Paragraph 20 AllocationI1

This article applies to an ordinary, short service, ill-health or deferred pension under this Part.

A person entitled or prospectively entitled to a pension to which this article applies may allocate a portion of the pension in favour of a beneficiary, that is to say—

A person who has allocated a portion of an ordinary pension may allocate a further portion of it—

No more than one third of a pension may be allocated under this article.

In order to allocate a portion of a pension a person must give the Board written notice of allocation specifying—

and must have satisfied the Board of his good health.

A person’s notice of allocation, which may be sent by post, must be given before, but not earlier than two months before, the date on which he intends to retire.

Where a person has complied with paragraphs (5) and (6) the Board shall forthwith notify him in writing that it has accepted the notice of allocation.

A notice of allocation which has been accepted takes effect only if the person who gave it retires within 2 months of giving it.

Where a notice of allocation has taken effect and the pension to which it relates has become payable, the pension shall, unless the beneficiary has died, be reduced by the allocated portion as from the date from which the pension is payable, and if the beneficiary survives the pensioner the Board shall, as from the pensioner’s death, pay the beneficiary a pension which is the actuarial equivalent of the allocated portion.

Where the beneficiary dies after a pension, which has been reduced under paragraph (9), becomes payable, that reduction shall cease from the date of the beneficiary’s death.

The actuarial equivalent shall be calculated from tables prepared by the Government Actuary and in force at the time when the notice took effect, which shall take account of the ages of the pensioner and the beneficiary at that time and separate calculations shall be made in respect of separate allocations.

For the purposes of this article no account shall be taken of any increase under article 69(3) or rule 2 or 3 of Part 7 of the Compensation Scheme.