Public Service Pay and Pensions Act 2017

Contributions made by certain persons who cease to be public servants

40. (1) Where a payment is made, in accordance with this Part, in respect of a person—

(a) who ceases to be a public servant,

(b) to whom no superannuation benefit (including preserved benefit, within the meaning given by section 28 of the Pensions Act 1990 ) or relevant benefit has accrued, and

(c) whose service is not transferred to another public service body in accordance with arrangements approved by the Minister for Housing, Planning and Local Government or the Minister,

that payment shall not be treated as a payment of the contribution under this Part.

(2) The person liable to account for any payment referred to in subsection (1) shall repay it, as soon as practicable, to the person from whose remuneration it was deducted.

(3) If a person receives a repayment under subsection (2) on ceasing to be a public servant and subsequently wishes to have the service in respect of which that repayment was made reckoned for superannuation purposes, then—

(a) the person shall refund the repayment plus compound interest (in accordance with arrangements determined by the Minister) to the person who made the repayment to him or her, and

(b) that refund plus the amount of interest payable under paragraph (a) is to be treated as a payment of the contribution under this Part.