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The Scottish Public Finance Manual (SPFM) is issued by the Scottish Ministers to provide guidance on the proper handling and reporting of public funds.
Annex C: Elements to be included/excluded from £95,000 compensation cap
Annex C: Elements to be included/excluded from £95,000 compensation cap
Included
Not Included
Any non-contractual sum agreed as part of the compensation
Pension benefits to which the employee is already entitled
Pay in Lieu of Notice
Mandatory payments made by the employer to the pension scheme to either top up pension or underwrite the actuarial reduction to allow early access to pension benefits (sometimes known as strain costs for fully funded schemes) *
Payments for accrued annual leave or other time off owed to employee
Awards made by an Employment Tribunal or other court of law
Lump sum severance payments due under any compensation scheme for early exit, redundancy etc.
Payments for legal costs incurred by employee
Any additional payments made to employee e.g. for outplacement support
Discretionary payments made by the employer to the pension scheme to either top up pension or underwrite the actuarial reduction to allow early access to pension benefits
* For those employers who are part of Civil Service Pension Schemes, the rules of the scheme mean that any top up payments should be included
Update to footnote in the borrowing, lending, and investment section
Updates to wording of Annex 2 Internal control checklist for Certificates of Assurance.
New FGN note added - FGN 2025/03 financial memoranda that accompany Scottish Government bills.
Updates to the following sections following SPFM Strategic Review: Foreword, Accountability (and annexes), risk and subsidy Control. Also the addition of FGN 2025/02 explaining the updates
Link in point 23 of Settlement, Severance, Early Retirement, Redundancy section updated.
numbering in Annex 2 Internal control checklist for Certificates of Assurance updated due to a typo
Updated Annex 2 Internal control checklist for Certificates of Assurance, added FGN 2025/01 re CoA checklist and added in a word version of the checklist.
updated missing text in document SPFM - Non-Ministerial Offices model framework document July 2024.
Adding in FGN 2024/03 re the updated AO Spend Control Template and Guidance.
Updating the SRO Appointment letter in the documents section to include a point on construction projects in the Annex.
Executive agencies model framework document updated.
Non-Ministerial Offices model framework document updated.
Updating the SRO Appointment letter in the documents section to this years dates
Updated link to 'On Board: A Guide for Members of Statutory Boards' within Governance statements chapter.
Updates made to model framework document templates.
Updates made to text within Procurement chapter.
Replaced non-ministerial office model framework document and advisory non-departmental public bodies model framework with updated versions.
Document updated with an additional date - Settlement Agreement supporting documentation - final confirmation of terms
Replaced Non-Ministerial Offices model framework document
Updates to the Settlement, Severance, Early Retirement and Redundancy section. The main section and Annex's A, B C have all been updated along with updated documents and a Finance Guidance Note to explain the changes
Updated the Certificates of Assurance chapter, Annex 2 with the CoA checklist questions for 2023/24 and added a Finance Guidance note outling the changes.
Updates made to proportionate due diligence wording, Accountable Officer tests guidance, risk exposure guidance, public bodies duties, monitoring and management, exit arrangements.
Procurement chapter updated.
Updated 'Major investment projects' paragraph 12 and the SRO appointment letter.