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PART 8Amendments to the Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) (No.2) Order 2010

Amendment of the Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) (No.2) Order 2010

35.  The Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) (No.2) Order 2010(1) (“AF(RRGES) (No.2) Order”) is amended according to the provisions in this Part.

Amendment of article 2 (interpretation) of the AF(RRGES) (No.2) Order

36.  Article 2 (interpretation) of the AF(RRGES)(No.2) Order is amended by inserting in the appropriate place—

(a)““AFPS 2015” means the scheme established by the Armed Forces Pension Regulations 2014(2);”;

(b)“transition member” means a person—

(a)who is a member of the AFPS 1975 by virtue of their pensionable service under the AFPS 1975 before 1st April 2015; and

(b)who is also a member of the AFPS 2015 by virtue of their pensionable service on and after 1st April 2015;.

Amendment of article 27 (interpretation of Part 4) of the AF(RRGES) (No.2) Order

37.  Article 27(2) of the AF(RRGES) (No.2) Order is amended by substituting—

“ill-health pension” means—

(a)

service invaliding retired pay or pension under the AFPS 1975,

(b)

an ill-health pension under regulation 51 of the Armed Forces Pension Regulations 2014, or

(c)

an ill-health pension under regulation 52 of the Armed Forces Pension Regulations 2014..

for—

“ill-health pension” means service invaliding retired pay or pension under the AFPS 1975;.

Amendment of article 30 (factors affecting the amount of commutable pension) of the AF(RRGES) (No.2) Order

38.  Article 30 of the AF(RRGES) (No.2) Order is amended by inserting—

(a)after “a person” in sub-paragraph (1) “,not including a transition member,”,

(b)after sub-paragraph (1)—

(1A) Subject to article 32, the maximum lump sum which can be commuted by a transition member is calculated by application of the following formula—

where—

  • A in the case of an officer is the 34 year rate and in the case of someone who is not an officer is the 37 year rate;

  • B is the aggregate lump sum from reckonable and pensionable service in AFPS 1975 and AFPS 2015;

  • C is the number of years of AFPS 1975 service; and

  • D is the total number of years of reckonable and pensionable service in AFPS 1975 and AFPS 2015..

Amendment of article 32 (misconduct) of the AF(RRGES) (No.2) Order

39.  Article 32 of the AF(RRGES) (No.2) Order is amended by—

(a)numbering the existing text as paragraph (1),

(b)after “the 37 year rate.” inserting—

(2) For a transition member the figure denoted by A in article 30(1A) is replaced by the appropriate amount from paragraph (1)..

Amendment of article 35 (entitlement to resettlement grants) of the AF(RRGES) (No.2) Order

40.  Article 35 of the AF(RRGES) (No.2) Order is amended by—

(a)substituting for the existing paragraph (1)—

(1) A person who ceases to be in service as a member of the armed forces is entitled to a lump sum payment if the person—

(a)was, immediately before ceasing service, an active member of the AFPS 1975 or has opted-out;

(b)has the relevant years of service;

(c)is not entitled to the immediate payment of a pension under the AFPS 1975;

(d)is not entitled to the immediate payment of a pension under the AFPS 2015;

(e)is not entitled to an early departure payment under regulations 8 and 9 of the EDP 2015; and

(f)either—

(i)has not previously received a payment under the AFRGS 2010; or

(ii)has made a repayment in respect of a payment previously received in sub-paragraph (i).

(b)substituting in paragraph (2)—

“relevant years of service”

for—

“relevant years of reckonable service”.

(c)inserting after paragraph (5)—

(6) Transition members are not entitled to a lump sum payment under regulation 16 of the EDP 2015..