(This archived guidance relates to HMRC discretionary
practice before the 6th April 2006. For current guidance on
Registered Pension Schemes see the Registered Pension Schemes
Manual)
Where a scheme pension reduces when the State pension becomes
payable, so that the pensioner’s income remains constant
throughout retirement (see
PSI6.1.16), a slightly
different triviality test is needed. In such cases triviality
commutation can be permitted only if the equivalent aggregate level
pension would not exceed £260 per annum.
