Paragraph 18 Transfers from other pension arrangements
In the case of members who are practitioners, regulations N1 (member’s right to transfer accrued rights to benefits to F1this Section of the scheme) and N4 (transfers in respect of more than one member) are modified so that, if a transfer payment is accepted in respect of the member’s rights under another occupational pension scheme, a personal pension scheme,or a buy–out policy, the benefits in respect of the transfer payment will be calculated as described in this paragraph.
The benefits in respect of the transfer payment will be calculated by increasing the member’s pensionable earnings for the financial year in which the member joined this Section of the scheme (or the financial year in which the transfer payment is received, if the payment is received more than 12 months after the member joined this Section of the scheme).
The amount of the increase referred to in sub–paragraph (2) will be calculated by—
treating the member as entitled to a period of officer service equal to the period of employment that qualified the member for the rights in respect of which the transfer payment is being made;
calculating the final year’s pensionable pay that would have given rise to a cash equivalent, in respect of that officer service under regulation M3 (amount of member’s cash equivalent) equal to the amount of the transfer payment; and
increasing the member’s pensionable earnings by an amount equal to the pensionable pay that the member would have received during that period of officer service if the member’s pensionable pay had been equal to the final year’s pensionable pay mentioned in paragraph (b) throughout that period.
For the purposes of sub–paragraph (3), the final year’s pensionable pay mentioned in paragraph (b) will be calculated in a manner that is consistent with the actuarial methods and assumptions referred to in—
regulation N2 (transfers made under the Public Sector Transfer Arrangements) where the transfer payment is made under the Public Sector Transfer Arrangements; or
regulation N3 (transfers that are not made under the Public Sector Transfer Arrangements) in any other case.
The upper limit on a dental practitioner’s pensionable earnings under paragraph 8 (limit on pensionable earnings — dental practitioners) will not apply to any increase in a member’s pensionable earnings under this paragraph.
Annotations
Textual amendments
- F1
Words in Sch. 2 para. 18(1)(2) inserted (1.10.2009) by The National Health Service Pension Scheme, Injury Benefits and Additional Voluntary Contributions (Amendment) Regulations 2009 (S.I. 2009/2446), reg. 1(2), Sch. 1 para. 1