Paragraph 4 Commutation of the whole of pension credit benefit before normal benefit ageF1
A pension credit member shall be entitled to the commutation of the whole of his pension credit benefit before reaching normal benefit age F2in the circumstances permitted by paragraph (b) of the lump sum rule in section 166(1) of the 2004 Act.
For the purpose of sub-paragraph (1), the Secretary of State may require whatever medical evidence that the Secretary of State considers necessary.
The pension credit payable in the circumstances described in sub-paragraph (1) shall consist of—
where paragraph 3(1)(b) applies, a lump sum equal to the aggregate of—
3 times the annual rate of the pension otherwise payable under paragraph 3 of this Schedule had the pension credit member reached normal benefit age on the date when commutation in accordance with this paragraph is applied for,
5 times the annual rate of the pension referred to in paragraph (i) after that annual rate has been reduced by the maximum amount of pension that the pension credit member may exchange for a lump sum under paragraph 3(7) of this Schedule, and
the lump sum resulting from the reduction to the pension credit member’s pension referred to in paragraph (ii);
where paragraph 3(1)(b) does not apply, a lump sum equal to 5 times the annual rate of the pension otherwise payable under paragraph 3 of this Schedule had the pension credit member reached normal benefit age on the date when commutation in accordance with this paragraph is applied for.
Annotations
Textual amendments
- F1
Sch. 2A inserted (1.5.2001) by The National Health Service (Pension Scheme and Additional Voluntary Contributions) (Pension Sharing) Amendment Regulations 2001 (S.I. 2001/1428), reg. 1, Sch. 1 para. 3
- F2
Words in Sch. 2A para. 4(1) substituted (with effect from 6.4.2009) by The National Health Service Pension Scheme and Injury Benefits (Amendment) Regulations 2009 (S.I. 2009/381), regs. 1(2)(3)(a), 14(5)(a) (with reg. 89)
- F3
Sch. 2A para. 4(1A) inserted (with effect from 6.4.2009) by The National Health Service Pension Scheme and Injury Benefits (Amendment) Regulations 2009 (S.I. 2009/381), regs. 1(2)(3)(a), 14(5)(b) (with reg. 89)
- F4
Sch. 2A para. 4(2) substituted (with effect from 6.4.2009) by The National Health Service Pension Scheme and Injury Benefits (Amendment) Regulations 2009 (S.I. 2009/381), regs. 1(2)(3)(a), 14(5)(c) (with reg. 89)