(1) This Part of this Schedule applies where -
(a) the value of a liability of an insurer is reduced under a write-down order,
(b) while the write-down order has effect in relation to the liability, an amount of the liability is due and payable (or would be due and payable but for the write-down order), and
(c) the amount remains due and payable after the reduction ceases to have effect.
(2) The amount carries statutory interest, within the meaning of the Late Payment of Commercial Debts (Interest) Act 1998, for the period -
(a) beginning with the date on which the write-down order took effect or, if later, the date on which the amount became due and payable (or would have become due and payable but for the write-down order), and
(b) ending with the day on which the amount is paid.
(3) Where a write-down order is varied, this section applies as if references to the write-down order were to the order as varied.