The Pension Protection Fund (Compensation) Regulations 2005

[F1 Conditions subject to which periodic and lump sum compensation can be postponed E+W+S

2C.— (1) The conditions referred to in regulation 2A(1)(b) and (2)(b) are as follows.

(2) The first condition is that—

(a) where the person elects to postpone periodic compensation in respect of a benefit under the scheme, they must also elect to postpone the payment of any lump sum compensation to which they are entitled in respect of that scheme; or

(b) where the person elects to postpone lump sum compensation in respect of a benefit under the scheme, they must also elect to postpone the payment of any periodic compensation to which they are entitled in respect of that scheme.

[F2 (3) The second condition is that the person must not have received or be receiving—

(a) their pension (including any lump sum entitlement) under the scheme;

(b) any periodic compensation in respect of their rights under the scheme; or

(c) any lump sum compensation in respect of their rights under the scheme.]

(4) The third condition is that for each election to postpone periodic compensation or lump sum compensation, the person has sent written notice to the Board—

(a) in accordance with paragraph (5);

(b) that the person wishes to postpone the commencement of periodic compensation or payment of lump sum compensation; and

(c) before the commencement of that periodic compensation or payment of lump sum compensation.

[F3 (4A) The fourth condition is that where regulation 29 (variable-rate schemes which provide for a decrease in annual rate of pension: modification of Schedule 7 to the Act) applies to the scheme and the person elects to postpone any periodic compensation in respect of a pension which falls within regulation 28(1)(b), the person must—

(a) elect to postpone both the compensation in respect of the basic element and that in respect of the bridging element; and

(b) specify the same date in relation to both for the purposes of paragraph (5)(c).]

(5) The notice referred to in paragraph (4) must include—

(a) the person’s name, address, date of birth and national insurance number;

(b) the name of the scheme for which the Board has assumed responsibility; and

(c) the date on which the person would like the commencement of periodic compensation or payment of lump sum compensation to cease to be postponed, which must be a date before the person attains the age of 75.]

Textual Amendments

F1 Pt. 2A inserted (30.4.2013) by The Pension Protection Fund, Occupational and Personal Pension Schemes (Miscellaneous Amendments) Regulations 2013 (S.I. 2013/627), regs. 1(1), 3(4)

F2 Reg. 2C(3) substituted (1.10.2013) by The Pension Protection Fund and Occupational Pension Schemes (Miscellaneous Amendments) Regulations 2013 (S.I. 2013/1754), regs. 1, 2

F3 Reg. 2C(4A) inserted (24.2.2018) by The Pension Protection Fund (Compensation) (Amendment) Regulations 2018 (S.I. 2018/95), regs. 1, 2(4)