SCHEDULES

SCHEDULE 5Pension compensation payable on discharge of pension compensation credit

Part 1Introductory

Introductory

1

This Schedule applies for the purposes of determining the compensation payable to or in respect of a person entitled to compensation on the discharge of a pension compensation credit in accordance with this Chapter.

Interpretation

2

In this Schedule—

  • “the initial annual rate of compensation” is the amount determined by the Board under section 116(4);

  • “the pension compensation age” of the transferee is the age determined in accordance with paragraph 3.

Pension compensation age

3

1

This paragraph applies for the purpose of determining the transferee's “pension compensation age”.

2

Sub-paragraphs (3) and (4) apply where the transferor's PPF compensation, or any of it, is determined under Schedule 7 to the Pensions Act 2004 (c. 35).

3

Where the transferor's right to PPF compensation arises by virtue of his or her status as a member of a pension scheme for which the Board assumed responsibility in accordance with Chapter 3 of Part 2 of that Act, the transferee's pension compensation age is the same as—

a

the normal pension age of the transferor, or

b

where the transferor was a pension credit member, the normal benefit age of the transferor.

4

Where the transferor's right to PPF compensation arises by virtue of his or her status as a person connected with a member of a scheme for which the Board assumed responsibility in accordance with Chapter 3 of Part 2 of that Act, the transferee's pension compensation age is the same as—

a

the normal pension age of that member, or

b

where that member was a pension credit member, the normal benefit age of that member.

5

Sub-paragraph (6) applies where the transferor's PPF compensation is determined only under this Schedule.

6

The transferee's pension compensation age is the same as the pension compensation age of the transferor.

7

In this paragraph, “normal benefit age”, “normal pension age” and “pension credit member” have the same meanings as in Schedule 7 to the Pensions Act 2004.