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ARTICLE · 08 OCTOBER 2019

Scotland: Discount Rate To Remain -0.75%

The Government Actuary has confirmed that the discount rate in Scotland will remain unchanged at -0.75%

United KingdomLitigation, Mediation & Arbitration

The Government Actuary has confirmed that the discount rate in Scotland will remain unchanged at -0.75% following the completion of his review. The rate will take effect from 1 October 2019.

A detailed report has been prepared in accordance with the Damages (Investment Returns and Periodical Payments) (Scotland) Act 2019 ("the Act") and follows from the September 2018 report for Scottish Government on the personal injury discount rate analysis.

The report sets out the breakdown of the rate as below:

%per annum

Gross return above RPI inflation from notional portfolio before standard adjustments

RPI +0.50%

Standard adjustment for tax and costs of investment advice and management

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