{ "url": "https://openlegislation.uk/national-health-service-compensation-for-premature-retirement-regulations-2002/regulation-6", "json_url": "https://openlegislation.uk/national-health-service-compensation-for-premature-retirement-regulations-2002/regulation-6.json", "legislation": "uksi/2002/1311", "legislation_title": "The National Health Service (Compensation for Premature Retirement) Regulations 2002", "legislation_url": "https://openlegislation.uk/national-health-service-compensation-for-premature-retirement-regulations-2002", "path": "regulation/6", "kind": "regulation", "number": "6", "heading": "Calculation of compensation", "text": "(1) Subject to paragraph (2), the compensation payable under regulation 4 in respect of the additional period of service of an entitled officer shall be calculated in like manner as his pension under regulation E3 of the Pension Scheme Regulations and, where applicable, his lump sum on retirement under regulation E6 of those Regulations or, where a transfer payment has been made in his case under Part M of those Regulations (transfers and buy-outs), the pension and, where applicable, lump sum on retirement which would have been payable but for his pension benefits having been transferred to another scheme by means of that transfer payment.\n(2) Where regulation R3 of the Pension Scheme Regulations or any corresponding provision of any other scheme in which the entitled officer has retained rights to benefit by virtue of an option exercised under regulation 44 of the National Health Service (Superannuation) Regulations 1980 applies to an entitled officer, the compensation in respect of his additional period of service shall be calculated as if neither paragraph (5)(b) of regulation R3 nor any corresponding provision applied to him.\n(3) Subject to paragraph (4), where an entitled officer is in receipt of any payment specified in paragraph (6) there shall be deducted from the additional period of service which, but for this paragraph, would have counted as pensionable service by virtue of paragraph (1) or (7) of regulation 5, any additional years or deemed added years which were taken into account for the purposes of the calculation of that payment.\n(4) The Secretary of State may direct that the deduction in accordance with paragraph (3) should not be made, or that a lesser number of years should be deducted, where—\n(a) an entitled officer is in receipt of a payment specified in paragraph (6); and\n(b) there are differences between—\n(i) the terms of the employment in respect of which that payment is received; and\n(ii) the terms of the employment referred to in regulation 3; and\n(c) by reason of those differences, the deduction would be disproportionately large.\n(5) For the purposes of paragraphs (3) and (4)—\n(a) “additional years”, in the case of an entitled officer who receives a payment referred to in paragraph (6), means the additional period of service with which that officer was credited for the purpose of making that payment and which had on the calculation of that payment the corresponding effect that the additional period of service has on the annual allowance payable under these Regulations;\n(b) any additional years or deemed added years shall not be taken into account if these have been taken into account for the purpose of reducing any payment specified in paragraph (6);\n(c) where a payment specified in paragraph (6) has been enhanced by a sum, being a fraction of the annual rate of remuneration, calculated in sixtieths, each one sixtieth shall be deemed to be an added year for the purposes of this regulation and the expression “deemed added years” shall be construed accordingly;\n(d) the additional period of service shall be deemed to commence on the material date;\n(e) the additional years or deemed added years shall be deemed to commence on the day after the occurrence of the event in respect of which the payment specified in paragraph (6) became payable;\n(f) any additional years or deemed added years which relate to a period before the material date shall not be taken into account.\n(6) The payments referred to in paragraphs (3) to (5) are—\n(a) an annual allowance payable under these Regulations;\n(b) any annual compensation payable immediately or prospectively under the local government compensation regulations or any other regulations made under section 24 of the Superannuation Act 1972 (compensation for loss of office, etc.);\n(c) any annual compensation payable under a scheme made under section 1 of the Superannuation Act 1972 (superannuation schemes as respects civil servants, etc.) or under article 3 of the Superannuation (Northern Ireland) Order 1973;\n(d) any annual benefit payable under the early retirement regulations; or\n(e) any other payment provided for by regulations which have like effect to the regulations referred to in sub-paragraphs (a), (b) or (d).", "extent": null, "status": null, "version": "current", "annotations": [ { "type": "footnote", "label": "f1", "text": "Regulations M1, M2 and M6 were amended by S.I. 2002/561." }, { "type": "footnote", "label": "f2", "text": "Regulation 44 of the National Health Service (Superannuation) Regulations 1980 was revoked with a saving by regulation V2(3)(e) of and Schedule 3 to, the National Health Service Pension Scheme Regulations 1995." }, { "type": "footnote", "label": "f3", "text": "Section 1 was amended by section 8(1) and (2) of the Pensions (Miscellaneous Provisions) Act 1990 (c. 7) and by section 190 of, and paragraph 6 of Schedule 8 to, the Pension Schemes Act 1993 (c. 48)." } ], "outstanding_effects": [], "provenance": { "source": "legislation.gov.uk", "source_url": "https://www.legislation.gov.uk/uksi/2002/1311/regulation/6", "retrieved_at": "2026-10-29T06:57:29.631996+00:00" }, "licence": "Open Government Licence v3.0", "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/", "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives." }