12.—(1) This paragraph applies in relation to a person who is alive on the commencement date if—
(a)the person has become entitled to a terminal illness lump sum under paragraph 25E of Schedule 6 to the 2005 Order at any time in the period of one year ending with the commencement date, and
(b)the amount of the terminal illness lump sum was restricted in accordance with paragraph 26 of that Schedule (compensation cap).
(2) The terminal illness lump sum for the person is to be recalculated under Schedule 6 to the 2005 Order as if the amendments made by Part 1 of this Schedule had been in operation at the time that the person became entitled to it.
(3) For the purposes of that recalculation, paragraph 26A(7) of Schedule 6 to the 2005 Order (inserted by Part 1) has effect as if—
(a)the references to an order made by the Department were references to the relevant old order, and
(b)the reference to actuarial adjustment factors were a reference to the relevant old actuarial adjustment factors.
(4) In sub-paragraph (3)—
“the relevant old order” means the order in operation under paragraph 26(7) of Schedule 6 to the 2005 Order (as originally enacted) at the time when the person became entitled to the terminal illness lump sum;
“the relevant old actuarial adjustment factors” means the actuarial adjustment factors published by the Board under paragraph 26(7) of Schedule 6 to the 2005 Order (as originally enacted) at the time when the person became entitled to the terminal illness lump sum.