Paragraph 3 Maximum commutation for Members on early retirement

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

Sch. 3 words substituted by Parliamentary Pensions 2006 reg. 5(5)(a)
Sch. 3 para. 6 words inserted by Parliamentary Pensions 2006 reg. 5(5)(b)
Sch. 3 para. 2(2)(ii) words substituted by Parliamentary Pensions 2006 reg. 15(7)(a)
Sch. 3 para. 4(1)(ii) words substituted by Parliamentary Pensions 2006 reg. 15(7)(b)
Sch. 3 para. 4(2)(ii)(b) words substituted by Parliamentary Pensions 2006 reg. 15(7)(b)

For the purposes of regulation G1(4), in the case of a Class A participant entitled to a pension under regulation H1—

(1)

who has no retained lump sum benefits, was no longer a Member of the House of Commons on his sixty-fifth birthday and is not entitled to a pension by virtue of regulation J1 or J3 (ill-health pensions), the amount of the maximum commutable sum, subject to a maximum of 120/80 of the multiple, shall be whichever is the greater of—

(i)

the amount of the product of N/NS and the number of eightieths of the multiple, either specified in the table in Part II of this Schedule in relation to the number of complete years of his prospective actual reckonable service or (if the period of that service includes a fraction of a year) calculated proportionately by reference to the numbers specified in that table; and

(ii)

the amount of the product of three-eightieths of the multiple and the period, expressed in years and any fraction of a year, of his actual reckonable service,

aggregated with the amount referred to in paragraph 2(1)(ii);

(2)

who has retained lump sum benefits but would otherwise be within sub-paragraph (1) above, the amount of the maximum commutable sum shall be whichever is the greater of—

(i)

the aggregate of:

(a)

the amount referred to in sub-paragraph (1)(i) above, subject to a maximum of the product of N/NS and the amount referred to in paragraph 2(2)(i); and

(b)

the amount referred to in paragraph 2(1)(ii), subject to a maximum of the amount of 120/80 of the multiple, less his retained lump sum benefits; and

(ii)

the amount referred to in paragraph 2(2)(ii).