3A

A member in respect of whom a benefit crystallisation event occurs after 5th April 2006 may elect in writing to the Committee before any benefits become payable to increase the retirement grant payable under paragraph (3) by commuting his pension, or a part thereof, at a rate of £12 for every £1 of annual pension entitlement surrendered.

3B

But the total amount of the member’s retirement grant, including any sum received—

a

in accordance with an election under paragraph (3A);

b

as benefits provided in the form of a lump sum in accordance with regulation 66 (retirement benefits); or

c

as additional lump sum benefits in accordance with regulation 68 (elections as to use of accumulated AVCs)

shall not exceed 25% of the capital value of his accrued rights.

3C

For the purposes of this regulation, a member’s accrued rights include rights accrued in respect of any payments made by him or on his behalf in accordance with Chapter IV of Part III (Additional Voluntary Contributions).

3D

Any calculation of the capital value of a person’s accrued rights shall be carried out in accordance with guidance issued by the Government Actuary.

3E

In paragraph (3A), “member” includes a deferred member to whom regulation 4 (deferred members and pensioners: general) of the Local Government Pension Scheme (Amendment No. 2 and Transitional Provisions) Regulations (Northern Ireland) 2002 applies.

3F

A member may make an election under paragraph (3A) in respect of his pension, or any part thereof, payable by virtue of an election under regulation 68 (elections as to use of accumulated value of AVCs) notwithstanding any provision to the contrary in the former provisions of regulation 68 treated as continuing to have effect under paragraph (8) of that regulation.

4A

Where no benefit crystallisation event has occurred before the day after a member’s 65th birthday in respect of any benefits payable under the Scheme, those benefits shall be increased at such a rate as is shown as appropriate in guidance issued by the Government Actuary.

1A

But where, after 5th April 2006, a member who has attained the age of 50, with his employer’s consent, reduces the hours he works, or the grade in which he is employed, he may elect in writing to the Committee and such benefits may, with his employer’s consent, be paid to him notwithstanding that he has not retired from that employment.

1B

If the payment of benefits referred to in paragraph (1A) takes effect before the member’s 65 birthday, the benefits payable are reduced in accordance with guidance issued by the Government Actuary.

1C

But the employer may choose to waive, in whole or in part, any such reduction.

1D

Where the employer so chooses, it shall pay to the fund the cost incurred as a result of such waiver as calculated by the fund’s actuary.

1E

Any benefits paid following an election under paragraph (1A) are not subject to abatement under regulation 113 (application of abatement policy in individual cases) in respect of any subsequent employment with the person who is his employer at the date of his election.

2

In any event, retirement benefits under this Chapter must begin to be paid not later than the day before the member’s 75th birthday even if he has not retired (and see regulation 39(3)).

2A

Notwithstanding paragraph (2)(b), a pension coming into payment after 5th April 2006 which would otherwise be payable by virtue of that paragraph shall only continue while the child is aged under 23.

1A

The Committee cannot be satisfied as mentioned in paragraph (1) unless they have first obtained a certificate from a fully registered person within the meaning of the Medical Act 19838 to the effect that the member’s life expectancy is less than one year.

11

An additional period arising from a resolution under this regulation after 31 March 2008 shall be treated as a period of membership after that date.

• “additional voluntary contributions scheme” means—

  1. a

     in the case of a scheme established on or after 6th April 2006, is registered for the purposes of section 150 of the Finance Act 2004; or

  2. b

     which on 6th April 2006 became a registered scheme for the purposes of section 150 of the Finance Act 2004 and which immediately before that date was approved under section 591 of the Taxes Act;

and to which an employer is not a contributor and which provides benefits additional to those provided by an occupational pension scheme;

• “approved non-local government scheme” means—

  1. a

     in the case of a non-local government scheme established before 6th April 2006, a scheme approved under Part XIV of the Taxes Act;

  2. b

     a non-local government scheme which on 6th April 2006 became a registered scheme for the purposes of section 150 of the Finance Act 2004; or

  3. c

     a non-local government scheme approved by the Commissioners for Her Majesty’s Revenue and Customs9 for the purposes of these Regulations;

• “approved scheme” means—

  1. a

     in the case of a scheme established on or after 6th April 2006, is registered for the purposes of section 150 of the Finance Act 2004; or

  2. b

     which on 6th April 2006 became a registered scheme for the purposes of section 150 of the Finance Act 2004 and which before that date had the same meaning as that given in section 612 of the Taxes Act;

• “benefit crystallisation event” shall be construed in accordance with section 216 of the Finance Act 2004;

b

(except where it is established and maintained in the Channel Islands or the Isle of Man) is—

i

in the case of a scheme established before 6th April 2006, is approved by the Commissioners of Her Majesty’s Revenue and Customs under Chapter I of Part XIV of the Taxes Act; or

ii

a scheme, which on 6th April 2006 became a registered scheme for the purposes of section 150 of the Finance Act 2004;

• “FSAVC scheme” means—

  1. a

     in the case of a scheme established on or after 6th April 2006, is registered for the purposes of section 150 of the Finance Act 2004; or

  2. b

     which on 6th April 2006 became a registered scheme for the purposes of section 150 of the Finance Act 2004 and which immediately before that date was approved under section 591(2)(h) of the Taxes Act;

• “occupational pension scheme” means an occupational pension scheme within the meaning of section 1 of the Pension Schemes (Northern Ireland) Act 1993 other than—

  1. a

     in the case of a scheme established on or after 6th April 2006 is a registered pension scheme for the purposes of section 150 of the Finance Act 2004 and which the Committee agree to recognise as a transferring scheme for the purposes of Chapter VI of Part IV (transfers); and

  2. b

     in the case of a scheme established before that date—

     1. i

        approved by the Commissioners for Her Majesty’s Revenue and Customs for the purposes of Chapter I of Part XIV of the Taxes Act (retirement benefits schemes) or whose application for approval was under consideration;

     2. ii

        a statutory scheme as defined in section 612(1) of the Taxes Act (interpretation); or

     3. iii

        a scheme to which section 608 of the Taxes Act applied (superannuation funds approved before 6th April 1980),

     and on 6th April 2006 became a registered pension scheme for the purposes of the Finance Act 2004;

• “personal pension scheme” means—

  1. a

     in the case of such a scheme established on or after 6th April 2006 is a registered pension scheme for the purposes of the Finance Act 2004 and which the Committee agree to recognise as a transferring scheme for the purposes of Chapter I of Part XIV (transfers); and

  2. b

     in the case of such a scheme established before that date, was—

     1. i

        approved by the Commissioners for Her Majesty’s Revenue and Customs for the purposes of Chapter IV of Part XIV of the Taxes Act (personal pension schemes); and

     2. ii

        on 6th April 2006 became a registered pension scheme for the purpose of the Finance Act 2004;

4

His retirement pension and grant must be reduced by the amounts shown as appropriate in guidance issued by the Government Actuary (but see paragraphs (5) and (6) and regulation 39(5)) (guaranteed minimum pensions).

7

If a member does not elect for immediate payment under this regulation, he is entitled to receive a pension and grant without reduction payable from his normal retirement date.

6A

A credited period arising from a request to accept a transfer value under regulation 124 which is made by a person who was an active member before 1st April 2008 shall be treated as a period of membership before that date.

6B

A credited period arising from a request to accept a transfer value under regulation 124 which is made by a person who becomes a member after 31st March 2008 shall be treated as a period of membership after that date.