PSI5.1.14 - Contributions by Employers: General - Contributions must Relate to the Scheme's Needs

(This archived guidance relates to HMRC discretionary practice before the 6th April 2006. For current guidance on Registered Pension Schemes see the Registered Pension Schemes Manual)

It is a condition of approval/continued approval that the contributions paid to the scheme must be reasonable in amount and not excessive for the benefits provided. Where the scheme is self-administered the actuarial report will recommend the level of contributions required and the actual contributions paid can then be compared with those recommendations. With insured schemes we rely upon Life Offices to comply with our requirements, although funding checks should be made in certain cases (see Part 20).

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