PART 3

The past service scheme

Pensions for scheme members

Service after retirement: effect on pension and lump sum payment
21
1
This section applies where a member of the past service scheme—
a
has retired and is receiving a pension under the scheme, but
b
has not reached the age which is five years above whatever the retiring age for the time being is, and
c
performs pensionable service after retirement.
2
The Board may suspend or reduce the member’s pension under the scheme.
3
Where the pension of a member who retired after performing pensionable service to which the scheme applies for less than 37 years is suspended or reduced under subsection (2), the member is, on his or her subsequent retirement, to be paid—
a
a pension at the rate that the Board determines, and
b
if the rate so determined is greater than that at which the pension was being paid before the suspension or reduction, an additional lump sum payment of the amount provided for in subsection (5).
4
The rate determined by the Board under subsection (3) must be at least the rate at which the pension was being paid before the suspension or reduction; and the Board must, in determining the rate, have regard to the period of pensionable service performed after retirement.
5
The amount of the additional lump sum payment under subsection (3) is the amount which bears the same proportion to three times the full basic pension (within the meaning of Schedule 2) as the length of the period of pensionable service performed after retirement bears to 37 years of whole-time service.
6
The rate of a member’s pension under the past service scheme is not to be increased as a result of the member’s performance of pensionable service after retirement unless the pension has been suspended or reduced under this section.