In all cases, the early retirement factor is applied to the compensation before the compensation cap is applied. Simply follow the links to the tables of early retirement factors detailed below:
The circumstances in which commutation is possible are set out in Regulation 19 of the Pension Protection Fund (Compensation) Regulations 2005 and Regulation 21 sets out how this option may be exercised.
This applies to amounts due to a pension scheme in respect of: dividends from insolvent estates guarantee payments in respect of pension scheme employer liabilities, and loans notes in respect of restructuring deals If the pension scheme is still in assessment when a payment is due or has completed assessment and exited the PPF, please make sure the payment is sent to the trustees of the appropriate pension scheme.
We will take part in restructuring if it means the return from the employer will be better than if the business had been simply left to fail. It usually involves removing the pension debt from the company, allowing it to continue to trade with a positive cash flow and potentially make a profit.
There are three types of contingent asset arrangements which - providing certain requirements are met - can reduce the amount of risk-based levy your scheme will pay.� Types of contingent assets Type A: Guarantees from a parent or group companyType B: Cash, UK real estate and securitiesType C: Letters of credit and bank guarantees
Use our portal to check the insolvency risk scores used to calculate your levy invoice.
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