SCHEDULE 1
Article 2
Amendments to the 2015 scheme
1. In Part 1 (preliminary) in regulation 3 (interpretation)-
(a) in the appropriate places insert-
""adjusted lower tier ill-health pension" has the meaning given in regulation 66(4) (annual rate of ill-health awards);"
"connected member of the NFPS" has the meaning given in rule 1C of Part 2 of the NFPS;
"connected special member of the NFPS" has the meaning given in rule 1D of Part 2 of the NFPS;
"continued pension" means-
(a) in relation to a member of the NFPS, the entitlement to a pension under rule 1B of Part 3 of the NFPS,
(b) in relation to a member of the 1992 Scheme, the entitlement to a pension under rule B2A of the 1992 Scheme;
"equivalent amount to the NFPS lower tier ill-health pension" has the meaning given in regulation 65(5) (entitlement to lower tier ill-health pension and to higher tier ill-health pension);
"initial period" has the meaning given in regulation 77 (meaning of "initial period");
"pensionable service in the 2015 scheme" means any continuous pensionable service in relation to the active member's account in this scheme to which pensionable service in the 1992 Scheme was added for the purposes of regulation 57 (qualifying service) of these regulations for the period whilst paragraph (7) of rule A3 of the 1992 Scheme continues to apply to that person.";";
(b) in the definition of "retirement pension" after paragraph (b) insert-
"(c) an ill-health award and the payment of any equivalent amount to the 1992 Scheme lower tier ill-health pension (if any) and the payment of any equivalent amount to the NFPS lower tier ill-health pension (if any).".
2. In Part 2 (governance) at the end of paragraph (2) of regulation 4 (scheme manager) insert "in relation to each of the member's pension accounts".
3. In Part 3 (scheme membership) in Chapter 1 (eligibility for active membership) in regulation 6 (scheme employment) for paragraph (3) substitute-
"(3) A person who is a member of the 1992 Scheme or of the NFPS satisfies the requirement in this paragraph."
4. In Part 4 (pension accounts) in Chapter 8 (retirement account) in regulation 51 (account to specify amount of retirement pension (active members))-
(a) after paragraph (3), insert-
"(3A) Where the active member is entitled to an equivalent amount to the 1992 Scheme lower tier ill-health pension or to an equivalent amount to the NFPS lower tier ill-health pension, the retirement account must specify that amount.".
(b) after paragraph (4), insert-
"(4A) For an equivalent amount to the 1992 Scheme lower tier ill-health pension or an equivalent amount to the NFPS lower tier ill-health pension, the retirement account must specify any commutation amount.".
5. In Part 5 (retirement benefits) in Chapter 2-
(a) in regulation 59 (annual rate of retirement pension (active members)), after paragraph (2)(b), insert-
"(ba) the sum of-
(i) the equivalent amount to the NFPS lower tier ill-health pension (if any) or the equivalent amount to the 1992 Scheme lower tier ill-health pension (if any) specified in the member's retirement account,
(ii) subtracting the commutation amount (if any) specified in that account in relation to that amount; and";
(b) in regulation 62 (employer initiated retirement) after paragraph (2) insert-
"(3) Where an employer is considering making the determination in paragraph (2) in respect of an active member who is a connected member of the NFPS, or a connected special member of the NFPS, in relation to that active member's pension account, the employer must also consider making a determination under rule 6 (pension on authority initiated early retirement) of Part 3 of the NFPS.";
(c) in regulation 65 (entitlement to lower tier ill-health pension and to higher tier ill-health pension), after paragraph (3) insert-
"(4) Where an active member (A) is entitled to a lower tier ill-health pension and paragraph 22 (transition member who has not reached normal pension age under the NFPS) or paragraph 24 (transition member who has not reached normal pension age under the 1992 Scheme) of Schedule 2 to these Regulations applies in relation to A-
(a) if paragraph 22 applies in relation to A, A is also entitled to an amount equivalent to the annual amount of a lower tier ill-health pension that would, if the member were entitled to payment of a lower tier ill-health pension under rule 2(2) of the NFPS, be payable to the member under the NFPS;
(5) In these Regulations-
(a) the amount equivalent to the annual amount of a lower tier ill-health pension in sub-paragraph (a) of paragraph (4) is referred to as the "equivalent amount to the NFPS lower tier ill-health pension";
(b) the amount equivalent to the annual amount of a lower tier ill-health pension in sub-paragraph (b) of paragraph (4) is referred to as the "equivalent amount to the 1992 Scheme lower tier ill-health pension".";
(d) in regulation 66 (annual rate of ill-health awards)-
(i) after paragraph (3) insert-
"(3A) In the case of a member who is entitled to an equivalent amount to the NFPS lower tier ill-health pension or to an equivalent amount to the 1992 Scheme lower tier ill-health pension, the adjusted lower tier ill-health pension includes the adjusted equivalent amount.";
(ii) after the definition of "the adjusted lower tier ill-health pension" insert-
""the adjusted equivalent amount" means-
(a) in the case of a member who is entitled to an equivalent amount to the NFPS lower tier ill-health pension, that amount calculated-
(i) excluding from the calculation the amount of any additional period of service purchased under Part 11 of the NFPS, and
(ii) without the deduction of any commuted portion;
(b) in the case of a member who is entitled to the equivalent amount to the 1992 Scheme lower tier ill-health pension, that amount calculated without the deduction of any commuted portion.";
(e) in regulation 69 (consequences of review) after paragraph (6) insert-
"(6A) Where L is entitled to an equivalent amount to the NFPS lower tier ill-health pension or to an equivalent amount to the 1992 Scheme lower tier ill-health pension, paragraphs (3) and (5) apply as if the reference to "lower tier ill-health pension" included an equivalent amount to the NFPS lower tier ill-health pension or an equivalent amount to the 1992 Scheme lower tier ill-health pension, as the case may be.";
(f) after regulation 71 (option to commute part of pension), insert-
"Option to commute part of an equivalent amount
71A.
-(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 1992 Scheme 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 1992 Scheme 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 rule, 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 rule 9 (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 rule 9 of Part 3 of that Scheme.".
6. In Part 6 (death benefits)-
(a) in Chapter 1 (interpretation) in regulation 77 (meaning of "initial period") for...
