Regulation 2 Prescribed percentage of the basic pension rate

(1)

The prescribed percentage of the rate of the basic pension under paragraph 2(5)(c) of Schedule 28 to the Finance Act 2004 is that found by the formula—

125 + (125 \frac{A}{B})

Here—

A is the total number of years of a member’s employment to which the pension scheme relates which is not or has not been contracted-out employment, and
B is the total number of years of a member’s employment to which the pension scheme relates.

(2)

In paragraph (1) “the basic pension” and “contracted-out employment” have the meanings given by paragraph 2(5A) of Schedule 28 to the Finance Act 2004^f1.

Annotations

Footnotes

f1: Paragraph 2(5A) of Schedule 28 was substituted by paragraph 20(3) of Schedule 23 to the Finance Act 2006.