23.—(1) Regulation 39 (Cancellation of options under regulation 34) is amended as provided by paragraphs (2) and (3).
(2) In paragraph (4), after “such an option” insert “in accordance with paragraph (3)”.
(3) After paragraph (4), add—
“(5) If, after the exercise of the option under regulation 34, the Department has reasonable grounds to believe that the member’s health will prevent the member from paying contributions for the whole contribution period, the Department may cancel the option by giving the member notice in writing.
(6) If the Department cancels such an option in accordance with paragraph (5)—
(a)the additional periodical contributions cease to be payable for the first pay period beginning after the date specified in the notice (“date of cancellation”) and all subsequent pay periods; and
(b)any periodical payments made prior to the date of cancellation shall be returned to the member.”.