7.5 Short service lump sum – occupational pension schemes
If a member has not completed two years’ scheme service under a defined benefit occupational scheme (30 days under a money purchase occupational scheme), then DWP rules allow that, subject to scheme rules, there should be no preserved benefit.
The options open to the member under DWP rules are:
•to qualify for a preserved benefit in respect of personal contributions;
•to qualify for a preserved benefit in respect of all contributions (unlikely in practice);