Amendment of Schedule 1A to the 1996 Regulations10
1
Schedule 1A (reductions in initial cash equivalents) to the 1996 Regulations22 is amended as follows.
2
In paragraph 2 of Schedule 1A—
a
at the end of sub-paragraph (a) omit the word “and”;
b
after sub-paragraph (b) insert—
and
c
the guarantee date shown in the statement of entitlement is at least one year before the member attains normal pension age in relation to the rights to benefits covered by the statement of entitlement.
3
For paragraph 8 of Schedule 1A substitute—
8
Where—
1
The cash equivalent shown in a member’s statement of entitlement—
i
relates to safeguarded benefits, as defined in [clause 48(8)] of the Pension Schemes Act 2015; and
ii
is to be used for acquiring transfer credits in relation to safeguarded benefits under the rules of another scheme; and
2
The receiving scheme has undertaken to provide benefits at least equal in value to the benefits represented by that cash equivalent on payment of a lesser sum (including nil),
the initial cash equivalent may be reduced so that the cash equivalent is that lesser sum.