SCHEDULE 3Payments for added pension

PART 2Exercising the added pension option

Added pension option exercisable by member5

1

An active member of this scheme may opt to make payments for added pension to increase—

a

the member's retirement benefits M1 for a period of service; or

b

the member's retirement benefits and death benefits payable in respect of the member for a period of service.

2

A member may exercise the added pension option by written notice to the scheme manager in a form required by the scheme manager (“the option notice”).

3

The option notice must state whether the payments for added pension are to be made by—

a

periodical payments; or

b

a lump sum payment.

4

A member may exercise the added pension option more than once but an option to make a lump sum payment for added pension may only be exercised once in any scheme year.

C15

An option to make a lump sum payment for added pension may only be exercised if the member—

a

has been an active member of this scheme in relation to a continuous period of pensionable service for at least 12 months; and

b

has been provided with a statement of the amount of added pension (if paragraph 16 applies).