Explanatory Notes

Pensions Act 2008

2008 CHAPTER 30

26 November 2008

Commentary on Sections

Schedule 9 – contribution notices and financial support directions under Pensions Act 2004

Financial support directions: meaning of “insufficiently resourced”

422.Paragraph 14 amends section 44(3) of the PA 2004 to provide that, for the purposes of financial support directions, the “insufficiently resourced” test is satisfied if the additional conditions listed are met.

423.Sub-paragraph (2) amends subsection (3) to add a new condition which if met means that the “insufficiently resourced” test would be met. The effect of the new condition is that the Regulator may take into account the aggregate value of the resources or two or more persons who are associated with or connected to the employer, who are furthermore associated with or connected to each other, and determine whether that aggregate value is not less than the relevant deficit.