SCHEDULES

SCHEDULE 5Pension compensation payable on discharge of pension compensation credit

Part 2Transferee attains pension compensation age before or on transfer day

4Compensation payable to transferee

1

Compensation is payable in accordance with this paragraph where the transferee attains pension compensation age before or on the transfer day.

2

The transferee is entitled to periodic compensation commencing on the transfer day and continuing for life.

3

The annual rate of the periodic compensation is the aggregate of—

a

the initial annual rate of compensation, and

b

any increases under paragraph 17 (annual increases in periodic compensation).

4

This paragraph is subject to paragraph 18 (compensation cap).