Part IVProtection for Early Leavers
IVTransfer Values
93Calculation of cash equivalents
1
Cash equivalents are to be calculated and verified in the prescribed manner.
2
Regulations may provide—
a
that in calculating cash equivalents account shall be taken—
i
of any surrender, commutation or forfeiture of the whole or part of a member’s pension which occurs before the trustees or managers of the scheme of which he is a member do what is needed to comply with what he requires under section 91;
ii
in a case where subsection (2) of section 92 applies, of the need to deduct an appropriate amount to provide for the liabilities mentioned in subsection (3) of that section; and
b
that in prescribed circumstances a cash equivalent shall be increased or reduced.
3
Without prejudice to the generality of subsection (2), the circumstances that may be specified by virtue of paragraph (b) of that subsection include—
a
in the case of an occupational pension scheme, the length of time which elapses between the termination of a member’s pensionable service and his exercise of the option conferred by this Chapter or regulations made under it;
b
failure by the trustees or managers of the scheme to do what is needed to carry out what a member of the scheme requires within 6 months of the date on which they receive an application from him under section 91; and
c
the state of the funding of the scheme.
4
Regulations under subsection (2) may specify as the amount by which a cash equivalent is to be reduced such an amount that a member has no right to receive anything.