# The Personal Pension Schemes (Transfer Values) Regulations 1987, Regulation 3: Manner of calculation and verification of cash equivalents

Extent: E+W+S+N.I.

(1) Cash equivalents are to be calculated and verified by calculating the initial cash equivalent in accordance with this regulation and then making any increases or reductions in accordance with regulation 4.
(2) The initial cash equivalent is the realisable value at the date of calculation of any benefits to which the member is entitled.
(3) The trustees must calculate that realisable value—
(a) in accordance with the scheme rules; and
(b) in a manner which is—
(i) approved by the trustees; and
(ii) consistent with Chapter 1 of Part 4ZA of the Act.
(4) The realisable value must include any increases to the benefits resulting from a payment of interest made in accordance with the scheme rules.

---
Source: https://www.legislation.gov.uk/uksi/1987/1112/regulation/3 (the official version)
Page: https://openlegislation.uk/personal-pension-schemes-transfer-values-regulations-1987/regulation-3
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.