PART 6Retirement benefits
CHAPTER 5Payment options
Option to buy out early payment reduction74
1
This regulation applies if—
a
a member of this scheme becomes entitled under Chapter 2 or 3 to the immediate payment of a full retirement pension or a partial retirement pension; and
b
the member has not reached—
i
normal pension age under this scheme; or
ii
if applicable, the member's effective pension age.
2
The member may opt under this regulation to buy out the early payment reduction that would otherwise apply to the calculation of the annual rate of retirement pension.
3
The cost must be met by way of a special payment to this scheme made by—
a
the member;
b
the member's employer; or
c
both the member and the employer.
4
Any special payment by the employer must be made with the consent of the scheme manager.
5
The cost of buying out the early payment reduction is an amount determined by the scheme manager after consulting the scheme actuary.