RPSM14101100 - Technical Pages: Transfers: Recognised transfers from registered pension schemes: Transfers to the Pension Protection Fund

Transfers to the Pension Protection Fund

[Section 164(f) and the Registered Pension Schemes (Authorised Payments) (Transfers to the Pension Protection Fund) Regulations 2006 - SI 2006/134]

The Pension Protection Fund protects members of certain occupational pension schemes providing defined benefits where the scheme is under-funded and the employer has become insolvent. In such circumstances the Pension Protection Fund may take over the funds and assets of the pension scheme and then pay compensation in lieu of the benefits due from the scheme.

The transfer of property, rights and liabilities of a registered pension scheme to the Board of the Pension Protection Fund is an authorised member payment.