(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)
[PN21.3]
For funding purposes a centralised scheme for associated
employers as described in
PSI21.2.2is treated in the same way as
a scheme set up by a single employer. It can therefore adopt any
method of funding (in accordance with
PSI20.1.1 (Part 20)) which
would be acceptable for the scheme of a single employer. A
centralised scheme for or including employers who are associated as
described in
PSI21.2.3 may also fund on this basis
in respect of ordinary arms-length employees. But in relation to
funding the benefits of controlling directors, this latter type of
scheme must ensure that each such employer contributes only in
respect of its own director employees and that these contributions
are related to the director’s salary and service with that
participating employer (see also
PSI5.1.9).
