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The National Health Service Pension Scheme Regulations 2008

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2.G.4    Effect of re-employment on tier 2 ill-health pensions
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(1) This regulation applies if a member who is entitled to a tier 2 pension under regulation 2.D.8 in respect of earlier service—

(a)did not opt to exchange that pension for a lump sum in accordance with regulation 2.D.15, and

(b)has re-entered employment (the “further employment”).

(2) Subject to paragraphs (3) and (4), the member ceases to be entitled to the tier 2 ill-health pension under regulation 2.D.8, and becomes entitled to a tier 1 ill-health pension under that regulation.

(3) In a case where the further employment is—

(a)not NHS employment, and

(b)an excluded employment,

paragraph (2) does not apply.

(4) In a case where the further employment is—

(a)NHS employment, and

(b)an excluded employment

paragraph (2) does not apply during the initial period.

(5) As regards a further employment in NHS employment—

(a)paragraph (2) applies from the first tier 1 ill-health pension payment date which falls after the first anniversary of the member’s re-entry into NHS employment, whether or not that day is part of a continuous period of further NHS employment beginning with entry into that employment, and

(b)the member may not rejoin the Scheme in respect of that employment or any other NHS employment until after the first anniversary of the member’s re-entry into NHS employment, whether or not that or any other NHS employment is an excluded employment.

(6) For the purposes of this regulation—

(a)an employment is an excluded employment at any time in a tax year, in relation to a member, if the member’s earnings at that time for the purposes of national insurance from the employment and any other employments are such that the lower earnings limit for that year is not exceeded,

(b)for the purposes of paragraph (2) an employment that has been an excluded employment in a tax year is not treated as ceasing to be such an employment until the first day following the end of the pension pay period for the tier 2 ill-health pension in which the limit described in sub-paragraph (a) is first exceeded, and

(c)“the initial period” means the period of 12 months beginning with the day on which the member first enters an employment which results in this regulation applying.

(7) A member who, before attaining the age of 65, has ceased to be entitled to a tier 2 ill-health pension under paragraph (2), and who—

(a)is in further NHS employment and ceases to be employed at all during the initial period, or

(b)is in further employment that is not NHS employment and ceases to be employed in that further employment within a period of one year beginning with the day on which that further employment ceased to be an excluded employment,

may apply to the Secretary of State under this paragraph to become entitled to a tier 2 ill-health pension.

(8) An application under paragraph (7)—

(a)where paragraph (7)(a) applies, must—

(i)state that the member has ceased to be employed at all,

(ii)be made within the initial period,

(iii)be made in writing and be accompanied by evidence from a registered medical practitioner that the member meets the condition in regulation 2.D.8(3)(a);

(b)where paragraph (7)(b) applies, must—

(i)state that the member has ceased to be employed at all,

(ii)be made within a period of one year beginning with the day on which that employment ceased to be an excluded employment,

(iii)be made in writing and be accompanied by evidence from a registered medical practitioner that the member meets the condition in regulation 2.D.8(3)(a).

(9) If on an application under paragraph (7) the Secretary of State is satisfied that the member meets the condition in 2.D.8(3)(a), from the day following that on which the member’s last employment ceased—

(a)the member ceases to be entitled to the tier 1 ill-health pension under regulation 2.D.8, and

(b)becomes entitled to a tier 2 ill-health pension under that regulation in respect of the earlier service.

(10) A member who falls within paragraph (1) must—

(a)notify the Secretary of State if the member is in NHS employment at the end of the initial period,

(b)notify the Secretary of State if the member’s aggregate earnings for the purposes of national insurance from employments held in a tax year are such that the lower earnings limit for that year is exceeded,

(c)provide the Secretary of State or any other person specified by the Secretary of State with such further information as the Secretary of State specifies concerning any further employment.

(11) This regulation is subject to regulation 2.G.5.

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