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27.—(1) Where any period of service of which account was taken in calculating the amount of any compensation payable under Part IV or V of these Regulations is subsequently taken into account for the purpose of calculating the amount of any superannuation benefit payable to or in respect of any person in accordance with a pension scheme associated with any employment undertaken subsequent to the loss of employment or diminution of emoluments which was the subject of the claim for compensation, the compensating authority may in accordance with this Regulation withhold or reduce the compensation payable.
(2) If the part of any superannuation benefit which is attributable to a period of service mentioned in paragraph (1) equals or exceeds the part of any compensation which is attributable to the same period, that part of the compensation may be withheld, or if the part of the superannuation benefit is less than the part of the compensation, the compensation may be reduced by an amount not exceeding that part of the superannuation benefit.
(3) In addition to any reduction authorised by paragraph (2), if, in the circumstances mentioned in paragraph (1), compensation is attributable in part to any provision of the Firemen's Pension Scheme for a minimum benefit, the compensation may be reduced by an amount not exceeding that part.
(4) Where any additional period of service has been credited to a person under Regulation 18(2), and that period is equal to or less than the period spent in the subsequent employment mentioned in paragraph (1), the compensation may be reduced (in addition to any other reduction authorised by this Regulation) by an amount not exceeding that attributable to the additional period of service credited or, if the period is greater than the period spent in the subsequent employment, by the proportion of that amount which the period spent in the subsequent employment bears to the additional period so credited.
(5) In making any reduction under paragraphs (2) to (4), the amount of pension to be taken into account relating to the subsequent employment shall be the amount of such pension reduced by a fraction of that pension, where—
(i)the numerator of the fraction is equivalent to the aggregate of the amount of increases which would have been awarded under the provisions of the Pensions (Increase) Act 1971, during the period beginning with the day following loss of the employment for which compensation is payable and ending on the day the subsequent employment terminated, on an official pension (within the meaning of that Act) of £100 a year which commenced from the first mentioned day, and
(ii)the denominator of the fraction is equivalent to the aggregate of an official pension of £100 a year and the amount of the increases so determined.
(6) Where compensation has been calculated in accordance with Regulation 23, the provisions of this Regulation shall only apply in relation to the part (if any) of the superannuation benefit which is attributable to annual emoluments in excess of those to which the person was entitled on entering the new employment referred to in Regulation 23.
(7) Where compensation is payable in respect of diminution of emoluments, the provisions of this Regulation shall apply only in relation to the part (if any) of the superannuation benefit which is attributable to annual emoluments in excess of those to which the person was entitled immediately prior to the diminution.
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