Office of Public Sector Information
PART 3 continued CHAPTER 3.D continued
(2) If apart from this rule—
(a) no pension would be payable to the member under the Scheme, or
(b) the weekly rate of the pensions payable would be less than the guaranteed minimum,
a pension at a weekly rate equal to the guaranteed minimum is payable to the member for life from the date on which the member reaches State pension age or, as the case may be, pensions the aggregate weekly rate of which is equal to the guaranteed minimum are so payable.
(3) If—
(a) on reaching State pension age the member is still in employment (whether or not it is scheme employment), and
(b) if it is not scheme employment, the member consents to a postponement of the member’s entitlement under paragraph (2),
paragraph (2) does not apply until the member leaves employment.
This is subject to paragraph (4).
(4) If the member continues in employment for a further 5 years after reaching State pension age and does not then leave employment, the member is entitled from the end of that period to so much of the member’s pension under this Chapter as equals the member’s guaranteed minimum (or, as the case may be, to so much of the member’s pensions under this Chapter as together have a weekly rate equal to the member’s guaranteed minimum), unless the member consents to a further postponement of the entitlement.
(5) If paragraph (3) or (4) applies, the amount of the guaranteed minimum to which the member is entitled under this rule is increased in accordance with section 15 of the 1993 Act.
(6) If—
(a) before State pension age the member becomes entitled to the immediate payment of a pension, and
(b) the member has a guaranteed minimum under section 14 of the 1993 Act in relation to the whole or part of the pension,
the weekly rate of the pension, so far as attributable to that service, must not be less than that guaranteed minimum, multiplied by such factor as is indicated in tables provided by the Scheme actuary for a person of the member’s age and sex at the date on which the pension becomes payable.
(7) This paragraph applies if a person has ceased to be in employment that is contracted-out by reference to the Scheme, and either—
(a) all the person’s rights to benefits under the Scheme, except the person’s rights in respect of the person’s guaranteed minimum or rights under section 9(2B) of the 1993 Act (“the person’s contracting-out rights”), have been transferred under Chapter 3.F (transfers), or
(b) the person has no rights to benefits under the Scheme apart from the person’s contracting-out rights.
(8) If paragraph (7) applies—
(a) from the date on which the person reaches State pension age the person is entitled to a pension payable for life at a weekly rate equal to his guaranteed minimum, if any, and
(b) from the date on which the person reaches pension age the person is entitled to a pension in respect of his rights under section 9(2B) of the 1993 Act,
but a person falling within paragraph (7) is not to be regarded as a pensioner for the purposes of Chapter 3.E (death benefits).
(9) Paragraphs (2) to (8) do not apply to—
(a) a pension that is forfeited—
(i) as a result of a conviction for treason, or
(ii) in a case where an offence within regulation 3.J.7(2)(b) (Official Secrets Acts offences) is committed,
(b) a pension that is commuted under regulation 3.D.11 (option for members in serious ill-health to exchange whole pension for lump sum), or
(c) a pension that is commuted under regulation 3.J.5 (commutation of small pensions) where the conditions in regulation 60 of the Occupational Pension Schemes (Contracting-out) Regulations 1996(118) are met,
but if any other provision of the Scheme is inconsistent with this rule, this rule prevails.
(10) In this regulation—
(a) “scheme employment”, in relation to a member, means employment in the employment by virtue of which the member is eligible for membership of the Scheme, and
(b) references to the amount of a pension are to its amount—
(i) disregarding any additional pension,
(ii) after the subtraction of any amount exchanged under regulation 3.D.10 (general option to exchange part of pension for lump sum), and
(iii) before the subtraction of any amount allocated under regulation 3.D.14 (election to allocate pension).
(1) If an active member, a deferred member or a pensioner member dies leaving a surviving adult dependant, the surviving adult dependant is entitled to a pension that is payable for life.
(2) In this Part “surviving adult dependant”, in relation to a deceased member or former member, means the member’s or former member’s surviving spouse, civil partner or nominated partner.
(3) For the rate at which the pension referred to in paragraph (1) is payable see regulations 3.E.3 to 3.E.7 and, in any case where that pension includes additional pension, regulations 3.C.14(4) and 3.C.16(3).
(1) A person is a surviving nominated partner in relation to a member for the purposes of this Part if—
(a) the person and the member jointly made and signed a declaration in such form as the Secretary of State requires that remains effective at the member’s death, and
(b) the person satisfies the Secretary of State that for a continuous period of 2 years ending with the member’s death—
(i) the person and the member were living together in an exclusive relationship as if they were husband and wife or civil partners,
(ii) the person and the member were not prevented from marrying or forming a civil partnership, and
(iii) the person was financially dependent on the member or the person and the member were financially interdependent.
(2) A declaration for the purposes of paragraph (1)(a) ceases to have effect if—
(a) it is revoked by the member or other person by a signed notice in writing to the Secretary of State in such form as the Secretary of State may require or is willing to accept,
(b) the member makes a further declaration for the purpose of paragraph (1)(a), or
(c) the person or the member marries or forms a civil partnership.
(1) In the case of an active member, for the period of 6 months beginning with the day after the member’s death (“the initial period”), the rate of the pension payable under regulation 3.E.1(1)(a) is equal to the average rate of the member’s pensionable earnings during the last complete quarter before he died if that amount is greater than the amount of the pension payable to the surviving adult under this Chapter apart from this paragraph.
(2) Subject to paragraph (3), after the initial period, if the member dies with 2 or more years of qualifying service, the annual amount of the pension payable under regulation 3.E.1—
(a) if the member has not reached the age of 65, is equal to the appropriate proportion of the tier 2 ill-health pension under regulation 3.D.7 to which the member would have been entitled if on the date of death the member had become entitled to such a pension, and
(b) if the member has reached the age of 65, is equal to the appropriate proportion of the pension under regulation 3.D.1 (normal retirement pensions) to which the member would have been entitled if on the date of death the member had become entitled to such a pension in respect of any period of pensionable service that the member is entitled to count.
(3) After the initial period, if the member dies with less than 2 years of qualifying service but after reaching the age of 65, the annual amount of the pension payable under regulation 3.E.1 is equal to the appropriate proportion of the pension to which the member would have been entitled (disregarding any additional pension) if on the date of death the member had become entitled to a pension under regulation 3.D.1 (normal retirement pensions) in respect of any period of pensionable service that the member is entitled to count.
(4) After the initial period, if—
(a) the member dies with less than 2 years qualifying service and before reaching the age of 65, and
(b) the surviving adult has a guaranteed minimum under section 17 of the 1993 Act in relation to benefits in respect of the deceased member under the Scheme,
the annual amount of the pension payable under regulation 3.E.1 is equal to that guaranteed minimum, unless paragraph (5) applies.
(5) This paragraph applies if the Secretary of State’s liability to provide a guaranteed minimum pension in respect of the surviving adult is discharged by the payment of a contributions equivalent premium under section 55(2) of the 1993 Act.
(6) This regulation is subject to regulation 3.E.7.
(1) In the case of a pensioner member, for the initial period the rate of the pension payable under regulation 3.E.1 is equal to the rate of the member’s pension in payment at the time of death if that amount is greater than the sum of—
(a) the amount of the pension payable to the surviving adult dependant under this Chapter apart from this paragraph, and
(b) the amount of the children’s pensions otherwise payable under this Part.
(2) At any time when the rate is not the rate mentioned in paragraph (1), the rate of the surviving adult dependant’s pension in the case of the death of a pensioner member is equal to the appropriate proportion of the pension to which the member was entitled on the date of death (disregarding any additional pension).
(3) For the purposes of paragraph (1)—
(a) any reduction in the rate of the pension under Chapter 3.H (abatement), and
(b) if the member was in receipt of a pension payable under regulation 3.D.4 (early payment of pensions with actuarial reduction), any reduction made under that regulation by reason of the payment of the pension before the age of 65,
is ignored.
(4) In this regulation “the initial period” means—
(a) if the member leaves one or more dependent children who are dependant on the surviving adult dependant, the period of 6 months beginning with the day after the member’s death, and
(b) otherwise the period of 3 months beginning with that day.
(5) For the purposes of paragraph (4) a child born after the member’s death is treated as having been born before it.
(6) If a member who has had a tier 2 ill-health retirement pension under regulation 3.D.7 replaced by a tier 1 ill-health retirement pension (by virtue of regulation 3.G.4(2))—
(a) is in further NHS employment and dies before the end of the initial period (within the meaning of that regulation), or
(b) is in further employment that is not NHS employment and dies within a period of one year beginning with the day on which that further employment ceased to be an excluded employment (within the meaning of that regulation),
the member’s pension referred to in paragraph (1) means that member’s original tier 2 ill-health pension.
(7) This regulation is subject to regulation 3.E.7 (re-employed pensioners: adult survivor pensions in initial period).
(8) For the purposes of paragraphs (1) and (2), any reduction to the member’s pension under regulation 3.D.10 (general option to exchange part of pension for lump sum) will be ignored, except any reduction for the purposes of paragraph (1) where the benefits under this regulation form part of benefits payable under regulation 3.E.7.
(1) In the case of a deferred member—
(a) who left pensionable service less than 12 months before the date of death, and
(b) whose surviving adult dependant would have been the member’s surviving adult dependant if the member had died on the member’s last day of pensionable service,
the rate of the pension payable under regulation 3.E.1 is equal to the appropriate proportion of the tier 2 ill-health pension under regulation 3.D.7 to which the member would have been entitled if on the date the member’s pensionable service ceased the member had become entitled to such a pension under regulation 3.D.7 (but disregarding any additional pension).
(2) In the case of any other deferred member, the rate of the pension payable under regulation 3.E.1 is equal to the appropriate proportion of the pension under regulation 3.D.1 (normal retirement pensions) in respect of any period of pensionable service to which the member would have been entitled if on the date of death the member had become entitled to such a pension.
(1) If—
(a) a recent leaver dies leaving a surviving spouse or civil partner who has a guaranteed minimum under section 17 of the 1993 Act in relation to benefits in respect of the recent leaver under the Scheme, and
(b) the member has died before reaching the age of 65,
the surviving spouse or civil partner is entitled to a pension that is payable for life of an amount equal to that person’s guaranteed minimum pension (disregarding any additional pension), unless paragraph (2) applies.
(2) This paragraph applies if the Secretary of State’s liability to provide a guaranteed minimum pension in respect of the surviving adult is discharged by the payment of a contributions equivalent premium under section 55(2) of the 1993 Act.
(3) In this Part “recent leaver” means a person—
(a) who left pensionable service less than 12 months before the date of death,
(b) who is not a deferred member or a pensioner member because of rights resulting from that employment, and
(c) in respect of whom no transfer value or refund of contributions has been paid in respect of that employment.
(1) This regulation applies if, apart from this regulation, both regulations 3.E.3(1) and 3.E.4(1) would apply on the death of a member.
(2) Where this regulation applies, the rate of pension payable by virtue of regulation 3.E.3(1) and 3.E.4(1) during the initial period (as defined in the respective regulations) shall instead be the rate provided in paragraph (3).
(3) Subject to paragraph (4), for the relevant initial period the rate of the pension payable under regulation 3.E.1 is equal to the sum of—
(a) the average rate of the member’s pensionable earnings during the last complete quarter before he died, and
(b) the member’s pension payable at that time after taking account of any reduction in the rate of the pension under Chapter 3.H (abatement).
(4) Paragraph (3)(a) does not apply if—
(a) the rate of the pension payable to the surviving adult in respect of later service, and
(b) any children’s pension that would otherwise be payable in respect of later service under this Part,
would be greater.
(1) If a member or a recent leaver dies leaving one or more dependent children, a pension is payable in respect of them.
(2) This is subject to paragraphs (7) to (9).
(3) If a dependent child ceases to be a dependent child after the date of death, the pension ceases to be payable in respect of that child.
(4) If a dependent child is born after the date of death, the same pension is payable in respect of the child as if the child had been born on the date of death.
(5) If a member or a recent leaver dies leaving two or more dependent children, they are entitled to such shares of the pension as the Secretary of State may from time to time decide.
(6) An amount payable under this regulation in respect of a dependent child is payable to the dependent child or, if the Secretary of State so decides, to another person for the dependent child’s benefit.
(7) No pension is payable in respect of any dependant children who on the deceased’s death are dependant on an adult who is entitled to a surviving adult’s pension whilst that pension is payable at the rate mentioned in regulation 3.E.4(1) or 3.E.7(3)(b), except so much of that pension as is additional pension.
(8) If a dependent child is incapable of earning a living because of physical or mental infirmity for any period and the child is maintained out of money provided by Parliament in a hospital or other institution for a period exceeding one month, no pension is payable in respect of the child for any part of that period after the first month.
(9) If, apart from this paragraph, a pension would be payable in respect of any person as a dependent child of three or more persons who were deceased members or recent leavers—
(a) a pension is only payable in respect of two of them, and
(b) the amount payable is equal to the sum of the two highest pensions.
(10) For the rate at which the pension referred to in paragraph (1) is payable, see regulations 3.E.10 to 3.E.15 and, in any case where that pension includes additional pension, regulations 3.C.14(4) and 3.C.16(3).
(1) In this Part “dependent child”, in relation to a deceased member or recent leaver, means a person who—
(a) meets the relationship condition (see paragraph (2)),
(b) either—
(i) has not reached the age of 23, or
(ii) in the opinion of the Scheme administrator was financially dependent on the deceased at the date of death because of physical or mental infirmity and remains so,
(c) was born—
(i) whilst the deceased was an active member, or
(ii) within one year after the deceased ceased to be an active member,
(d) in the case of a person within sub-paragraph (c)(i), was dependent on the deceased—
(i) at the date of death, and
(ii) if the deceased died after ceasing to be an active member, when the deceased ceased to be an active member, and
(e) in the case of a person within sub-paragraph (c)(ii)—
(i) was dependent on the deceased both at birth and at the deceased’s death, or
(ii) if the person was born after the deceased’s death, would have been dependent on the deceased had the deceased not died before the person’s birth.
(2) A person meets the relationship condition if the person is—
(a) a natural child or natural grandchild of the deceased,
(b) an adopted child of the deceased who was adopted whilst the deceased was an active member,
(c) a step-child of the deceased whose natural or adoptive parent is the deceased’s surviving spouse or civil partner from a marriage entered into, or a civil partnership formed, whilst the deceased was an active member,
(d) in a case where the deceased left a surviving nominated partner with whom the deceased was living as mentioned in regulation 3.E.2(1)(b)(i) when the deceased ceased to be an active member, a person whose natural or adoptive parent is the deceased’s surviving nominated partner,
(e) a brother or sister, or a child of a brother or sister, of the member or the member’s spouse or civil partner or nominated partner,
(f) a half-brother or half-sister, or a child of a half-brother or half-sister, of the member or the member’s spouse or civil partner or nominated partner,
(g) a person whom, in the opinion of the Scheme administrator, the deceased intended when the deceased ceased to be an active member to adopt, or
(h) a person who had been dependent on the deceased for 2 years or (if less) half the person’s life when the deceased ceased to be an active member.
(1) This regulation applies for determining the annual amount of the pension payable under regulation 3.E.8(1) if at the date of death the deceased was an active member of the Scheme who was not also a pensioner member.
(2) Subject to paragraphs (6) and (7), that amount is the appropriate fraction of the basic death pension.
(3) In this regulation “the basic death pension” means twice the appropriate proportion of the deceased member’s pension under 3.D.1 inclusive of any increase due to such enhancement period, if any, as would have applied for the purposes of regulation 3.D.7(5) if the deceased had become entitled to a tier 2 ill-health pension on the date of death.
(4) In this regulation “the appropriate fraction” means—
(a) if there is a surviving parent of the dependent child or children or a surviving spouse or civil partner of a parent of the dependent child or children and a surviving adult dependant’s pension is payable under regulation 3.E.1—
(i) one-quarter if there is only one dependent child, and
(ii) one-half if there are two or more dependent children,
(b) if there is a such a parent or spouse or partner of a parent, but no surviving adult dependant’s pension is payable under regulation 3.E.1—
(i) one-third if there is only one dependent child, and
(ii) two-thirds if there are two or more dependent children,
(c) if there is no such parent nor spouse nor partner of such a parent—
(i) one-third if there is only one dependent child, and
(ii) two-thirds if there are two or more dependent children.
(5) If—
(a) a surviving adult dependant’s pension is payable under regulation 3.E.1, and
(b) there is a dependent child who is not dependent on the person entitled to that pension,
the rate of the pension payable in respect of that child for the first 3 months after the deceased’s death is equal to the average rate of the member’s pensionable earnings during the last complete quarter before he died.
(6) In a case within paragraph (4)(b) or (c), the rate of the pension in respect of the dependant child or children for the period of 6 months beginning with the deceased’s death is equal to the rate of the member’s pension at the date of death (disregarding any reduction made under Chapter H (abatement) and any additional pension).
(1) This regulation applies for determining the annual amount of the pension payable under regulation 3.E.8(1) if at the date of death the deceased was a pensioner member of the Scheme who was not also an active member.
(2) Subject to paragraphs (5), (6) and (7), that amount is the appropriate fraction of the basic death pension.
(3) In this regulation “the basic death pension” means the greater of—
(a) twice the appropriate proportion of the deceased’s annual pension (disregarding any additional pension), and
(b) twice the appropriate proportion of the annual pension to which the deceased would have been entitled if the deceased had been entitled to count 10 years’ pensionable service (disregarding any additional pension).
(4) In this regulation “the appropriate fraction” means—
(a) if there is a surviving parent of the dependent child or children or a surviving spouse or civil partner of a parent of the dependent child or children and a surviving adult dependant’s pension is payable under regulation 3.E.1—
(i) one-quarter if there is only one dependent child, and
(ii) one-half if there are two or more dependent children,
(b) if there is such a parent or spouse or partner of a parent, but no surviving adult dependant’s pension is payable under regulation 3.E.1—
(i) one-third if there is only one dependent child, and
(ii) two-thirds if there are two or more dependent children,
(c) if there is no such parent or spouse or partner of a parent—
(i) one-third if there is only one dependent child, and
(ii) two-thirds if there are two or more dependent children.
(5) If—
(a) a surviving adult dependant’s pension is payable under regulation 3.E.1, and
(b) there is a dependent child who is not dependent on the person entitled to that pension,
the rate of the pension in respect of that child for the first 3 months after the deceased’s death is equal to the rate of the member’s pension at the date of death (disregarding any additional pension).
(6) In a case within paragraph (4)(b) or (c), the rate of the pension in respect of the dependent child or children for the period of 6 months beginning with the deceased’s death is equal to the rate of the member’s pension at the date of death (disregarding any reduction made under Chapter 3.H (abatement) and any additional pension).
(7) If the deceased member’s pension was payable under regulation 3.D.4 (early payment of pensions with actuarial reduction), the reference in paragraph (3)(a) and (b) to the member’s pension is a reference to the amount that the member’s pension would have been if it had been calculated without the reduction mentioned in paragraph (2)(b) of that regulation.
(8) For the purposes of paragraphs (3), (5) and (6), any reduction to the member’s pension under regulation 3.D.10 (general option to exchange part of pension for lump sum) will be ignored, except any reduction for the purposes of paragraph (3) where the benefits under this regulation form part of benefits payable under regulation 3.E.15.
(1) This regulation applies for determining the annual amount of the pension payable under regulation 3.E.8(1) (surviving children’s pensions) if at the date of death the deceased was a deferred member of the Scheme who was not also an active member or a pensioner member.
(2) That amount is the appropriate fraction of the basic death pension.
(3) In this regulation “the basic death pension”—
(a) if the deceased died within 12 months after ceasing to be an active member, means the amount that would be the basic death pension for the purposes of regulation 3.E.10 if the deceased had died on the day of so ceasing (disregarding any additional pension), and
(b) otherwise, means the greater of—
(i) twice the appropriate proportion of the pension to which the deceased would have been entitled if the deceased had become entitled to a pension under 3.D.1 on the date of death (disregarding any additional pension), and
(ii) twice the appropriate proportion of the pension to which the deceased would have been entitled if the deceased had become so entitled and the pension had been calculated on the assumption that the member was entitled to 10 years’ pensionable service (disregarding any additional pension).
(4) In this regulation “the appropriate fraction” means—
(a) if there is a surviving parent of the dependent child or children or a surviving spouse or civil partner of a parent of the dependent child or children and a surviving adult’s pension is payable—
(i) one-quarter if there is only one dependent child, and
(ii) one-half if there are two or more dependent children,
(b) otherwise—
(i) one-third if there is only one dependent child, and
(ii) two-thirds if there are two or more dependent children.
(1) This regulation applies for determining the annual amount of the pension payable under regulation 3.E.8(1) if at the date of death the deceased was a recent leaver.
(2) That amount is the appropriate fraction of the basic death pension.
(3) In this regulation—
(a) “the basic death pension” means twice the appropriate proportion of the pension to which the deceased would have been entitled if the deceased had become entitled to a pension under regulation 3.D.1 on the date of death and the pension had been calculated on the assumption that the member was entitled to 10 years’ pensionable service (disregarding any additional pension), and
(b) “the appropriate fraction” means—
(i) if there is a surviving parent of the dependant child or children or a surviving spouse or civil partner of a parent of the dependent child or children and a surviving adult’s pension is payable—
(aa) one-quarter if there is only one dependent child, and
(bb) one-half if there are two or more dependent children,
(ii) otherwise—
(aa) one-third if there is only one dependent child, and
(bb) two-thirds if there are two or more dependent children.
(1) This regulation applies if—
(a) a member dies leaving a dependent child or children,
(b) there is a surviving parent of the dependent child or children or a surviving spouse or civil partner of a parent of the dependent child or children, and
(c) the dependent child or children are not being maintained by that surviving parent, spouse or partner.
(2) The Secretary of State may increase the amount of the pension that would otherwise be payable under this Chapter in respect of the dependent child or children.
(3) The increased amount may not exceed the amount that would have been payable under this Chapter if there had been no such surviving parent or spouse or partner of a parent.
(1) This regulation applies for determining the annual amount of a pension payable under regulation 3.E.8(1) if at the date of death the deceased was an active member who was also a pensioner member of the Scheme.
(2) If there is no surviving adult dependant, the rate of the pension in respect of the dependent child or children for the period of 6 months beginning with the deceased’s death is equal to the sum of—
(a) the average rate of the member’s pensionable earnings during the last complete quarter before he died, and
(b) the rate of the pension being received by the deceased at the date of death (after taking account of any abatement under Chapter 3.H).
(3) Subject to paragraph (5), except where a pension is payable at the rate mentioned in paragraph (2), the pension in respect of the member’s later service shall be paid as the appropriate fraction of twice the appropriate proportion of the rate of pension described in—
(a) regulation 3.D.7(5) of this Part if the deceased has not reached the age of 65 on the date of death, or
(b) regulation 3.D.1 of this Part if the deceased has reached the age of 65 on the date of death.
(4) In this regulation “appropriate fraction” has the meaning given in regulation 3.E.10(4).
(5) If any dependent child was a dependent child both at the time when the pensionable service in respect of which the pension is payable ceased and at the date of death, the annual amount of the pension in respect of the dependent child or children is the sum of—
(a) the annual amount that would be payable in respect of the child under regulation 3.E.10 as a result of the member dying whilst an active member if that regulation applied to members who are also pensioner members (disregarding the pensionable service in respect of which the pension is payable (“the pension service”) and any additional pension), and
(b) the annual amount that would be payable in respect of the child under regulation 3.E.11 as a result of the member dying whilst a pensioner member if that regulation applied to members who are also active members (having regard only to the pension service and disregarding any additional pension).
(6) If, apart from this paragraph, the sum of—
(a) the relevant service (as defined in regulation 3.E.10(4)) for the purposes of the calculation of the annual amount referred to in paragraph (5)(a), and
(b) the pension service,
would be less than 10 years’ pensionable service, the deceased’s relevant service for the purposes of that calculation is increased by the length of the shortfall.
(1) If a member or a recent leaver dies before reaching the age of 75, a lump sum is payable in accordance with this Chapter.
(2) Paragraph (1) is subject to the following provisions of this Chapter.
(3) This regulation does not apply if—
(a) the member is—
(i) a pensioner member, or
(ii) a pension credit member who dies after any benefits attributable to the pension credit have become payable, and
(b) the death takes place more than 5 years after the member’s pension becomes payable.
(1) The lump sum payable on the death of an active member, who is not also a deferred member or a pensioner member, is an amount equal to twice the annual average of the member’s uprated earnings at the date of death.
(2) The lump sum payable on the death of a pensioner member, who is not also an active member or a deferred member, is, in respect of each pension to which the member is entitled, the lesser of—
(a) an amount equal to five times the annual rate of the pension (other than any additional pension), less the amount of the pension payments already made to the member, and
(b) an amount equal to twice the annual average of the member’s uprated earnings at the date of death, less any lump sum paid to the member when the pension came into payment as a result of the member exercising the option under regulation 3.D.10 (general option to exchange part of pension for lump sum).
(3) The lump sum payable on the death of a deferred member, who is not an active member or a pensioner member, is an amount equal to the member’s deferred annual pension, multiplied by 2.25.
(4) The lump sum payable on the death of a recent leaver is an amount equal to the deferred annual pension to which the person would have been entitled if the person were entitled to such a pension calculated by reference to the pensionable service the recent leaver was entitled to count in the service that has ceased, multiplied by 2.25.
(5) References in this regulation to a member’s deferred annual pension are to the annual pension, in respect of any period of pensionable service, to which the member would have been entitled under regulation 3.D.1 (normal retirement pensions) if on the date of death the member had become entitled to such a pension (other than any additional pension).
(6) If a pensioner member exercised the option under regulation 3.D.10 (general option to exchange part of pension for lump sum), the reference in paragraph (2)(a) to the annual rate of the member’s pension is to the pension payable after the exercise of that option.
(7) If a pensioner member exercised the option under regulation 3.D.14 (election to allocate pension), the reference in paragraph (2)(a) to the amount of the pension payments already made to the member is a reference to the amount of the pension payments that would have been made apart from the election.
(8) For the purposes of this regulation, the fact that a person—
(a) is an active member in service in an employment in respect of which the member has exercised the option under regulation 3.D.5 (partial retirement),
(b) is a deferred member as a result of service in an employment in respect of which the member has exercised that option, or
(c) is a pensioner member by virtue of being entitled to a pension under that regulation,
is ignored.
(1) Paragraph (2) applies for determining the lump sum payable by virtue of this regulation on the death of a member who—
(a) is an active member otherwise than in service in an employment in respect of which the member has exercised the option under regulation 3.D.5 (partial retirement: members aged at least 55), and
(b) is also a pensioner member.
(2) The lump sum is an amount equal to the sum of—
(a) five times the annual rate of the pension—
(i) payable under regulation 3.D.7(5) (tier 2 ill-health pension), if the deceased had not reached the age of 65 on the date of death,
(ii) payable under regulation 3.D.1 (normal retirement pensions), if the deceased had reached the age of 65 on the date of death,
to which the member would have been entitled on the date of death, and
(b) in respect of each pension to which the person has been entitled for less than 5 years, the lesser of—
(i) five times the annual rate of the pension payable after exercising any option under regulation 3.D.10 (general option to exchange part of pension for lump sum), less the amount of the pension payments already made to the member, and
(ii) an amount equal to twice the annual average of the member’s uprated earnings at the date of death by reference to which the pension was calculated, less any lump sum paid to the member when the pension came into payment as a result of the member exercising the option under regulation 3.D.10 (general option to exchange part of pension for lump sum).
(3) If the pensioner member exercised the option under regulation 3.D.14, the reference in paragraph (2)(b) to the amount of the pension payments already made to the member is a reference to the amount of the pension payments that would have been made apart from the election.
The National Health Service Pension Scheme Regulations 2008