14.—(1) The lump sum death benefit under regulation 13 shall not be such as to cause the total of that lump sum and any death benefits totalling £2,500 or more that are payable under relevant schemes to exceed the permitted amount.
(2) Relevant schemes are—
(a)approved schemes;
(b)schemes approved under Chapter IV of Part XIV of the Taxes Act;
(c)free-standing additional voluntary contributions schemes;
(d)retirement annuity contracts approved under Chapter III of Part XIV of the Taxes Act; and
(e)the scheme constituted by the Principal Regulations.
(3) The permitted amount is the greater of—
(a)£5,000; or
(b)4 times the participator’s remuneration.
(4) The participator’s remuneration is the greatest of U, V and W, where—
U is what the participator’s final remuneration would have been if the date of death had been the material date;
V is the participator’s highest year’s adjusted salary for the purpose of calculating U; and
W is the participator’s total taxable earnings during any period of 12 months ending not more than 3 years before the date of death, increased as mentioned in paragraph 4(1).