Regulation 7 Amendments to the Police Pensions Regulations 1987

For regulation B8 (commutation-small pensions) substitute—

“Commutation – small pensions

B8.

(1)

Where the annual rate of any pension payable to or in respect of a regular policeman under this Part, regulation J1(2) (policeman with a guaranteed minimum for the purposes of the Social Security Pensions Act 1975) or Part M (pension sharing) does not exceed the small pensions commutation maximum, the police authority may pay the person entitled to the pension a lump sum of such an amount as the Scheme Actuary advises represents the capital value of the pension if—

(a)

that person consents, and

(b)

where the pension payable to that person is one which may not be less than that person’s guaranteed minimum, he has reached state pension age.

(2)

If—

(a)

a person is entitled to more than one pension under this Part or regulation J1(2),

(b)

a person is entitled to more than one relevant award in respect of the same regular policeman, or

(c)

a pension credit member is entitled—

(i)

to more than one pension under Part M, or

(ii)

to one or more pensions under this Part or regulation J1(2) in addition to one or more pensions under Part M,

those pensions may only be commuted under this regulation if they do not in aggregate exceed the amount that is permitted to be commuted under all the commutation requirements that apply in the circumstances in question.

(3)

The payment of a lump sum under this regulation in respect of pension discharges the relevant police authority from all liability in respect of that pension.

(4)

In this regulation—

• “commutation requirements” means requirements permitting the commutation of small pensions that are imposed—

  1. (a)

     by regulation 19, 20 or 60 of the Occupational Pension Schemes (Contracting-out) Regulations 1996^f1,

  2. (b)

     by regulation 2 of the Occupational Pension Schemes (Assignment, Forfeiture, Bankruptcy etc.) Regulations 1997^f2,

  3. (c)

     by regulation 3(2)(b) of the Pension Sharing (Pension Credit Benefit) Regulations 2000^f3, or

  4. (d)

     by paragraph 7 of Schedule 29 to the Finance Act 2004^f4 (which defines trivial commutation lump sums for the purposes of Part 1 of that Schedule);

• “relevant award” means an award under any of the following—

  1. (a)

     these Regulations,

  2. (b)

     the Police Pensions (Scotland) Regulations 2007^f5,

  3. (c)

     the Injury Benefit Regulations^f6, and

  4. (d)

     the Police Pensions (Additional Voluntary Contributions) Regulations 1991^f7; and

• “small pensions commutation maximum” means the amount that is permitted to be commuted, having regard to all the commutation requirements that apply in the circumstances in question.”.