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The Local Government Pension Scheme (Administration) Regulations 2008

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  • Gwreiddiol (a wnaed Fel)

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Use of accumulated value of AVCs and SCAVCs

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26.—(1) This regulation applies where a person who has paid AVCs or SCAVCs during his employment or made a transfer under regulation 25(8) —

(a)leaves his employment with the employing authority he notified under regulation 25(5)(a)—

(i)without entitlement to the immediate payment of retirement benefits, or

(ii)with such entitlement under regulation 16, 17, 18, 19, 30 or 31 of the Benefits Regulations;

(b)stops being an active member without leaving that employment; or

(c)becomes entitled to ill-health benefits under regulation 20 of those Regulations.

(2) A person mentioned in paragraph (1)(a)(i) must notify the employing authority in writing that he wishes the accumulated value of the AVCs or SCAVCs (“the accumulated value”) to be used in one or more of the permissible ways specified in the notification.

(3) The permissible ways are—

(a)to subscribe to a registered pension scheme (other than the Scheme);

(b)to purchase an appropriate policy from one or more insurance companies (within the meaning of section 275 of the Finance Act 2004).

(4) A person mentioned in paragraph (1)(a)(ii) or (c) may notify the employing authority in writing that he wishes the accumulated value to be used to provide additional pension for him under the Scheme, or partly to provide such pension for him.

(5) If he does so, he becomes entitled to such additional pension as is shown as appropriate in guidance issued by the Government Actuary.

(6) The employing authority must send a notification under paragraph (2) or (4) to the appropriate administering authority as soon as possible.

(7) In the case of a person mentioned in paragraph (1) (b)—

(a)the employing authority must, as soon as possible, inform the appropriate administering authority that the person has stopped being an active member; and

(b)the accumulated value must be used to subscribe to a registered scheme that is not an occupational pension scheme.

(8) The appropriate administering authority must make such arrangements as are necessary for the use of the accumulated value in accordance with a notification under paragraph (2) or (4) or with paragraph (7)(b).

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