Paragraph 5 Contributions under defined benefits arrangementsI1
England, Wales and Scotland
Under a defined benefits arrangement, different rates of member or employer contributions according to the age of the members by or in respect of whom contributions are made, to the extent that—
(a)
each year of pensionable service entitles members in a comparable situation to accrue a right to defined benefits based on the same fraction of pensionable pay, and
(b)
the aim in setting the different rates is to reflect the increasing cost of providing the defined benefits in respect of members as they get older.
Annotations
Commencement
- I1
Sch. 1 para. 5 in force at 1.10.2010, see art. 1