OpenLegislation

(1)

The provisions of this Article shall apply for the purpose of determining entitlement to old age pension in respect of a person under the legislation of one Party under which there is no entitlement in respect of that person in accordance with the provisions of Article 11 of this Convention.

(2)

In accordance with the provisions of Article 9 of this Convention, the insurance authority of that Party shall determine:

(a)

the amount of the theoretical pension which would be payable if all the insurance periods completed by that person under the legislation of both Parties had been completed under its own legislation;

(b)

the proportion of such theoretical pension which bears the same relation to the whole as the total of the insurance periods completed by him under the legislation of that Party bears to the total of all the insurance periods which he has completed under the legislation of both Parties.

The proportionate amount thus calculated shall be the rate of pension actually payable to that person by the competent institution.

(3)

For the purpose of the calculation in paragraph (2) of this Article:

(a)

where all the insurance periods completed by any person under the legislation of the United Kingdom amount to less than one reckonable or, as the case may be, qualifying year, or relate only to periods before 6 April 1975 and in aggregate amount to less than 50 weeks, those periods shall be treated as if they had been completed under the legislation of the Philippines;

(b)

where all the insurance periods completed by any person under the legislation of the Philippines amount to less than twelve months, those periods shall be treated as if they had been completed under the legislation of the United Kingdom.

(4)

For the purpose of applying the provisions of paragraph (2) of this Article:

(a)

the insurance authority of the United Kingdom shall take account only of insurance periods (completed under the legislation of either Party) which would be taken into account for the determination of pensions under the legislation of the United Kingdom if they were completed under that legislation, and shall, where appropriate, take into account in accordance with that legislation insurance periods completed by a F1Spouse or civil partner;

(b)

no account shall be taken of any graduated contributions paid under the legislation of the United Kingdom before 6 April 1975 and the amount of any graduated benefit payable by virtue of such contributions shall be added to the amount of any pension payable in accordance with paragraph (2) of this Article under that legislation:

(c)

no account shall be taken under the legislation of the United Kingdom of any increase of benefit payable under that legislation by virtue of deferred retirement, but any such increase of benefit payable under that legislation shall be added to any benefit payable under that legislation which has been calculated under paragraph (2) of this Article;

(d)

for the purpose of applying the provisions of paragraph (2) of this Article, “pension” shall not include any increase payable in respect of a dependent child, but any such increase shall be added to any benefit payable by virtue of the calculation under paragraph (2) of this Article, subject to any limitations provided in Article 14 of this Convention;

(e)

where a compulsory insurance period completed under the legislation of one Party coincides with a voluntary insurance period completed under the legislation of the other Party, only the compulsory insurance period shall be taken into account, provided that the amount of pension payable under the legislation of the United Kingdom under the provisions of paragraph (2) of this Article shall be increased by the amount by which the pension payable under the legislation of that Party would have been increased if all voluntary contributions paid under that legislation had been taken into account;

(f)

where a contribution period other than a voluntary contribution period completed under the legislation of one Party coincides with an equivalent period completed under the legislation of the other Party, only the contribution period shall be taken into account;

(g)

no account shall be taken under the legislation of the United Kingdom of any invalidity allowance payable under that legislation and the amount of any invalidity allowance shall be added to the amount of any pension payable in accordance with paragraph (2) of this Article under that legislation.

(5)

For the purpose of applying the provisions of paragraphs (1) to (4) of this Article, no account shall be taken under the legislation of the Philippines of any contribution paid or credited under the legislation of the United Kingdom for any contribution year which ended before 1 September 1957.

Annotations

Textual amendments

F1

Words in art. 12(4)(a) substituted (5.12.05) by S.I. 2005/2765, art. 1, 2

Notes on Schedule

Modifications

C1

Sch. modified (5.12.2005) by Social Security (Reciprocal Agreements) Order 2005 (S.I. 2005/2765), art. 1, Sch. 1, Sch. 2