(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)
[PN12.5]
The only condition we impose on the amount of the allocated
pension is that it should not exceed the reduced pension that the
member retains; and that this limit must be in the scheme rules. To
this end, the member’s residual pension can include the
pension equivalent of any lump sum retirement benefit, whether
provided separately (see
PSI6.5.3) or by
commutation.
