The Teachers’ Pension Scheme Regulations 2014

PART 7 Payment of benefits to transition members

CHAPTER 1 General

Reaching normal pension age

30.—(1) If a transition member (P) who applies for payment of retirement benefits under both schemes has reached normal pension age under the existing scheme but has not reached normal pension age under this scheme, the benefits payable under this scheme are to be actuarially reduced.

(2) If P has reached normal pension age neither under the existing scheme nor under this scheme, the benefits payable under both schemes are to be actuarially reduced.

(3) If P has reached normal pension age—

(a) under the existing scheme only, the benefits payable under that scheme are to be actuarially enhanced under the existing scheme rules (if applicable); or

(b) under both schemes, the benefits payable under both schemes are to be actuarially enhanced (if applicable).

Application of existing scheme rules

31.—(1) The existing scheme rules apply in relation to the calculation of benefits payable in respect of pensionable service under the existing scheme, save that an application for payment of benefits must be made under regulation 162 of these Regulations and not under TPR 2010.

(2) The existing scheme rules apply in relation to the payment of additional pension with a retirement pension under the existing scheme, save that an application for payment of benefits must be made under regulation 162 of these Regulations and not under TPR 2010.

(3) The existing scheme rules apply in relation to an election made by a person (P) for contributions to be paid monthly under paragraph 2(1) (election to pay contributions for additional pension) of Schedule 4 to TPR 2010 if the election is made before—

(a) the date P ceases to be in pensionable service under the existing scheme, if P is a full protection member; or

(b) the transition date.

Determination of final salary

32.—(1) For the purpose of calculating benefits payable under the existing scheme to or in respect of a transition member with continuity of service, the member’s final salary is determined by reference to Part 5 of TPR 2010.

(2) Where a salary restriction under regulation 39 of TPR 2010 applies in respect of the benefits payable to a transition member, no repayment of contributions is payable under regulation 26 of TPR 2010.

Annual rate of pension

33.  Save where provided otherwise in paragraph 46 (application for supplementary death grant), the annual rate of pension payable to a transition member is found by adding—

(a) the annual rate of pension payable under the existing scheme; and

(b) the annual rate of pension payable under this scheme.

CHAPTER 2 Application for payment of benefits

Application for payment of age retirement pension

34.—(1) An application by a transition member (P) for payment of an age retirement pension under this scheme is also an application for payment of an age retirement pension in respect of P’s pensionable service under the existing scheme.

(2) A transition member (P) who has not reached normal pension age under this scheme may apply under regulation 162 of these Regulations for payment of age retirement benefits in respect of P’s pensionable service under the existing scheme without applying for payment of P’s retirement benefits in respect of pensionable service under this scheme.

Application for payment of phased retirement pension

35.—(1) A transition member (P) who makes a phased retirement application under this scheme may elect to receive phased retirement benefits—

(a) in respect of pensionable service under the existing scheme only;

(b) in respect of pensionable service under this scheme only; or

(c) in respect of pensionable service under both the existing scheme and this scheme .

(2) P’s application for phased retirement benefits in respect of pensionable service under both the existing scheme and this scheme may specify a different phased retirement proportion for each scheme.

Application for payment of premature retirement pension

36.  A transition member (P) who applies for payment of a premature retirement pension under this scheme will receive any benefits due to P in respect of P’s pensionable service in the existing scheme as part of P’s premature retirement pension payable under this scheme.

Application for payment of early retirement pension

37.  A transition member (P) who applies for payment of an early retirement pension under this scheme will receive any benefits due to P in respect of P’s pensionable service in the existing scheme as part of P’s early retirement pension payable under this scheme.

Application for payment of ill-health pension

38.—(1) A transition member (P) will receive any benefits payable under this scheme as part of P’s ill-health pension payable under the existing scheme if—

(a) P applies before P’s transition date for payment of an ill-health pension, and

(b) P’s application is successfully determined after that date.

(2) P will receive under this scheme any benefits due to P in respect of P’s pensionable service in the existing scheme if P makes a successful application for payment of an ill-health pension under this scheme.

Entitlement to payment of total incapacity pension

39.—(1) Save as provided in sub-paragraph (2), a transition member (P) is not entitled to payment of total incapacity benefits under regulation 65 of TPR 2010.

(2) P may receive payment of total incapacity benefits under the existing scheme regulations if—

(a) before P’s transition date, P makes an application under regulation 65 of TPR 2010 which is not determined by the transition date;

(b) P’s application is successfully determined after the transition date; and

(c) P has not made a subsequent application under regulation 162 of these regulations for payment of total incapacity benefits.

Entitlement to payment of a short-service serious ill-health grant

40.—(1) Save as provided in this paragraph, a transition member (P) is not entitled to payment of a short-service serious ill-health grant under regulation 79 of TPR 2010.

(2) P may receive payment of a short-service serious ill-health grant under the existing scheme regulations if—

(a) before P’s transition date, P makes an application under regulation 79 of TPR 2010 which is not determined by the transition date;

(b) P’s application is successfully determined after the transition date; and

(c) P has not made a subsequent application under regulation 162 of these regulations for payment of a short-service serious ill-health grant.

(3) The amount of the payment of a short-service ill-health grant payable under sub-paragraph (2) is calculated under regulation 122 of these Regulations.

Application for payment of a surviving adult pension

41.—(1) When the surviving adult of a transition member applies for payment of a surviving adult pension under this scheme, the surviving adult must also apply for payment of an adult pension under the existing scheme.

(2) The short-term rate of surviving adult pension—

(a) is payable under this scheme; but

(b) is not payable under regulation 95 of the existing scheme.

(3) The enhancement of a surviving adult pension—

(a) is applied under regulation 145 of these Regulations; but

(b) is not applied under Schedule 9 to the existing scheme.

Application for payment of an additional (surviving adult) pension

42.  When the surviving adult of a transition member applies for payment of an additional (surviving adult) pension under this scheme, the surviving adult must also apply for payment of an additional pension under the existing scheme.

Application for payment of a child pension

43.—(1) When the eligible child of a transition member applies for payment of a child pension under this scheme, the eligible child must also apply for payment of a child pension under the existing scheme.

(2) The short-term rate of child pension—

(a) is payable under this scheme; but

(b) is not payable under regulation 98 of the existing scheme.

(3) The enhancement of a child pension—

(a) is applied under regulation 152 of these Regulations; but

(b) is not applied under Schedule 9 to the existing scheme.

Application for payment of a death in service grant

44.—(1) The beneficiary of a transition member (D) is not entitled to a death in service grant under regulation 83 or 84 of the existing scheme.

(2) The amount of the death in service grant paid under this scheme must be reduced by the amount of any retirement lump sum paid under regulation 60 of the existing scheme in respect of D’s pensionable service under that scheme.

Application for payment of a death out of service grant

45.—(1) When the beneficiary of a transition member applies for payment of a death out of service grant under this scheme, the beneficiary must also apply for payment of a death out of service grant under the existing scheme.

(2) The amount of the death out of service grant paid under this scheme must be reduced by the amount of any retirement lump sum paid under regulation 60 of the existing scheme in respect of D’s pensionable service under that scheme.

Application for supplementary death grant

46.—(1) An application for a supplementary death grant by the beneficiary of a transition member is an application for a supplementary death grant under this scheme and under the existing scheme.

(2) Paragraph 33 (annual rate of pension) does not apply in respect of an application under this paragraph.

Application for payment of benefits for pension credit members

47.—(1) A transition member (P) who has not reached normal pension age under the existing scheme when P applies for payment of a pension credit retirement pension under this scheme will receive payment of any benefits payable to P in respect of pensionable service under the existing scheme.

(2) If P applies for payment of a pension credit retirement pension after having reached normal pension age under the existing scheme, P may apply for payment from this scheme of a pension credit retirement pension in respect of pensionable service under—

(a) the existing scheme;

(b) this scheme; or

(c) the existing scheme and this scheme.