The Local Government Pension Scheme (Transitional Provisions) (Scotland) Regulations 1998

Re-employment after return of contributions: service before 6th April 1978

17.—(1) This paragraph applies to a member if–

(a) he left a local government employment after 15th May 1974 and before 6th April 1978 with less than 5 years' total membership;

(b) a return of contributions for that employment was made to him; and

(c) he has subsequently begun another local government employment (whether before or after the commencement date) in which he is an active member.

(2) Despite regulation 8(3) of the 1998 Regulations, a member within paragraph (1) may count the period for which the contributions were returned, if he pays the appropriate sum to his appropriate fund in his new employment.

(3) That repayment must be made before the expiry of the period of six months beginning with his return to local government employment or such longer period as the authority who returned the contributions and, if different, his appropriate administering authority in his new employment may allow.

(4) The appropriate sum is an amount equal to–

(a) the amount of returned contributions (net of any tax deducted, but including any increase under regulation M3 of the 1987 Regulations or any corresponding earlier provision and any interest paid on the return); plus

(b) interest on the amount specified in paragraph (a) for the period beginning with the date the contributions were returned and ending with the date of payment of the appropriate sum.

(5) Interest must be calculated–

(a) at 6 per cent. compounded with yearly rests for each complete period of a year ending before 1st April 1977; and

(b) at 2.25 per cent. compounded with three-monthly rests for each complete period of three months beginning on or after that date.

(6) In any case where the whole or part of the period for which the contributions were returned was a period before 1st April 1972 which, if the member had been entitled immediately before the commencement date to count it, would have been reduced under regulation 8, the period which may be counted under paragraph (2) must be similarly reduced.

(7) The repayment by a member under paragraph (2) in any tax year must not, when aggregated with his total contributions (as mentioned in regulation 15(2) of the 1998 Regulations) payable in that tax year, exceed the maximum amount so payable by him.