The Teachers' Pensions Regulations 2010

Restriction on average salary E+W+S

39.—(1) This regulation applies for calculating the average salary of a person (P), except where P dies in pensionable employment.

(2) For the purpose of regulation 37(2)(a)—

(a) if P's relevant salary during the last 365 days of P's average salary service is greater than RS2 + I, P is to be treated as receiving relevant salary during that period of an amount equal to RS2 + I;

(b) where P has more than 730 days of average salary service, if P's relevant salary during Year 2 is greater than RS1 + I, P is to be treated as receiving relevant salary during Year 2 of an amount equal to RS1 + I;

(c) where P has more than 1095 days of average salary service, if P's relevant salary during Year 1 is greater than RS0 + I, P is to be treated as receiving relevant salary during Year 1 of an amount equal to RS0 + I.

(3) In paragraph (2)— I is the greater of—

(a) the fixed amount—

(i) determined in accordance with paragraph (4) (where the last day of P's average salary service falls before [F1 1st April 2011]), or

(ii) relating to the financial year in which the last day of P's average salary service falls, determined in accordance with paragraph (5), in any other case, and

(b) 10% of the annual rate of the salary to which I is added;

RS0 is the average annual rate of P's relevant salary during Year 0; RS1 is the average annual rate of P's relevant salary during Year 1 or, where paragraph (2)(c) applies, the relevant salary during Year 1 which P is to be treated as receiving in accordance with that sub-paragraph; RS2 is the average annual rate of P's relevant salary during Year 2 or, where paragraph (2)(b) applies, the relevant salary during Year 2 which P is to be treated as receiving in accordance with that sub-paragraph.

(4) The fixed amount where the last day of P's average salary service falls before [F2 1st April 2011] is £ 5,000.

[F3 (5) The fixed amount where the last day of P’s average salary service falls in the financial year ending on 31st March 2012, or in any subsequent financial year, is the amount to which the sum of £5,000 would have been increased in the relevant financial year if it had been an official pension within the meaning of section 5(1) of PIA 1971 beginning, and first qualifying for increases under that Act, on 1st April 2010.]

(9) This regulation is subject to paragraph 23 of Schedule 13.

(10) In this regulation—

“Year 0” means the 365 days of P's average salary service preceding Year 1 or, where P has less than 1,460 days of average salary service, the number of days of P's average salary service preceding Year 1;

“Year 1” means the 365 days of P's average salary service preceding Year 2 or, where P has less than 1,095 days of average salary service, the number of days of P's average salary service preceding Year 2;

“Year 2” means the 365 days of P's average salary service preceding the last 365 days of P's average salary service or, where P has less than 730 days of average salary service, the number of days of P's average salary service preceding the last 365 days of P's average salary service.

Textual Amendments

F1 Words in reg. 39(3) substituted (1.4.2011) by The Teachers’ Pensions (Miscellaneous Amendments) Regulations 2011 (S.I. 2011/614), reg. 1, Sch. 2 para. 4(2)

F2 Words in reg. 39(4) substituted (1.4.2011) by The Teachers’ Pensions (Miscellaneous Amendments) Regulations 2011 (S.I. 2011/614), reg. 1, Sch. 2 para. 4(2)

F3 Reg. 39(5) substituted for reg. 39(5)-(8) (1.4.2011) by The Teachers’ Pensions (Miscellaneous Amendments) Regulations 2011 (S.I. 2011/614), reg. 1, Sch. 2 para. 4(3)