OpenLegislation

Paragraph 10

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

(1)

This paragraph applies where—

(a)

the condition specified in paragraph 9(1)(b) applies,

(b)

the person has made an election under regulation B6 (resumption of pensionable status),

(c)

the previous election under regulation B6 of the 1988 Regulations (election not to be pensionable) was made before 30 June 1994,

(d)

the person has been in excluded employment between the date of the election under regulation B6 of the 1988 Regulations and the date of the election under regulation B6 of these Regulations,

(e)

a transfer value was paid under regulation F1 of the 1988 Regulations or under Schedule 1A to the Social Security Pensions Act 1975f1 or chapter IV of Part IV of the 1993 Act in respect of the person in consequence of him ceasing to be in pensionable employment by virtue of the election under regulation B6 of the 1988 Regulations,

(f)

the person is an individual as is mentioned in section 172(1) of the 1995 Act, and

(g)

the Secretary of State accepts a transfer value under regulation F4 of the amount specified in sub-paragraph (3).

(2)

In this paragraph “the period of original pensionable employment” means the period during which the person was in pensionable employment before he made his election under regulation B6 of the 1988 Regulations.

(3)

The amount referred to in sub-paragraph (1)(g) is

A+B

where—

  • A is the transfer value which, calculated on the basis specified in paragraph 9(2), would enable the person to count the period of excluded employment as reckonable service as if it had been pensionable employment; and

  • B is the greater of—

    1. (a)

      the transfer value paid by the Secretary of State in respect of the person in consequence of his ceasing to be in pensionable employment by virtue of his election under regulation B6 of the 1988 Regulations together with—

      1. (i)

        in a case where the transfer value was paid to the Secretary of State pursuant to regulation F4 within four weeks of the request under regulation F4(3) an amount, determined actuarially, which represents the income which would have been received had such sum been invested during the period starting at the end of the month in which the transfer value was paid under regulation F1 of the 1988 Regulations and ending at the end of the month in which the request under regulation F4(3) was made; and

      2. (ii)

        in any other case the amount referred to in paragraph (i) above together with a further amount, determined actuarially, which represents the income which would have been received compounded with monthly rests, had such sum been invested during the period starting at the end of the month in which the request under regulation F4(3) was made and ending at the end of the month in which the transfer value was paid to the Secretary of State; and

    2. (b)

      the amount which would be paid as a transfer value by the Secretary of State in respect of the person if at the date on which he made the election under regulation B6—

      1. (i)

        he was in pensionable employment and made an election under regulation B5 (election not to be pensionable); and

      2. (ii)

        he had been in pensionable employment for a period equal to the period of original pensionable employment.

(4)

Where this paragraph applies the person is entitled to count as reckonable service—

(a)

the reckonable service arising from the period of original pensionable employment; and

(b)

such service arising from the period of excluded employment as if it had been pensionable employment.

Annotations

Footnotes

f1

1975 c. 60; Schedule 1A (now repealed by the 1993 Act) was inserted by the Social Security Act 1985 (c. 53), Schedule 1, paragraph 3.