61.—(1) This regulation applies for calculating the annual rate of phased retirement and retirement pensions.
(2) The annual rate of the pension of a person (P) is the sum of the amounts mentioned in paragraph (5).
(3) But the annual rate of a retirement pension is SB-PRP if—
(a)Case D applies to P's reckonable service or to part of P's reckonable service,
(b)P has a guaranteed minimum in relation to employment before 6th April 1997, and
(c)SB is greater than AR+PRP.
(4) In paragraph (3)—
AR is what the annual rate of P's retirement pension would be apart from paragraph (3);
PRP is the annual rate of any phased retirement pensions payable to P;
SB is the sum of the annual equivalent of P's guaranteed minimum and any equivalent pension benefits.
(5) The amounts are—
(a)1/80 x P's average salary x P's NPA 60 reckonable service to which a Case applies (in years and fractions of a year),
(b)1/60 x P's average salary x P's NPA 65 reckonable service to which a Case applies (in years and fractions of a year),
(c)where a lump sum is not paid to P because of regulation 124 (general prohibition on unauthorised payments), but where it would otherwise be payable to P, such amount representing the value of that lump sum as the Secretary of State determines after taking advice from the scheme actuary, and
(d)where the amount of a lump sum payable under regulation 62 (amount of phased retirement and retirement lump sum) (“the actual lump sum”) is less than the amount which would, apart from paragraph (3) of that regulation, be payable (“the notional lump sum”), such amount representing the value of the difference between the notional lump sum and the actual lump sum as the Secretary of State determines after taking advice from the scheme actuary.
(6) The amount calculated in accordance with paragraph (5)(a) must be multiplied by the appropriate factor for a person with NPA 60 reckonable service—
(a)where the pension is a phased retirement pension, if P is under 60 on the relevant date, and
(b)where the pension is a retirement pension, if Case D or Case E applies to P's NPA 60 reckonable service.
(7) The amount calculated in accordance with paragraph (5)(b) must be multiplied by the appropriate factor for a person with NPA 65 reckonable service—
(a)where the pension is a phased retirement pension, if P is under 65 on the relevant date, and
(b)where the pension is a retirement pension, if Case D or Case E applies to P's NPA 65 reckonable service.
(8) Where P was in pensionable employment after reaching the age of 65, such part of the amount calculated in accordance with paragraph (5)(b) as relates to reckonable service before P reached that age must be multiplied by the factor specified in paragraph (9).
(9) The factor is such factor relating to the length of the period (in years and complete months) between the date of P's 65th birthday and the entitlement day for that part of P's retirement pension mentioned in paragraph (5)(b) as the Secretary of State is to determine from time to time after taking advice from the scheme actuary.
(10) For the purpose of paragraph (8), where a transfer value other than one from a comparable United Kingdom scheme is accepted after P is 65, the reckonable service attributable to the transfer value is to be treated as being after P reached that age.
(11) In this regulation—
(a)“relevant date” has the same meaning as in regulation 57(9) (election to receive phased retirement benefits), and
(b)the “entitlement day” means the entitlement day referred to in regulation 60 (retirement benefits).
(12) The annual rate of a retirement pension is subject to paragraph 23 of Schedule 13 (National Insurance modification of pensions).