Paragraph 5 I1

After Part I of Schedule 9 insert:

“PART 1A

TRANSFER VALUE PAYABLE UNDER ARTICLE 71A

1

A transfer value is calculated on the cash equivalent basis if it is calculated in the manner prescribed under paragraph 14 of Schedule 1A to the Social Security Pensions Act 1975 for the calculation of cash equivalents.

2

Where —

(a)

a transfer value is payable to the person responsible for the management of a club scheme or a personal pension scheme, or

(b)

a transfer value is payable to the person responsible for the management of an approved scheme which is not a club scheme and none of the service to which it relates is service before 1st October 1990,

and no right to a cash equivalent was acquired, the transfer value is to be calculated on the cash equivalent basis.

3

Where —

(a)

a transfer value is payable to the person responsible for the management of an approved scheme which is not a club scheme, and

(b)

the service to which it relates includes service before 1st October 1990, and

(c)

no right to a cash equivalent was acquired,

the amount of the transfer value is the total of A and the greater of B and C, where —

A

is a notional transfer value, calculated on the cash equivalent basis, in respect of the person’s service after 30th September 1990,

B

is a notional transfer value, calculated on the cash equivalent basis, in respect of his service before 1st October 1990, and

C

is a notional transfer value, calculated as if Part I of this Schedule had continued after 30th September 1990 to apply to transfer values payable under article 71A, in respect of his service before 1st October 1990.

4

Where —

(a)

a transfer value is payable to the person responsible for the management of an approved scheme which is not a club scheme, and

(b)

the service to which it relates includes service before 1st October 1990, and

(c)

a right to a cash equivalent was acquired,

the amount of the transfer value is D — E, where —

D

is the transfer value that would have been payable if paragraph 3 had applied, and

E

is the amount of the cash equivalent.

5

Where —

(a)

a transfer value is payable to the person responsible for the management of a personal pension scheme, and

(b)

a right to a part cash equivalent was acquired,

the transfer value is to be calculated on the cash equivalent basis but as if the person’s service as a regular fireman had ended with 5th April 1988.”.