Captured statutory text (L5)
3
(1)For members with cash balance benefits, trustees or managers of the pension scheme must provide the following value data—
(a)for active members—
(i)an accrued fund value calculated in accordance with the scheme’s rules, valued to the illustration date and without regard to possible increases in earnings;
(ii)a projected fund value calculated in accordance with the scheme’s rules and without regard to possible increases in earnings, that would be payable from the date benefits are payable if pensionable service were to end on the member reaching their retirement date;
(b)for deferred members, an accrued fund value which is calculated in accordance with the scheme’s rules and valued to the illustration date.
(2)For members with cash balance benefits, trustees or managers of the pension scheme must also provide the following value data from 1st October 2023—
(a)for active members—
(i)an annualised accrued value based on the accrued fund value referred to in sub-paragraph (1)(a)(i), and prepared using the methodology set out in the relevant guidance, less the elements regarding future contributions and growth, and calculated as if the individual has reached their retirement date on the illustration date;
(ii)an annualised projected value based on the projected fund value referred to in sub-paragraph (1)(a)(ii), and calculated in accordance with the relevant guidance, less the elements regarding future contributions and growth;
(b)for deferred members, an annualised accrued value based on the scheme’s rules and calculated as if the individual has reached their retirement date on the illustration date.
(3)The value data referred to in paragraph (2)—
(a)may be provided on a voluntary basis before 1st October 2023, using the version of the relevant guidance available prior to 1st October 2023;
(b)need not be provided if the cash balance benefit was set up in a way that was designed to provide a lump sum on retirement.
Full captured verbatim text
(1) For members with cash balance benefits, trustees or managers of the pension scheme must provide the following value data— (a) for active members— (i) an accrued fund value calculated in accordance with the scheme’s rules, valued to the illustration date and without regard to possible increases in earnings; (ii) a projected fund value calculated in accordance with the scheme’s rules and without regard to possible increases in earnings, that would be payable from the date benefits are payable if pensionable service were to end on the member reaching their retirement date; (b) for deferred members, an accrued fund value which is calculated in accordance with the scheme’s rules and valued to the illustration date. (2) For members with cash balance benefits, trustees or managers of the pension scheme must also provide the following value data from 1st October 2023— (a) for active members— (i) an annualised accrued value based on the accrued fund value referred to in sub-paragraph (1)(a)(i), and prepared using the methodology set out in the relevant guidance, less the elements regarding future contributions and growth, and calculated as if the individual has reached their retirement date on the illustration date; (ii) an annualised projected value based on the projected fund value referred to in sub-paragraph (1)(a)(ii), and calculated in accordance with the relevant guidance, less the elements regarding future contributions and growth; (b) for deferred members, an annualised accrued value based on the scheme’s rules and calculated as if the individual has reached their retirement date on the illustration date. (3) The value data referred to in paragraph (2)— (a) may be provided on a voluntary basis before 1st October 2023, using the version of the relevant guidance available prior to 1st October 2023; (b) need not be provided if the cash balance benefit was set up in a way that was designed to provide a lump sum on retirement.