PART 4Contributions

CHAPTER 3Buy-out: actuarial reduction

Determination of contributions payable47.

(1)

The scheme manager must, after consultation with the scheme actuary, determine the rate of the monthly payments to be paid in respect of a buy-out election.

(2)

The scheme manager—

(a)

may determine the rate of the monthly payments by reference to the length of the period between the date of the buy-out election and the date when the member will reach prospective normal pension age; and

(b)

may exercise the functions under this paragraph so as to re-determine the rate of the monthly payments during that period.

(3)

Unless the scheme manager re-determines the rate, monthly payments following a gap in service not exceeding 5 years are the same as before the gap.