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The Local Government Pension Scheme (Scotland) Regulations 1998

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Reduction of death grants: re-employed pensioners

38.—(1) If–

(a)after the deceased became entitled to a pension under the Scheme (“the previous pension”) he entered further local government employment;

(b)on leaving the further employment he became entitled to a pension (“the additional pension”) (but not to a single pension by making an election under regulation 28); and

(c)his entitlement to the previous or additional pension was by virtue of an election under regulation 30,

the death grant payable because of his membership in the further employment must be reduced (or extinguished) to the extent necessary to prevent his total pension benefits exceeding (or further exceeding) his relevant final pay.

(2) A person’s total pension benefits are the total of–

(a)every death grant and all pension payments made as respects his previous pension (including increases under the Pensions (Increase) Act 1971(1) and the Pensions Increase Act 1974)(2); and

(b)all pension payments as respects of his additional pension (including such increases).

(3) A person’s relevant final pay is the greater of–

(a)the final pay used for calculating his previous pension (adjusted for inflation); and

(b)the final pay used for calculating his additional pension.

(4) The pay for an employment must be adjusted for inflation by calculating the amount to which it would have increased if it were an official pension becoming payable from the end of that employment.

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