The formulae detailed below should be used to calculate the CETV in respect of a member's benefits in the final salary sections of the scheme.

For calculating CETVs in all cases for members below their normal pension age, the following formula should be used:

CETV = (P x F_x^P) + (LS x F_x^LS) + (S x F_x^S) - (NI x F_x^NI)

where:

P is the member's deferred pension at the relevant date

LS is the member's (automatic) deferred lump sum at the relevant date. In the NPA 65 section of the scheme, members do not accrue an automatic lump sum. For such members, LS will be zero, and the (LS x F_x^LS) term of the equation can be omitted.

S is the member's deferred survivor's pension at the relevant date

NI is the member's NI modification at the relevant date

F_x^P is the relevant pension factor for a member aged x

F_x^LS is the relevant lump sum factor for a member aged x

F_x^S is the relevant survivor's pension factor for a member aged x

F_x^NI is the relevant NI modification factor for a member aged x

The relevant factors for the final salary sections are as follows:

• Table 103 (Table 202 in Consolidated Factors Workbook): CETV factors for men, normal pension age of 60
• Table 113 (Table 203 in Consolidated Factors Workbook): CETV factors for women, normal pension age of 60
• Table 123 (Table 204 in Consolidated Factors Workbook): CETV factors for men, normal pension age of 65
• Table 133 (Table 205 and table 206 in Consolidated Factors Workbook): CETV factors for women, normal pension age of 65

The factors should be selected with reference to the member's age, sex and normal pension age.

We understand National Insurance (NI) modification adjustments are no longer needed for CETV calculations. For administrative consistency, we have retained this element in the formulae. However, all NI modification factors have been set to zero in the corresponding tables in the consolidated factor workbook.