PART ICITATION, COMMENCEMENT AND INTERPRETATION

Citation and commencement

1. These Regulations may be cited as the Police Pensions (Purchase of Increased Benefits) Regulations 1987 and shall come into force on 1st February 1988.Interpretation

2.-(1) In these Regulations-

(a)references to the principal Regulations are references to the Police Pensions Regulations 1987((3)) as amended by Part III of these Regulations;

(b)the expression-

• "retirement date" means, in relation to a regular policeman and at any particular time, the date on which he could be required to retire on account of age if he continued to serve as such without change of rank, disregarding any postponement of that date under regulation A18(2) of the principal Regulations effected after that time;

• "eligible policeman" means a person-

(a)with service as a regular policeman on or after 1st February 1988, whether or not he is still so serving;

(b)whose retirement date is, or was when he ceased so to serve, at least 9 years after the date on which he last became a regular policeman; and

(c)who was not when he ceased so to serve, or would not be on or before his retirement date, entitled to reckon 30 years' pensionable service; and

• "sixtieth" means, in relation to any person, a sixtieth (including a fraction of a sixtieth) of his average pensionable pay and "additional sixtieths" and the number thereof means, in relation to a person who has made an election under regulation 3, the number of additional sixtieths to which that election related.

(2) Subject to paragraph (1), these Regulations shall be construed as one with the principal Regulations.

PART IIPURCHASE OF INCREASED BENEFITS

Election to purchase increased benefits

3.-(1) Subject to paragraph (2), an eligible policeman may, for the purpose of reckoning an additional number of sixtieths in calculating the awards payable to, or in respect of, him under the principal Regulations, by notice in writing to the police authority elect to make payment to the authority in accordance with the following provisions of these Regulations.

(2) A policeman shall not so exercise the right of election accorded by paragraph (1) that the aggregate number of sixtieths reckonable by him exceeds or, if he continued to serve until his retirement date, would exceed 40.

(3) When the retirement date of a policeman who has exercised the right of election accorded by paragraph (1) becomes later than it was at the time of his election by reason of his subsequent promotion or the subsequent postponement of that date under regulation A18(2) of the principal Regulations, then, notwithstanding that he may derive no benefit from his election, his liability to make payment in accordance with the following provisions of these Regulations shall not be affected and he shall not be entitled to the repayment of any lump sum or contribution so paid.Lump sum payments

4.-(1) An eligible policeman who is serving as a regular policeman may, within 12 months of-

(a)the date on which he last became a regular policeman, or

(b)1st February 1988,

whichever is the later, elect under regulation 3 to make payment by a lump sum calculated in accordance with paragraph 1 or 3, as the case may require, of Part I of the Schedule.

(2) An eligible policeman who has ceased to serve as a regular policeman, but who was so serving on 1st February 1988, may within 12 months of 1st February 1988 elect under regulation 3 to make payment by a lump sum calculated in accordance with the said paragraph 1 or 3.

(3) A lump sum payment under this regulation shall be made within 3 months of the date of election and, if it is not so made, the election shall be deemed for the purposes of these Regulations never to have been made.

Payment by periodical contributions

5.-(1) An eligible policeman who is serving as a regular policeman whose retirement date falls not less than 2 years after his birthday next following 1st February 1988 may at any time-

(a)within 12 months of 1st February 1988, or

(b)not later than 2 years immediately preceding his retirement date,

elect under regulation 3 to make payment by periodical contributions calculated in accordance with paragraph 2 or 3, as the case may require, of Part I of the Schedule.

(2) Subject to the following provisions of this regulation and to regulation 7, where a policeman elects to make payment under this regulation, the periodical contributions shall be made as from the date of his birthday falling within the year beginning with the date of his election and shall continue until-

(a)his retirement date as at the time of his election, or

(b)the date on which he ceases to serve as a regular policeman,

whichever is the earlier.

(3) Where a policeman elects to make payment under this regulation within 12 months of 1st February 1988 but less than 2 years before his retirement date the election shall be deemed to have been made on a date 2 years before the said retirement date and any arrears of contributions due by virtue of this paragraph shall be paid in a lump sum within 3 months of the date on which he elects:

Provided that where such a lump sum is not so paid, the foregoing provisions of this paragraph shall not have effect.

(4) In the case of a regular policeman who has elected to make payment under this regulation and who, having retired with an ill-health pension before his retirement date, resumes service as such, the periodical contributions shall again become payable and shall continue as provided in paragraph (2).

(5) Where a policeman elects to make payment under this regulation, the periodical contributions payable by him for any period shall not, when aggregated with any other pension contributions (including additional, further and special contributions, if any) payable by him for that period, exceed 15% of his pensionable pay but, where a policeman's periodical contributions are restricted by this paragraph, he shall make a lump sum payment of an amount determined by the Government Actuary to be the actuarial equivalent of the difference between the restricted periodical contributions payable and those which would be payable but for this paragraph.

Conditions relating to the making of elections

6.-(1) An eligible policeman who is serving as a regular policeman shall not be entitled to elect under regulation 3 to make payment by periodical contributions if he has been required to retire under regulation A20 of the principal Regulations.

(2) An eligible policeman shall not, if the police authority so resolve, be entitled to elect under regulation 3 to make payment by periodical contributions unless he has undergone a medical examination and satisfied the authority as to his good health; and any fee payable in respect of that examination shall be paid by him.

Effect of election

7. Subject to regulations 4(3) and 5(3), an election made under regulation 3 shall take effect as from the date on which the police authority receive notice in writing thereof and shall be irrevocable, save that where the police authority are satisfied that the payment of periodical contributions in accordance with such an election is causing, or is likely to cause, financial hardship they may consent to the discontinuance of such contributions for such period as they think fit.

Reckoning of additional benefits

8.-(1) Where a regular policeman who has made an election under regulation 3 and paid a lump sum or commenced payment of periodical contributions in accordance with that election dies in service, retires on ill-health grounds, or retires on or after reaching his retirement date as at the time of his election, he shall be entitled to reckon all the additional benefits which he elected to purchase, save that where he had discontinued payment of periodical contributions on grounds of financial hardship under regulation 7 he shall be entitled to reckon a proportion of such benefits determined in accordance with the formula set out in sub-paragraph (a) of Part II of the Schedule.

(2) Subject to paragraph (3), where a regular policeman who has made an election under regulation 3 and paid a lump sum or commenced payment of periodical contributions in accordance with that election ceases to be a member of a police force in circumstances other than those set out in paragraph (1) and with no entitlement to an award by way of

repayment of his aggregate pension contributions other than an award under paragraph 8 of Part I of Schedule J to the principal Regulations, he shall be entitled to reckon-

(a)in the case of a lump sum payment, all the additional benefits which he elected to purchase; and

(b)in the case of payment of periodical contributions, a proportion of such benefits determined in accordance with the formula referred to in sub-paragraph (b) of Part II of the Schedule.

(3) Where a regular policeman retires with an ordinary pension before his retirement date as at the time of his election, the amount which he is entitled to reckon under sub-paragraph (a) or (b) of paragraph (2) shall be reduced by an amount determined by the appropriate actuarial valuation referred to in sub-paragraph (c) of Part II of the Schedule.

PART IIIAMENDMENT OF THE PRINCIPAL REGULATIONS

9. In regulation A10(2) of the principal Regulations, at the end there shall be inserted the following provision:-

"(g)all payments made by him to a police authority in accordance with an election under regulation 3 of the Police Pensions (Purchase of Increased Benefits) Regulations 1987.".

PART IVMODIFICATION OF THE EFFECT OF THE PRINCIPAL REGULATIONS

10. Where a regular policeman has elected under regulation 3 to purchase additional sixtieths, the principal Regulations shall have effect in his case subject to the following modifications:-

(a)if he is entitled to any pension, other than an injury pension, the amount thereof as calculated under the appropriate part of Schedule B to the principal Regulations shall be increased by the number of sixtieths which he is entitled to reckon under paragraph (1) or (2) of regulation 8;

(b)references to a regular policeman's pension, however expressed, in the following provisions of the principal Regulations, namely-

• regulation B7 (commutation-general provision);

• regulation E8 (increase of widow's pension or child's allowance during first 13 weeks);

• Schedule C, Part I (widow's ordinary pension) and Part IV (widow's pension in case of post-retirement marriage);

• Schedule D, Part I (child's ordinary allowance) and Part III (child's accrued allowance); and

• Schedule F, Part II, section 1 (payment of transfer values), paragraph 2,

shall be construed as references to that pension as increased under these Regulations;

(c)references to a pension or allowance payable in respect of a regular policeman, however expressed, in the following provisions of the principal Regulations, namely-

• regulation E4 (gratuity in lieu of widow's pension);

• regulation E8;

• Schedule C, Part I, paragraph 2 and Part III, paragraph 2 (widow's accrued pension);

• Schedule D, Part I and Part III, paragraph 3;

• Schedule E, Part III (gratuity in lieu of child's allowance); and

• Schedule F, Part II, section 1, paragraph 3,

shall be construed as references to that pension or allowance as increased by virtue of the operation of these Regulations;

(d)a widow's pension calculated under Part III of Schedule C or paragraphs 3 to 5 of Part II of Schedule J (except the pension for which she may elect under paragraph 3 of Part I or paragraph 3 of Part III of Schedule C) shall be increased by an amount equal to n/120ths of her husband's average pensionable pay (n being the number of sixtieths which he was entitled to reckon at the time of his death under paragraph (1) or (2) of regulation 8);

(e)a child's ordinary allowance under Part I of Schedule D shall be calculated as if the amounts in paragraph 2(3)(a)(i) and (ii) of Part III of Schedule J were increased by the number of sixtieths which the father was entitled to reckon at the time of his death under paragraph (1) or (2) of regulation 8; and

(f)a child's accrued allowance under Part III of Schedule D shall be calculated as if the length of the father's half rate service and pensionable service mentioned in paragraph 4 of Part III of Schedule J were increased by a period in years or fractions of a year equal to the number of sixtieths which he was entitled to reckon at the time of his death under paragraph (1) or (2) of regulation 8.

SCHEDULE

Regulations 4 and 5

PART IpaymentsLump sum payments

1.-(1) Subject to paragraph 3, where a person elects under regulation 3 to make payment by a lump sum, the amount of such lump sum shall be the product of-

(a)his number of additional sixtieths, and

(b)an amount equal to the percentage of the aggregate of his pensionable pay during the appropriate period which is specified opposite his age set out in column 2, 4 or 6 of the following Table (whichever applies in his case):Provided that for the purposes of this paragraph-

(i)where the said aggregate amount is less than the amount it would have been had he not during the said period suffered a temporary reduction in rate of pay by way of punishment, it shall be increased by the difference between the two said amounts, and

(ii)where he was entitled to pensionable pay for part only of the said period, the said aggregate amount shall be multiplied by the reciprocal of the fraction of the year for which he was entitled to pensionable pay.

(2) In this paragraph-

"the appropriate period" means the period of a year ending with the relevant date;

"his age" in relation to any person means that person's age on his birthday which falls within the year beginning with the relevant date, and

"the relevant date" means-

(a)in the case mentioned in regulation 4(1), the date of his election, or

(b)in the case mentioned in regulation 4(2), the date of his last day of service as a regular policeman.

Payment of periodical contributions

2.-(1) Subject to paragraph 3, where a person elects under regulation 3 to make payment by periodical contributions the amount of such contributions for any period shall be the product of-

(a)his number of additional sixtieths, and

(b)the percentage of his pensionable pay for that period which is specified opposite his age in column 3, 5 or 7 of the following Table (whichever applies in his case):

• Provided that for the purposes of this paragraph-

  (i)

  where for any period his pensionable pay is of an amount less than the amount it would have been had he not suffered a temporary reduction in rate of pay by way of punishment, it shall be increased by the difference between the two said amounts, and

  (ii)

  where for any period he is for any reason disentitled to pensionable pay, his pensionable pay for that period shall be deemed to be that which it would have been but for the disentitlement.

(2) In this paragraph, "his age" in relation to any person means that person's age on his birthday which falls within the year beginning with-

(a)the date of his election, or

(b)where regulation 5(3) applies, the date on which his election is deemed thereby to have been made.

Payment in other cases

3.-(1) In the case of a person specified in sub-paragraph (2)-

(a)where he elects to make payment by a lump sum, the amount of such lump sum, and

(b)where he elects to make payment by periodical contributions, the rate of such contributions,

shall be such as the Government Actuary may determine to be the actuarial equivalent of the benefit to him of his election.

(2) The persons referred to in sub-paragraph (1) are-

(a)a person in respect of whom the time at which he could be required to retire on account of age has, before the time of his election under regulation 3, been postponed under regulation A 18(2) of the principal Regulations, and

(b)a person (not being a person specified in paragraph (a)) whose retirement date as at the time of his election falls on his attaining the age of 65 years.

Regulation 8

PART IIreckoning of additional benefits

In regulation 8-

(a)the formula mentioned in paragraph (1) is-

(b)the formula mentioned in paragraph (2) is as set out in sub-paragraph (a) save that C is the period for which, if payment had been continuous to the retirement date as at the time of election, payment would have been made; and

(c)the appropriate actuarial valuation referred to in paragraph (3) is the assessment by the Government Actuary of the extent to which the value of the benefits is increased on account of being paid before the retirement date as at the time of election.

Explanatory Note

(This note is not part of the Regulations)

These Regulations, which come into force on 1st February 1988, provide that regular policemen, where eligible in accordance with regulation 2, may elect to purchase increased benefits under the Police Pensions Regulations 1987 ("the principal Regulations") up to the limit allowed by those Regulations.

• Part I of the Regulations provides for citation, commencement and interpretation.

Part II allows an eligible policeman to elect within specified time limits to make payment, either by lump sum (regulation 4) or, subject to certain conditions, by periodical contributions (regulation 5), of amounts, calculated in accordance with Part I of the Schedule to the Regulations, for the purpose of reckoning additional sixtieths of average pensionable pay in calculating benefits payable to or in respect of him under the principal Regulations; regulation 8 and Part II of the Schedule govern the reckoning of additional benefits which a policeman has elected to purchase.

Part III makes a consequential amendment of the principal Regulations and Part IV provides that references in them to various personal and dependants' benefits are to be construed, where appropriate, as including increases in those benefits under or by virtue of these Regulations.