PART 5Retirement benefits
CHAPTER 5Payment of retirement benefits
F1Option to commute part of an equivalent amount79A
1
A member who becomes entitled to the immediate payment of an equivalent amount to the NFPS lower tier ill-health pension or to an equivalent amount to the FPS lower tier ill-health pension may opt under this regulation to exchange part of the pension for a lump sum.
2
The option may only be exercised—
a
by written notice to the scheme manager which sets out the amount to be commuted; and
b
before the first payment of the equivalent amount to the NFPS lower tier ill-health pension or to an equivalent amount to the FPS lower tier ill-health pension is made.
3
Where the person is entitled to the immediate payment of an equivalent amount to the NFPS lower tier ill-health pension and exercises the option to commute under this F2regulation , the lump sum is calculated—
a
in the case of a person who is a connected member of the NFPS in accordance with paragraphs (2) and (4) of article 19 (commutation: general) of Part 3 of the NFPS, and
b
in the case of a person who is a connected special member of the NFPS in accordance with paragraphs (2A), (4) and (4A) of article 19 of Part 3 of that Scheme.
F34
Where the person is entitled to the immediate payment of an equivalent amount to the FPS lower tier ill-health pension and exercises the option to commute under this regulation, the lump sum is calculated in accordance with article 18 (commutation-general provision) of the FPS.