# The National Health Service Pension Scheme Regulations 1995, Paragraph 5: Commutation of the whole of pension credit benefit at normal benefit age


(1) Where—
(a) the pension credit member is suffering from serious ill health at normal benefit age; or
(b) the total benefits payable to the pension credit member, including any pension credit benefit, is of an amount that complies with the provisions of paragraphs 7 to 9 of Part I of Schedule 29 to the 2004 Act (lump sum rule: trivial commutation lump sum) at normal benefit age.
the Secretary of State may discharge his liability in respect of the payment of pension credit benefit by the payment of a lump sum to the pension credit member at normal benefit age.
(2) The pension credit payable in the circumstances described in sub-paragraph (1)(a) shall consist of—
(a) where paragraph 3(1)(b) applies, a lump sum equal to the aggregate of—
(i) 3 times the annual rate of the pension otherwise payable under paragraph 3 of this Schedule,
(ii) 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
(iii) the lump sum resulting from the reduction to the pension credit member’s pension referred to in paragraph (ii);
(b) 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.
(3) In this paragraph “serious ill health” means ill health which is such as to give rise to a life expectancy of less than one year from the date on which the payment of the pension credit benefit of the pension credit member is applied for.

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Source: https://www.legislation.gov.uk/uksi/1995/300/schedule/2A/paragraph/5 (the official version)
Page: https://openlegislation.uk/national-health-service-pension-scheme-regulations-1995/schedule-2A/paragraph-5
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.