Regulation 74 Method of taking cash benefit

(1)

P may only exercise the right in regulation 73(1) by exercising the option conferred by this paragraph (“the option”).

(2)

The option is that of requiring the Treasury to use the cash equivalent in whichever of the following ways P chooses—

(a)

for acquiring transfer credits allowed under the rules of another occupational pension scheme—

(i)

whose trustees or managers are able and willing to accept the transfer; and

(ii)

which satisfies the requirements in regulation 75;

(b)

for acquiring rights allowed under the rules of a personal pension scheme—

(i)

whose trustees or managers are able and willing to accept the transfer; and

(ii)

which satisfies the requirements in regulation 75;

(c)

for purchasing one or more annuities satisfying the requirements in regulation 75 from one or more authorised insurers—

(i)

chosen by P, and

(ii)

willing to accept payment on P’s account from the Treasury;

(d)

for subscribing to other pension arrangements which satisfy the requirements in regulation 75.

(3)

P may exercise the option in different ways in relation to different portions of P’s cash equivalent.

(4)

If P exercises the option P must do so in relation to the whole of P’s cash equivalent.

(5)

In this regulation, “transfer credits” has the meaning given by section 181(1) of the Pension Schemes Act 1993, or in relation to Northern Ireland, section 176(1) of the Pension Schemes (Northern Ireland) Act 1993^f1.

Annotations

Footnotes

f1: Sections 181(1) of the Pension Schemes Act 1993 and 176(1) of the Pension Schemes (Northern Ireland) Act 1993 have been amended, but the amendments are not relevant to these Regulations.