Explanatory note

These Regulations, made under paragraph 16 of Schedule 3 to the Justices of the Peace Act 1968 , provide for the payment of compensation in respect of persons who suffer loss of office or employment or loss or diminution of emoluments which is attributable to the operation of section 1 of that Act in relation to the City of London or to the South Staffordshire Stipendiary Justice Act 1899 or the Staffordshire Potteries Stipendiary Justice Acts 1839 to 1895.

Part I of the Regulations contains definitions.Part II specifies the persons to whom the Regulations apply and the grounds of entitlement to compensation. The Regulations apply to persons who hold office or employment in respect of which a salary is paid by the Corporation of the City of London or by the South Staffordshire or Staffordshire Potteries Stipendiary Justice Commissioners and to the assistants of such persons.

The compensation payable is—

Resettlement compensation is payable for a period not exceeding 26 weeks to officers with at least three years' service in relevant employment. The qualifying conditions and factors to be considered are set out in Regulation 6. The method of calculating the amount of compensation is contained in Regulation 7.

Long-term and retirement compensation is payable to officers with at least eight years' service in relevant employment. The qualifying and other conditions are set out in Regulation 12.

The method of calculating the maximum amount of long-term compensation is laid down in Regulation 14 (loss of employment) and 15 (diminution of emoluments). This amount is a proportion, not exceeding two-thirds, of the net emoluments lost or of the amount by which emoluments have been diminished, as the case may be. This compensation is payable from a date determined under Regulation 16 and can be payable up to normal retiring age. In the case of a non-pensionable officer, compensation not exceeding one-half of the rate of long-term compensation may be paid beyond normal retiring age (Regulation 28).

Retirement compensation payable to a pensionable officer is based upon his accrued pension rights (Regulations 19 and 22) supplemented in the case of persons aged 40 or over at the date of loss by the addition of notional years of service (Regulation 18). Special provision is made for any persons whose pension arrangements are by way of policies of insurance (Regulation 29). Retirement compensation is ordinarily payable from normal retiring age but in certain circumstances is payable earlier (Regulations 20 and 21).

Compensation is payable to the widow, child or other dependant or to the personal representatives or trustees of a claimant who dies where such persons would have benefited under the relevant pension scheme (Regulations 25 to 27).

Part VI of the Regulations provides for long-term and retirement compensation to be reviewed and for awards to be varied in the light of changing circumstances (Regulation 34). It also contains provisions for the adjustment, suspension and compounding of compensation in certain circumstances.

Part VII contains provisions relating to the procedure for making claims and notifying decisions. It also confers upon a person claiming compensation and local authorities required to pay compensation the right to refer compensation questions for determination by a tribunal established under section 12 of the Industrial Training Act 1964.