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25.—(1) Section 174 (linked qualifying service) is amended as follows.
(2) In subsection (1)(a)—
(a)for “the rules of a scheme” substitute “Chapter 4 or 5 of Part IV or under the rules of a scheme”,
(b)for sub-paragraph (i) substitute—
“(i)there was made a transfer of his rights (including any transfer credits allowed) under that scheme, or a transfer payment in respect of those rights, to, or to the trustees or managers of, another scheme applying to him in the later period of service;”,
(c)for “and” at the end of sub-paragraph (ii), substitute “or”, and
(d)after that sub-paragraph add—
“(iii)a cash equivalent (within the meaning of Chapter 4 of Part IV) or cash transfer sum (within the meaning of Chapter 5 of that Part) was paid in respect of him to the trustees or managers of another scheme applying to him in the later period of service; and”.
(3) In subsection (1)(b), after “second scheme,” insert “or the payment to the trustees or managers of that scheme,”.
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