The Local Government Superannuation (Scotland) Amendment Regulations 1990

Interest on late payment of certain benefits

25.  After regulation E34 of the principal Regulations, there shall be inserted the following regulation:–

“Interest on late payment of certain benefits

E35.— (1) Where all or part of–

(a) a retiring allowance,

(b) an ill-health lump sum retiring allowance payable under regulation E4, or

(c) a death gratuity,

is not paid within one month after the due date, the appropriate administering authority shall pay to the person to whom the allowance or gratuity is payable interest, calculated at the standard rate on a day to day basis from the due date to the date of payment, and compounded with 3 monthly rests, on the amount remaining unpaid.

(2) For the purposes of this regulation the due date is–

(a) in the case of a retiring allowance which becomes payable by virtue of a notice in writing under regulation E2(6) or (7)(a) given on or after the date on which the allowance by virtue of that notice became payable, the date one month after that notice was given;

(b) in the case of a part of a retiring allowance which becomes payable by virtue of payments or contributions (other than an increase in contributions made following a decision under regulations N1 or N8) made after the date on which the remainder of the allowance became payable, the date one month after that increase in contributions was paid;

(c) in the case of a retiring allowance or part of a retiring allowance which becomes payable by virtue of contributions made following a decision under regulations N1 or N8, the date on which that allowance or part of an allowance would have become payable had those contributions been made at the first opportunity which these Regulations would otherwise have provided;

(d) in all other cases in which a retiring allowance or part of a retiring allowance becomes payable, the date on which that allowance or part of an allowance becomes payable;

(e) in the case of an ill-health lump sum retiring allowance which becomes payable, the day after the person who is entitled to the allowance ceased to hold his employment;

(f) in the case of a death gratuity where no nomination has been made by the deceased the date on which proof of confirmation, probate or letters of administration has or have been produced to the administering authority;

(g) in the case of a death gratuity where a nomination has been made by the d eceased, the date upon which the administering authority has received proof of the deceased’s death and of the nominee’s identity.”.