174.—(1) If paragraph (2) applies, the scheme manager may, on the application of a member (P), commute a retirement pension by paying a lump sum to P.
(2) This paragraph applies if—
(a)the lump sum is a trivial commutation lump sum as defined in paragraph 7 of Schedule 29 to FA 2004 or falls within regulation 11 or 12 of the Registered Pension Schemes (Authorised Payments) Regulations 2009 M1;
(b)the application under paragraph (1) is made when P applies under regulation 162 for payment of the retirement pension;
(c)in the 3 years ending with the date of the application, a transfer payment has not been made in respect of P;
(d)in the 5 years ending with the date of the application, a transfer payment has not been accepted in respect of rights accrued by P under another occupational pension scheme; and
(e)a transfer payment otherwise than from another occupational pension scheme has not been accepted in relation to P.
(3) If a lump sum is paid under paragraph (1), benefits are not payable under Part 6 on P's death.
(4) The scheme manager may, on the application of a pension credit member (P), commute a pension credit retirement pension by paying a lump sum to P if—
(a)the lump sum is a trivial commutation lump sum as defined in paragraph 7 of Schedule 29 to FA 2004 or falls within regulation 11 or 12 of the Registered Pension Schemes (Authorised Payments) Regulations 2009; and
(b)the application is made when P applies under regulation 162 for payment of the pension.
(5) The scheme manager may, on the application of a beneficiary to whom a pension is payable under Part 6, commute that pension by paying a lump sum to the beneficiary if—
(a)the application is made when the beneficiary applies under regulation 162 for payment of the pension; and
[F1(b)the lump sum is a trivial commutation lump sum death benefit as defined in paragraph 20 of Schedule 29 to FA 2004.]
(6) A lump sum payable under this regulation is to be determined by the scheme manager after taking advice from the scheme actuary.
Textual Amendments
F1Reg. 174(5)(b) substituted (1.4.2015) by The Teachers Pension Scheme (Amendment) Regulations 2014 (S.I. 2014/2652), regs. 1, 14
Marginal Citations