SCHEDULE 1Scottish Parliamentary Pension Scheme

Part GRetirement lump sums

43Payment of retirement lump sum and corresponding reduction in pension

1

An individual who gives a valid commutation notice is to be paid a retirement lump sum of an amount equal to the lower of—

a

the amount which the Fund trustees determine to be equivalent to the proportion of the individual’s scheme pension specified in the commutation notice, or

b

the permitted maximum (construed in accordance with paragraph 2 of Schedule 29 to the Finance Act 2004 (c. 12)).

2

The annual scheme pension payable to an individual who is to be paid a retirement lump sum is to be reduced by an amount which the Fund trustees determine to be appropriate in consequence of the individual’s entitlement to the retirement lump sum.

3

A determination of the Fund trustees' for the purposes of this rule must be—

a

certified by the scheme actuary, or

b

made in accordance with guidance and tables prepared by the scheme actuary.