The National Health Service Superannuation Scheme (2008 Section) (Scotland) Regulations 2013

Contributions by employing authorities: early retirement on termination of employment

2.C.6.—(1) If a pension becomes payable to a member under regulation 2.D.11 (early retirement on termination of employment by employing authority), the employing authority must make a contribution to the Scottish Ministers in respect of—

(a) the cost of providing the pension under that regulation for the period between the member leaving the employment in which the member was an active member and reaching age 65—

(i) before any part of that pension is exchanged for a lump sum under regulation 2.D.14 (general option to exchange part of pension for lump sum); and

(ii) in the case of a 2008 Section Optant, after that pension is reduced in accordance with regulation 2.K.12 (amount of pension and lump sum to be paid to a 2008 Section Optant);

(b) the cost of providing for any increase in the rate of the benefits referred to in sub-paragraph (a) for that period as a result of orders made under section 59 of the Social Security Pensions Act 1975 (so far as not already met by contributions made under regulation 2.C.5(1) (contributions by employing authorities: general)); and

(c) in the case of a 2008 Section Optant, the additional cost attributable to the early payment of the lump sum to be paid to such an Optant under regulation 2.K.12.

(2) If, on a pension under regulation 2.D.11 (early retirement on termination of employment by employing authority) becoming payable to a member in respect of the termination of the member’s employment with an employing authority (“the first authority”), a pension also becomes payable to the member in respect of pensionable service with one or more other employing authorities, the first authority must also make any additional contributions due in accordance with paragraph (1) in respect of that other pension.

(3) An employing authority is not responsible for meeting any costs in respect of the early payment of benefits to the extent that the benefits are attributable to contributions made under regulation 2.C.8 (option to pay additional periodical contributions), 2.C.10 (option to pay lump sum contribution) or 2.C.11 (additional lump sum contribution by employing authority).

(4) Any contributions payable under this regulation must be paid—

(a) except in a case falling within paragraph (b), by a single payment made within one month of the date on which the pension under regulation 2.D.11 became payable; or

(b) if the Scottish Ministers agree, by not more than 5 equal annual instalments, the first of which is to be paid within one month of the date on which the pension under regulation 2.D.11 became payable and the others by 31st October in each of the following four scheme years.

(5) Paragraph (4)(b) does not apply where the member leaves the employment in which the member was an active member on or after 1st April 2013.

(6) The following amounts must be determined by the Scottish Ministers on the advice of the scheme actuary—

(a) the costs mentioned in paragraph (1);

(b) the amount of the payment mentioned in paragraph (4)(a); and

(c) the amount of each of the instalments payable under paragraph (4)(b).