Regulation 11 Revaluation of guaranteed minimum in certain cases

After regulation E1 of the principal Regulations there shall be inserted the following regulation:—

“Revaluation of guaranteed minimum in certain cases

E1A

(1)

This regulation applies where a pensionable employee—

(a)

has ceased to be employed in local government employment or has ceased to be a pensionable employee by virtue of a notification under regulation B4A, and

(b)

has acquired a right to a transfer value under regulation J2, and

(c)

has taken that right by exercising the option conferred by paragraph 13(2) of Schedule 1A to the Pensions Act^f1 in the way specified in sub-paragraph (b) of that paragraph,

and where his guaranteed minimum, and where appropriate, that of his widow, are appropriately secured within the meaning of section 52C(4) of that Act^f2.

(2)

Where this regulation applies—

(a)

for the purposes of section 35(2) of the Pensions Act^f3 (amount of guaranteed minimum) the person’s earnings factors shall be determined without reference to any order that comes into force under section 21 of that Act after the relevant year in which his employment was terminated or in which he ceased to be a pensionable employee, and

(b)

thereafter the weekly equivalent mentioned in section 35(2) of that Act shall be increased—

(i)

in accordance with any additional requirements for the time being prescribed for the purposes of section 45(1)(b) of that Act, or

(ii)

by the minimum rate of increase provided for in section 35(7) of that Act,

whichever provides the greater increase.

(3)

In this regulation “relevant year” has the meaning given in section 35(9) of the Pensions Act.”.