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"the 1965 Regulations" means the Redundancy Payments Pensions Regulations 1965;

"the 1979 Regulations" means the Local Government (Compensation for Premature Retirement) (Scotland) Regulations 1979;

"annual compensation" shall be construed in accordance with regulation 10;

"credited period", in relation to a person, means a period with which he is credited under regulation 8;

"effective service" comprises-

(a) any period of reckonable service any period of membership counting towards a person's total membership within the meaning of LGPS Regulations (including any period of reckonable service within the meaning of the 1987 Regulations) (SI1998/364) up to and including the material date; and

(b) any period of special service up to and including that date (other than special service consisting of periods of unpaid leave or other unpaid absence from duty);

"eligible person" means a person who satisfies the conditions mentioned in regulation 6(1);

"enactment" includes any instrument made under an Act;

"excepted payment", in relation to an employment of a person, means a payment received by him which is-

(a) a redundancy payment to which he is entitled under Part XI of the 1996 Act (redundancy payments), or compensation paid to him under Part II of these Regulations, in respect of the cessation of his former employment (including in either case any amount by which that payment is reduced in accordance with the 1965 Regulations); or

(b) a payment in respect of that employment made under regulations, or under provisions having effect as provisions of regulations, made under section 7 of the 1972 Act; or

(c) a payment in lieu of annual or other leave to which he was entitled in that employment; or

(d) so much of any payment in lieu of notice of termination of that employment, as does not exceed the remuneration he would have received if he had remained in that employment for a period of three months after the material date;

"former employment", in relation to a person, means the employment which ceased as described in regulation 6(1)(a);

"lump sum compensation" means such compensation as is mentioned in regulation 9;

"material date", in relation to a person, means the date upon which he ceased to hold his former employment;

"new employment" shall be construed in accordance with regulation 15(4);

"occupational pension", in relation to a person, means a pension (other than a lump sum) to which he has become entitled (whether or not payable immediately) being-

(a) a pension associated with any employment which is payable under an enactment (other than the Social Security Contributions and Benefits Act 1992 or the Superannuation Regulations the LGPS Regulations or the 1987 Regulations (SI1998/364)), contract, scheme or other arrangement, including a pension under a personal pension scheme in relation to which the Secretary of State has paid contributions under section 1 of the Social Security Act 1986 or section 43 of the Pension Schemes Act 1993; or

(b) a pension derived from the payment of a transfer value calculated by reference to pension rights (contingent or otherwise) arising under the Superannuation Regulations the LGPS Regulations or the 1987 Regulations (SI1998/364) or arising with respect to such a pension as is mentioned in paragraph (a);

"official pension" has the same meaning as in the Pensions (Increase) Act 1971;

"pensionable remuneration", in relation to a person, means the remuneration which is (or, if there has been a relevant disqualification, which, but for that disqualification and on the relevant assumptions, would be) that person's pensionable remuneration;

"the relevant assumptions" has the meaning given in regulation 7(2);

"relevant disqualification" has the meaning given in regulation 7(1);

"relevant English or Welsh employer" means a LGPS employer within the meaning of the Local Government Pension Scheme Regulations 1995 1997(SI1998/364);

"special service" has the meaning given in regulation 7(3) and (4).

    (2) For the purposes of this Part, a person is an "eligible child" of a person if-

(a) he is a child of a marriage of the person which took place on or before the material date and was born before the expiry of the period of one year beginning with that date; or

(b) he is a child adopted by the person on or before the material date; or

(c) he is a child who was wholly or mainly dependent on the person both on the material date and at the time of the person's death and is-


(i) the person's step-child or child born out of wedlock;

(ii) an adopted child of someone else who married the person before the material date; or

(iii) a child accepted by the person as a member of the family.

    (3) For the purposes of these Regulations, a person who in his employment immediately before the material date was subject to regulation B8 of the Superannuation Regulations regulation 130(1) of the LGPS Regulations (SI1998/364) (separate employments under one employer) (or, if he is an assumed pensionable employee assumed member (SI1998/364) would, apart from a relevant disqualification and on the relevant assumptions, be so subject) shall be treated, unless the context otherwise requires, in relation to each of the employments as if the other or others were held by him under another LGSS employer LGPS employer (SI1998/364).

    (4) A person who in his employment immediately before the material date was subject to regulation B7 (returning officers etc) of the Superannuation Regulations regulation 130(2) of the LGPS Regulations (SI1998/364) (or, if he is an assumed pensionable employee assumed member (SI1998/364) would, apart from a relevant disqualification and on the relevant assumptions, be so subject) shall for the purposes of these Regulations be treated, unless the context otherwise requires, as if each additional duty were a separate variable-time employment with a LGSS employer LGPS employer (SI1998/364) other than the employer with whom he was in whole-time employment.

(a) on or after 1st April 1976 he has ceased to hold his employment with an employing authority-


(i) by reason of redundancy;

(ii) in the interests of the efficient exercise of that authority's functions; or

(iii) because he was one of the holders of a joint appointment and his appointment has been terminated because the other ceased to hold his employment;



(b) in a case within paragraph (a)(i) or (ii), that authority-



(i) have certified in relation to him in accordance with regulation E2(4)(a) of the Superannuation Regulations regulation 25(1)(b) of the LGPS Regulations (SI1998/364) (redundancy etc.); or

(ii) are satisfied that but for a relevant disqualification and on the relevant assumptions they would have so certified;



(c) he is not, in respect of the loss of that employment, entitled to have his case considered for the payment of section 219 compensation;

(d) on the material date he has attained the age of 50, but not the age of 65;

(e) on that date the aggregate of-



(i) his effective service, and

(ii) any periods to which regulation D10, D11, E29 or J9 of the Superannuation Regulations the LGPS Regulations applies,
(ii) any periods of superannuable membership (as defined in regulation 9 of the LGPS Regulations) and any increase in membership under regulation 13 of the Transitional Regulations, (SI1998/364)




amounts to at least 5 years;

(f) on that date his effective service does not exceed 40 years; and

(g) the period beginning with the day following the material date and ending with his 65th birthday exceeds any period of residual entitlement which he has to his credit as described in regulation 8(1).

    (2) In paragraph (1) "assumed pensionable employee assumed member (SI1998/364)" means a person who the employing authority are satisfied would be or be treated as a pensionable employee LGPS member (SI1998/364) but for a relevant disqualification.

    (3) In paragraph (1)(c) "section 219 compensation" means long-term compensation or retirement compensation-

(a) under regulations made under section 219 of the Local Government (Scotland) Act 1973; or

(b) under any instrument made under any provision to the like effect in any other enactment.

Application of Part III to assumed pensionable employee assumed member (SI1998/364)s: "relevant disqualification", "relevant assumptions" and "special service"
     7.  - (1) In this Part, in relation to any person, "relevant disqualification" means an act or omission in consequence of which (either alone or taken together with other such acts or omissions) that person has not become, has ceased to be or has not been treated as being a pensionable employee LGPS member (SI1998/364), being one of the following acts or omissions:-

(a) the failure of any medical examination required to become a pensionable employee LGPS member (SI1998/364);

(b) the absence of an election or application to become a pensionable employee LGPS member (SI1998/364) with respect to any period (including circumstances where such absence is on account of the person's contractual weeks being fewer than 35 in every period of 12 months or his contractual hours in every week being fewer than 30 or, in the case of a manual worker, his not having completed any period of continuous employment required before he may elect to become a pensionable employee LGPS member (SI1998/364));

(c) the giving of notification that a person does not wish to be a pensionable employee LGPS member (SI1998/364);

(d) the making of an election or the absence of an election with respect to any period under regulation 47(1)(c) of the Local Government Superannuation (Scotland) Amendment Regulations 1989.

(e) the giving of notice by the person's employer that he is not to be a pensionable employee LGPS member (SI1998/364).

    (2) In this Part "the relevant assumptions" means the following assumptions:-

(a) that during any period of special service a person was a pensionable employee LGPS member (SI1998/364);

(b) that a person's reckonable service included any periods of special service which did not consist of periods of unpaid leave or other unpaid absence from duty;

(c) that any election or determination which, on the assumptions mentioned in sub-paragraphs (a) and (b), might have been made with respect to a period of special service under regulation E22(3) of the Superannuation Regulations 1987 Regulations (SI1998/364) (optional alternative relevant periods for calculating pensionable remuneration)-


(i) in the circumstances mentioned in regulation E22(3) of those Regulations, had been made; and

(ii) in the circumstances mentioned in regulation E22(4) or (5) or E24 of those Regulations or regulation 21 or 22 of the LGPS Regulations (SI1998/364), had not been made; and



(d) that regulation E22(7) of those Regulations the 1987 Regulations (SI1998/364) did not apply with respect to a period of special service.

    (3) In this Part "special service" means, subject to paragraph (4), any period of employment with respect to which the employing authority are satisfied-

(a) that, if it were not for a relevant disqualification, the person concerned would have been or have been treated as being a pensionable employee LGPS member (SI1998/364); or

(b) that the employment would have fallen within sub-paragraph (a) if it had not been part-time employment in which the person was ineligible to be a pensionable employee LGPS member (SI1998/364).

    (4) In relation to any employment ending before a person began his former employment, "special service" only includes such periods as are continuous with the former employment.

    (5) For the purpose of paragraph (4), a period of employment is continuous with the former employment if in the interval between its ending and the former employment beginning there has been no period exceeding one month and one day during which the person was not employed by an LGSS employer LGPS employer (SI1998/364) or a relevant English or Welsh employer.

(a) the period by which his effective service falls short of 40 years;

(b) the period beginning with the day following the material date and ending with his 65th birthday, less any period of residual entitlement which he has to his credit (as described in paragraph (3));

(c) the aggregate of his effective membership and any periods to which regulations D2, D10, D11, D12 and E28 of the Superannuation Regulations apply which count as periods of superannuable membership (as defined in regulation 9 of the LGPS Regulations) and any increase in membership under regulation 13 of the Transitional Regulations (SI1998/364) (or, if he is an assumed pensionable employee assumed member (SI1998/364), would apply would count or, as the case may be, would apply or be awarded (SI1998/364) apart from a relevant disqualification and on the relevant assumptions); or

(d) 10 years,

but no person may be credited with a period of service under this regulation in respect of a former employment in respect of the cessation of which an additional period of membership may be counted under regulation 51 of the LGPS Regulations. (SI1998/364)

    (2) The time limit referred to in paragraph (1) is-

(a) in the case of a person who becomes eligible to benefit under this Part only on its coming into force, where the material date was earlier than the date on which these Regulations come into force, six months after the date on which these Regulations come into force;

(b) in any other case, six months after the material date.

    (3) For the purposes of paragraph (1)(b), where a person has been granted a credited period in respect of a cessation of employment ("the previous cessation") before the material date, he has to his credit a period of residual entitlement equal to the excess (if any) of the relevant aggregate period over the period which-

(a) begins with the day immediately following the previous cessation (or, if there has been more than one previous cessation in respect of which pre-material date extra service has been granted to him, the first of them); and

(b) ends with the day on which he ceased to hold his former employment.

    (4) In this regulation, in relation to any person-

(a) "the relevant aggregate period" means the aggregate of-


(i) his pre-material date extra service, reduced as may be necessary in accordance with paragraph (5);

(ii) the period of his former employment; and

(iii) the aggregate of any periods during which he was a pensionable employee LGPS member (SI1998/364) or an assumed pensionable employee assumed member (SI1998/364), being periods between the previous cessation (or, if there has been more than one previous cessation in respect of which pre-material date extra service has been granted to him, the first of them) and the commencement of the former employment;



(b) "pre-material date extra service" means a period by which his effective service has been increased or a period of service with which he has been credited, before the material date, for the purpose of calculating one of the kinds of benefit or compensation mentioned in paragraph (6) (or, if more than one such period has been granted to him, the aggregate of them).

    (5) Where after his previous cessation (or the first of them) a person has ceased to hold an employment and-

(a) his pre-material date extra service has been reduced by the period of that employment or part of that period; or

(b) the compensation or benefit attributable to such extra service has been reduced on account of that period or part of it,

his pre-material date extra service for the purposes of paragraph (4)(a)(i) shall be reduced by that period.

    (6) The benefits and compensation mentioned in paragraph (4)(b) are-

(a) retirement compensation under an Act or under regulations made under section 219 of the Local Government (Scotland) Act 1973, or a similar instrument, on account of loss of employment;

(b) benefit under regulations made under section 220 of that Act, or a similar instrument;

(c) compensation under any scheme made under section 1 of the 1972 Act, or a similar instrument, on account of his retirement in the public interest;

(d) compensation under an Act or under these Regulations or any other regulations made under section 24 of the 1972 Act, or a similar instrument, on account of his ceasing to hold an employment with an authority in such circumstances as are mentioned in regulation 6(1)(a)(i), (ii) or (iii);

and in this paragraph "similar instrument" means any instrument made under any provision to the like effect in any other enactment.

    (7) An employing authority shall not credit an eligible person with an additional period of service in terms of paragraph (1) where a determination is made to pay compensation to that person in terms of regulation 5(c) or (d) of the Local Government (Compensation for Redundancy or Premature Retirement on Reorganisation) (Scotland) Regulations 1995.

Lump sum compensation
     9.  - (1) An eligible person who has been granted a credited period under regulation 8 is entitled to receive compensation in the form of a lump sum in accordance with this regulation.

    (2) If-

(a) he is entitled, on ceasing to hold his former employment, to a retirement allowance by virtue of regulation E2(1)(b)(iii) of the Superannuation Regulations in a case where one of the conditions in paragraph (4) of that regulation is satisfied regulation 25 of the LGPS Regulations (SI1998/364) (early retirement on redundancy, or in the interests of efficiency or on the cessation of a joint appointment); or

(b) but for a relevant disqualification, he would be so entitled on the relevant assumptions and on the further assumption that, if the employing authority might have certified under regulation E2(4)(a) regulation 25(1)(b) (SI1998/364) of those Regulations, they have done so,

he is entitled to receive lump sum compensation of an amount equal to the amount by which that retirement allowance would be increased on the relevant assumptions and in accordance with those Regulations if his effective service were increased by the credited period.

Annual compensation; general provisions
     10.  - (1) Subject to the following regulations, an eligible person who has been granted a credited period under regulation 8 is entitled to receive annual compensation in accordance with this regulation.

    (2) From the day following the material date he is entitled to receive annual compensation at a rate equal to the rate by which the annual retirement pension to which-

(a) he is entitled, on ceasing to hold his former employment, by virtue of regulation E2(1)(b)(iii) of the Superannuation Regulations in a case where one of the conditions in paragraph (4) of that regulation is satisfied regulation 25 of the LGPS Regulations (SI1998/364) (early retirement on redundancy, or in the interests of efficiency or on the cessation of a joint appointment); or

(b) but for a relevant disqualification, he would be so entitled on the relevant assumptions and on the further assumption that, if the employing authority might have certified under regulation E2(4)(a) regulation 25(1)(b) (SI1998/364) of those Regulations, they have done so,

would be increased on the relevant assumptions and in accordance with those Regulations, if his effective service were increased by the credited period.