option”) may only be exercised—
(a) by notice to the scheme manager in a form required by the scheme manager; and
(b) before the first payment of the pension is made.
(4) The lump sum—
(a) is an amount equal to the total annual amount of the pension credit member’s pension, multiplied by 5; and
(b) must be paid to the pension credit member as soon as is reasonably practicable after this option is exercised.
(5) In this regulation, “total annual amount” in relation to a pension credit member’s pension means the total of—
(a) the annual rate of pension to which the member would be entitled apart from this option, calculated as at the date this option is exercised, but without subtracting the early payment reduction (if any); and
(b) the amount of increase (if any) in the annual rate of that pension under PIA 1971 calculated as at that date.
99 Application of Part to pension adjustment orders
(1) Where a pension adjustment order is made in respect of benefits under this scheme, this Part applies with any modifications the scheme manager considers necessary to give effect to that order.
(2) In this regulation, a “pension adjustment order” means an order made under section 12 of the Irish Family Law Act 1995.
In these Regulations—
“surviving adult”, in relation to a deceased member of this scheme, means the member’s surviving spouse, surviving civil partner or surviving ... partner;
“surviving civil partner”, in relation to a deceased member of this scheme, means a person who was in a civil partnership with the member at the date of the member’s death; and
“surviving spouse”, in relation to a deceased member of this scheme, means a person who was married to the member at the date of the member’s death.
(1) A person (P) is a surviving partner of a deceased member of this scheme if P satisfies the scheme manager that immediately before the member’s death—
(a) P and the member were cohabiting as partners in an exclusive, committed long-term relationship;
(b) P and the member were not prevented from entering into a marriage or a civil partnership; and
(c) either P was financially dependent on the member, or P and the member were financially interdependent.
In these Regulations, “surviving adult’s pension” means any of the following pensions payable to a surviving adult under this Chapter—
(a) a dependant’s earned pension;
(b) a dependant’s lower tier earned pension;
(c) a dependant’s upper tier top up earned pension;
(d) a dependant’s added pension.
A dependant’s earned pension is a pension payable on the death of a member of this scheme if the member was a pensioner member or would have become entitled to a full retirement earned pension had the member not died.
104 Meaning of “dependant’s lower tier earned pension”
A dependant’s lower tier earned pension is a pension payable on the death of a member of this scheme if the member was entitled to the immediate payment of a lower tier earned pension as at the date of the member’s death.
105 Meaning of “dependant’s upper tier top up earned pension”
A dependant’s upper tier top up earned pension is a pension payable on the death of a member of this scheme if the member was entitled to the immediate payment of an upper tier top up earned pension as at the date of the member’s death.
A dependant’s added pension is a pension payable on the death of a member of this scheme if the member—
(a) was entitled to the immediate payment of a full retirement added (all beneficiaries) pension as at the date of the member’s death; or
(b) would have become entitled to such a pension had the member not died.
(1) This regulation applies where a member was, at the date of the member’s death,—
(a) an active member of this scheme in relation to a continuous period of pensionable service of at least 12 months;
(b) a deferred member of this scheme; or
(c) a pensioner member of this scheme.
(2) If the member was a transition member with continuity of service, the continuous period of pensionable service mentioned in paragraph (a) includes the member’s period of pensionable service under the PCSPS before the transition date for that member (but not service that has been transferred into the PCSPS).
(3) The surviving adult of the member is entitled to payment for life of a surviving adult’s pension as follows—
(a) if the member was a pensioner member or would have become entitled to a full retirement earned pension had the member not died, a dependant’s earned pension;
(b) if a lower tier earned pension was payable as at the date of the member’s death, a dependant’s lower tier earned pension;
(c) if an upper tier top up earned pension was payable as at the date of the member’s death, a dependant’s upper tier top up earned pension;
(d) if the member was entitled to the immediate payment of a full retirement added (all beneficiaries) pension as at the date of the member’s death or would have become entitled to such a pension had the member not died, a dependant’s added pension.
(4) The scheme manager may withhold a surviving adult’s pension where—
(a) for a pension that would otherwise be payable to the surviving spouse, the member and the surviving spouse were married less than 6 months before the member’s death;
(b) for a pension that would otherwise be payable to a surviving civil partner, the civil partnership was formed less than 6 months before the member’s death.
(5) Paragraph (4) is subject to regulation 120 (guaranteed minimum pensions for surviving spouses and civil partners).
108 Annual rate of surviving adult’s pensions payable on death of pensioner member
(1) This regulation applies on the death of a pensioner member of this scheme (P).
(2) The annual rate of a dependant’s earned pension is an amount equal to 37.5% of the sum of—
(a) the total amount of full retirement earned pension specified in P’s full retirement account as at the date of P’s death; and
(b) the total amount of partial retirement earned pension specified in P’s partial retirement account as at the date of P’s death.
(3) The annual rate of a dependant’s lower tier earned pension is an amount equal to 37.5% of the annual rate of P’s lower tier earned pension, calculated without subtracting the commutation amount (if any) and the total allocation amount (if any).
(4) The annual rate of a dependant’s upper tier top up earned pension is an amount equal to 37.5% of the amount of the notional annual rate of P’s upper tier top up earned pension, calculated without subtracting the commutation amount (if any) and the total allocation amount (if any).
(5) The annual rate of a dependant’s added pension is an amount equal to 37.5% of the total of—
(a) the amount of full retirement added (all beneficiaries) pension specified in P’s full retirement account as at the date of P’s death; and
(b) the amount of partial retirement added (all beneficiaries) pension specified in P’s partial retirement account as at the date of P’s death.
(6) In this regulation—
“the enhancement fraction” means XYwhere—
X is the lower of—
the number of years in the member’s assumed period of pensionable service; and
10;
Y is the lower of—
the number of years for which the member has been an active member of this scheme; and
if the member was entitled to payment of an ill-health pension, the number of scheme years in relation to which an amount of earned pension was specified in the active member’s account before the member became entitled to payment of that pension;
“the member’s assumed period of pensionable service” means the period (expressed in
years)—
beginning with the day after the member’s last day of pensionable service; and
ending with—
for a member employed for a fixed term, the day with which that term would have ended; and
for a member otherwise employed, the day before the day on which the member would have reached prospective normal pension age if the member had lived until that age; and
“notional annual rate”, in relation to P’s upper tier top up earned pension, is the lesser of the following amounts—
the amount of the annual rate of P’s upper tier top up earned pension; and
the amount of P’s full retirement earned pension or partial retirement earned pension.
(7) In working out the amount of full retirement earned pension or partial retirement earned pension for the purpose of the definition in paragraph (6) of “notional annual rate” —
(a) unless sub-paragraph (b) applies, the accrued earned pension is the lesser of—
(i) the amount of accrued earned pension not attributable to a transfer payment; and
(ii) the enhancement fraction of the amount mentioned in paragraph (i);
(b) if the member is a transition member with continuity of service, the accrued earned pension is the lesser of—
(i) the total amount of accrued earned pension under this scheme which is not attributable to a transfer payment and accrued earned pension under the PCSPS which is not attributable to a transfer payment; and
(ii) the enhancement fraction of the amount mentioned in sub-paragraph (a)(i).
(8) In accordance with section 7(4) of PIA 1971, for the purposes of this regulation there is to be disregarded any increase in the annual rate of a pension since the beginning date for that pension.
109 Annual rate of surviving adult’s pensions payable on death of deferred member
(1) This regulation applies on the death of a deferred member of this scheme.
(2) The annual rate of a dependant’s earned pension is an amount equal to 37.5% of the sum of the provisional amount of deferred earned pension specified in the deferred member’s account.
(3) The annual rate of a dependant’s added pension is an amount equal to 37.5% of the provisional amount of deferred added (all beneficiaries) pension specified in the deferred member’s account.
110 Annual rate of surviving adult’s pensions payable on death of active member (death in service)
(1) This regulation applies on the death of an active member of this scheme, in relation to a continuous period of pensionable service of at least 12 months.
(2) If the member was a transition member with continuity of service, the continuous period of pensionable service mentioned in paragraph (1) includes the member’s period of pensionable service under the PCSPS before the transition date for that member (but not service that has been transferred into the PCSPS).
(3) The annual rate of a dependant’s earned pension is an amount equal to 37.5% of the amount of full retirement earned pension that would have been specified in the member’s full retirement account under regulation 52(2) had P become entitled to the immediate payment of a full retirement pension on the date of P’s death.
(4) The annual rate of a dependant’s added pension is an amount equal to 37.5% of the amount of full retirement added (all beneficiaries) pension that would have been specified in the member’s full retirement account under regulation 52(2) had P become entitled to the immediate payment of a full retirement pension on the date of P’s death.
(5) When calculating the amount of a member’s full retirement earned pension (except in relation to a member who at the date of the member’s death was entitled under regulation67(a) to the immediate payment of a partial retirement pension)—
(a) unless sub-paragraph (b) applies, the accrued earned pension under this scheme includes an additional amount equal to the lesser of—
(i) the amount of accrued earned pension not attributable to a transfer payment; and
(ii) the enhancement fraction of the amount mentioned in paragraph (i);
(b) if the member is a transition member with continuity of service, the accrued earned pension under this scheme includes an additional amount equal to the lesser of—
(i) the total amount of accrued earned pension under this scheme which is not attributable to a transfer payment and accrued earned pension under PCSPS which is not attributable to a transfer payment; and
(ii) the enhancement fraction of the amount mentioned in sub-paragraph (a)(i); and
(c) the early payment reduction (if any), the commutation amount (if any) and the total allocation amount (if any) are not subtracted.
(6) In this regulation—
“the enhancement fraction” means XYwhere—
X is the lower of—
the member’s assumed period of pensionable service (expressed in years); and
10;
Y is the lower of—
the number of years for which the member has been an active member of this scheme; and
number of scheme years in relation to which an amount of earned pension was specified in the active member’s account; and
“the member’s assumed period of pensionable service” means the period (expressed in years)—
beginning with the day after the date of the member’s death; and
ending with—
for a member employed for a fixed term, the day on which that term would have ended; and
for a member otherwise employed, the day before the day on which the member would have reached prospective normal pension age if the member had lived until that age.
111 Reduction in pensions in cases of wide age disparity
(1) This regulation applies if, on the death of a member of this scheme, a surviving adult’s pension is payable to a person (“the dependant”) who is more than 12 years younger than the member.
(2) The annual rate of the surviving adult’s pension is reduced by the lower of—
(a) 50% of the amount of the annual rate of the pension calculated under regulation 108, 109 or 110, as applicable; and
(b) 2.5 x (N –12)% of the amount of the annual rate of the pension so calculated,
where N is the number of whole years by which the dependant is younger than the member.
In these Regulations, “eligible child’s pension” means any of the following pensions payable under this Part—
(a) a child’s earned pension;
(b) a child’s lower tier earned pension;
(c) a child’s upper tier top up earned pension;
(d) a child’s added pension.
(1) In these Regulations, “eligible child”, in relation to a deceased member of this scheme, means—
(a) a natural child of the member where—
(i) the child meets any of conditions A to C; and
(ii) at the date of the members’ death the child was born or the child’s mother was pregnant with the child;
(b) an adopted child of the member who meets any of conditions A to C; or
(c) any other child or young person who—
(i) meets any of conditions A to C; and
(ii) in the opinion of the scheme manager, was financially dependent on the member as at the date of the member’s death.
(2) Condition A is that the person is under the age of 18.
(3) Condition B is that the person is in full-time education or vocational training and is underthe age of 23.
(4) Condition C is that in the opinion of the scheme manager the person is unable to engage in gainful employment because of physical or mental impairment and either—
(a) the person is under the age of 23; or
(b) that impairment is in the opinion of the scheme medical adviser likely to be permanent and the person is dependent on the member as at the date of the member’s death because of physical or mental impairment.
(5) For the purpose of Condition B, a person who is under the age of 19 on the date on which the person stops full-time education or vocational training is taken to be in full-time education until the first of the following dates after the person stops full-time education or vocational training—
(a) the second Monday in January;
(b) the second Monday after Easter Monday;
(c) the second Monday in September;
(d) the date on which the person becomes engaged full-time in gainful employment;
(e) the person’s 19th birthday.
(6) For the purpose of Condition B, a person who is under the age of 22 at the date of the member’s death is taken to be in full-time education or vocational training if the person has temporarily stopped full-time education or vocational training for a period of up to 15 months (“gap period”).
(7) An eligible child’s pension is not payable to a person during a gap period.