RPSM04102010 - Technical Pages: Taxation: Authorised employer payments: What are authorised employer payments?

What are authorised employer payments?

Authorised employer payments are payments made to or in respect of a sponsoring employers or former sponsoring employers as follows:

• public service scheme payments,
• authorised surplus payments - see RPSM04102020 and RPSM04102030,
• compensation payments,
• authorised employer loans - see RPSM07103050,
• scheme administration employer payments see RPSM04102050, and
• any other payment prescribed by Regulations made by HMRC.

Public service payments

These are any payment made to or in respect of a sponsoring employer, or former sponsoring employer, from a public service pension scheme unless it has been specifically prescribed by Regulations as not being a public service payment.

Compensation payments

This is a payment made from a registered pension scheme to a sponsoring employer to satisfy a liability the member has to a sponsoring employer. This can only be where the liability arises from a criminal, fraudulent or negligent act (or omission) of the member.