Check B.4.4.1 and B.4.4.2:
B.4.4.1 Clearances for functional insulation
Unless the clearance for functional insulation complies with:
- the clearance for basic insulation as specified in 5.4.2 ; or
- for ES1 and PS1 circuits used in pollution degree 1 and pollution degree 2
environments , the clearance for basic insulation for printed wiring boards as specified in
IEC60664-1:2007 , Table F.4 ; or
- the electric strength test of 5.4.9.1 for basic insulation,
a clearance for functional insulation shall be short-circuited
For line-to-neutral/line spacing, you don't strictly have to meet the spacing for basic insulation, but you would at least need to pass the electric strength test of 5.4.9.1. So unless, you absolutely can't meet the spacing, you need to comply with the requirements for 'basic insulation'.
Clearance:Option 1: Select the row in Table 10 corresponding to 2,000V for AC mains <250Vac nominal (according to 5.4.2.2) --> 1.27mm for all pollution degrees. For operating altitudes above 2000m, multiply the clearance by the factor in Table 16. For example, for 5,000m operation, 1.48 * 1.27mm = 1.87mm
Option 2: There is an alternative approach for determining clearance per Annex X (Table X.1, X.2). It's a bit confusing to me because the numbers don't really match up (stated transient voltages, and the resulting clearance requirement). Nonetheless, according to Table 12, the transient voltage for OVC II (normal appliances/equipment) is 2,500V, a departure from the 2,000V stated in 5.4.2.2. The clearance requirement for basic insulation is 2.0mm. For 5000m operation, 1.48 x 2.0 = 2.96mm.
(Actually, 2.96mm is the exact requirement from the medical standard IEC60601-1 @ 5000m, so it must be somewhat unified.)
I guess under certain circumstances it may be advantageous to pick Option 1 vs Option 2 (and vice versa), if you are constrained on space. *shrug*
Creepage:The creepage requirement only considers the RMS working voltage (generally speaking, the max nominal nameplate voltage, e.g. 240Vac).
1. Assume Pollution Degree 2, unless your equipment is intended for outdoor usage -- Then I think it defaults to Pollution Degree 3
2. Assume PCB CTI is material group IIIa or IIIb
Creepage requirement --> 2.5mm for PD2/CTI = IIIa/IIIb
Then, under 5.4.3.1, note the line which says:
If the minimum creepage distance derived from Table 17 or Table 18 is less than the minimum clearance, then the minimum clearance shall be applied as the minimum creepage distance.
So, in this case, if we take 2.96mm as the minimum clearance, then the minimum creepage must also be 2.96mm minimum.