Pension Lump Sum Recycling

Yes I have read the guidance, but it is not entirely clear. I would just like to check my understanding. Recycling only relates to using the tax free lump sum? Where you receive a pension from one scheme, are still working and contributing to a second scheme. The taxable pension income will free up taxable salary to make significantly higher additional contributions to the second scheme. I don't think that this is recycling as the first lump sum is not funding the AVC. It is the "significantly higher contributions" that worry me as the guidance repeatedly says that anything over a 30% increase is an issue.

Hi,
As per the guidance at PTM133810 - When does the recycling rule apply?
Paragraph 3A Schedule 29 Finance Act 2004
The recycling rule applies in respect of all pension commencement lump sums paid on or after 6 April 2006, where those lump sums are used as part of a recycling device, regardless of when the significantly increased contributions are actually paid. The recycling rule applies when all of the following conditions are met:
the individual receives a pension commencement lump sum
because of the lump sum, the amount of contributions paid into a registered pension scheme in respect of the individual is significantly greater than it otherwise would be.
Further guidance about what is a significant increase in contributions is at PTM133830
Thank you.