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The Pension Protection Fund (Compensation) Regulations 2005

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Changes over time for: Section 2C

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There are currently no known outstanding effects for the The Pension Protection Fund (Compensation) Regulations 2005, Section 2C. Help about Changes to Legislation

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[F1Conditions subject to which periodic and lump sum compensation can be postponedE+W+S

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2C.—(1) The conditions referred to in regulation 2A(1)(b) and (2)(b) are as follows.

(2) The first condition is that—

(a)where the person elects to postpone periodic compensation in respect of a benefit under the scheme, they must also elect to postpone the payment of any lump sum compensation to which they are entitled in respect of that scheme; or

(b)where the person elects to postpone lump sum compensation in respect of a benefit under the scheme, they must also elect to postpone the payment of any periodic compensation to which they are entitled in respect of that scheme.

[F2(3) The second condition is that the person must not have received or be receiving—

(a)their pension (including any lump sum entitlement) under the scheme;

(b)any periodic compensation in respect of their rights under the scheme; or

(c)any lump sum compensation in respect of their rights under the scheme.]

(4) The third condition is that for each election to postpone periodic compensation or lump sum compensation, the person has sent written notice to the Board—

(a)in accordance with paragraph (5);

(b)that the person wishes to postpone the commencement of periodic compensation or payment of lump sum compensation; and

(c)before the commencement of that periodic compensation or payment of lump sum compensation.

[F3(4A) The fourth condition is that where regulation 29 (variable-rate schemes which provide for a decrease in annual rate of pension: modification of Schedule 7 to the Act) applies to the scheme and the person elects to postpone any periodic compensation in respect of a pension which falls within regulation 28(1)(b), the person must—

(a)elect to postpone both the compensation in respect of the basic element and that in respect of the bridging element; and

(b)specify the same date in relation to both for the purposes of paragraph (5)(c).]

(5) The notice referred to in paragraph (4) must include—

(a)the person’s name, address, date of birth and national insurance number;

(b)the name of the scheme for which the Board has assumed responsibility; and

(c)the date on which the person would like the commencement of periodic compensation or payment of lump sum compensation to cease to be postponed, which must be a date before the person attains the age of 75.]

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