The National Health Service Superannuation Scheme (Scotland) Regulations 2011

Commutation of trivial pensions

T8.—(1) Where a person has become entitled to a pension of a trivial amount, the Scottish Ministers may pay to that person a lump sum representing the capital value of that pension and of any benefits that might otherwise have become payable on that person’s death.

(2) Any lump sum payable under this regulation will be calculated by the Scottish Ministers, after consulting the scheme actuary.

(3) A pension may be treated as trivial only if all benefits payable to the person concerned under this Section of the scheme are of an amount consistent with—

(a) the contracting-out and preservation requirements of the 1993 Act; and

(b) the lump sum rule and lump sum death benefit rule.

(4) A payment made under paragraph (1) discharges the Scottish Minister’s liability in respect of that pension and of any benefits that might otherwise have become payable on that person’s death.