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The Local Government (Discretionary Payments) Regulations 1996

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Interest on sums due under Part III

30.—(1) Where all or part of any sum due under this Part by way of compensation is not paid before the expiry of the relevant period after the date on which it becomes payable, the paying authority shall pay the person to whom the sum is payable interest on the amount remaining unpaid, calculated at one per cent. above base rate on a day to day basis from that date to the date of payment, and compounded with three-monthly rests.

(2) In paragraph (1) “the relevant period” means—

(a)in the case of compensation payable in the form of a lump sum, one month; and

(b)in the case of other compensation, one year.

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