Part 3

Pension compensation
Chapter 1

Pension compensation on divorce etc

Reduction of compensation
113
1
Where any of a person's shareable rights to PPF compensation are subject to a pension compensation debit, each payment or future payment—
a
to which the person is entitled under the pension compensation provisions by virtue of those rights, and
b
which is a qualifying payment,
is reduced by the appropriate percentage.
2
For the purposes of subsection (1) a payment is “qualifying payment” if the cash equivalent by reference to which the amount of the pension compensation debit is determined includes an amount in respect of it.
3
In this section “the appropriate percentage”, in relation to a pension compensation debit, means—
a
the percentage specified in the pension compensation sharing order or provision on which the debit depends; or
b
if the pension compensation sharing order or provision on which the debit depends specifies an amount to be transferred, the percentage which the appropriate amount for the purposes of subsection (1) of section 111 represents of the amount mentioned in subsection (2)(b)(ii) of that section.
Pt. 3 Ch. 1 applied (24.7.2014) by The Pensions Act 2011 (Transitional, Consequential and Supplementary Provisions) Regulations 2014 (S.I. 2014/1711), regs. 1(1), 42(1), 53, 57 (with regs. 6, 41, 44(1), 47(1), 69(2), 72(1), 76(1)); coming into force immediately after s. 29 of 2011 c 19 - see S.I. 2014/1683, art. 2