Part 2U.K.The Board of the Pension Protection Fund

Modifications etc. (not altering text)

C4Pt. 2 applied in part (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

Chapter 3U.K.Pension protection

Modifications etc. (not altering text)

C5Pt. 2 modified in part (9.3.2005 for specified purposes, 1.4.2005 for specified purposes, 6.4.2005 in so far as not already in force (except ch. 4)) by The Pension Protection Fund (Multi-employer Schemes) (Modification) Regulations 2005 (S.I. 2005/441), regs. 1, 2-60, 71, 72

C6Pt. 2 modified (8.3.2005 for specified purposes, 6.4.2005 in so far as not already in force) by The Pension Protection Fund (Partially Guaranteed Schemes) (Modification) Regulations 2005 (S.I. 2005/277), regs. 1(1), 2-11

C7Pt. 2 applied in part (with modifications) (20.7.2005 for specified purposes, 1.9.2005 for specified purposes, 5.12.2005 for specified purposes) by The Financial Assistance Scheme Regulations 2005 (S.I. 2005/1986), regs. 1(1), 4, Sch. 1

Reconsideration of closed schemesE+W+S

158Duty to assume responsibility for closed schemesE+W+S

(1)Where the trustees or managers of a closed scheme—

(a)make an application under subsection (1) of section 157, or

(b)receive a notice from the Board under subsection (4) of that section,

the Board must assume responsibility for the scheme in accordance with this Chapter if the value of the assets of the scheme at the relevant time was less than the amount of the protected liabilities at that time.

(2)In subsection (1) the reference to the assets of the scheme is a reference to those assets excluding any assets representing the value of any rights in respect of money purchase benefits under the scheme rules.

[F1(3)The Board must, as soon as reasonably practicable—

(a)determine whether the condition in subsection (1) is satisfied, or

(b)for the purposes of determining whether that condition is satisfied, obtain an actuarial valuation (within the meaning of section 143) of the scheme as at the relevant time.

(3A)Before doing so, it must give the trustees or managers of the scheme a notice stating whether it will make a determination under subsection (3)(a) or obtain an actuarial valuation under subsection (3)(b).]

(4)Subject to subsection (6), subsection (3) of section 143 applies for [F2the purposes of this section as it applies for the purposes] of that section (and the definitions contained in paragraphs (b) and (d) of subsection (11) of that section apply accordingly).

(5)Subject to subsection (6), the following provisions apply in relation to [F3a determination made under subsection (3)(a) and a valuation obtained under subsection (3)(b)] as they apply in relation to [F4a determination made under section 143(2)(a) and a valuation obtained under section 143(2)(b)] —

(a)subsections (4) to (7) and (11)(b) and (d) of that section;

[F5(aa)section 143A (determinations under section 143), other than subsections (1)(c) and (4)(c) (duty to give copy of determinations to employer's insolvency practitioner);]

(b)section 144 (approval of valuation), other than subsection (2)(b)(iii) (duty to give copy of approved valuation to employer’s insolvency practitioner);

(c)section 145 (binding valuations), other than subsection (3)(c) (duty to give copy of binding valuation to employer’s insolvency practitioner).

(6)In the application of sections 143 [F6, 143A] and 145 by virtue of subsection (4) or (5)—

(a)[F7subsections (3), (5), (5A), (5B) and (11)(b) and (c) of section 143] apply as if the references to “the relevant time” were references to that term as defined in subsection (8) below, F8...

[F9(aa)subsection (3) of section 143A applies as if the reference to section 128(2)(a) included a reference to subsection (1) of this section, and]

(b)subsection (2) of section 145 applies as if the reference to section 128(2)(a) included a reference to subsection (1) of this section.

(7)An application under subsection (1) of section 157, or notification under subsection (4) of that section, is to be disregarded for the purposes of subsection (1) if it is made or given during an assessment period (see sections 132 and 159) in relation to the scheme which began before the application was made or notification was given.

(8)In this section—

Textual Amendments

F1S. 158(3)(3A) substituted for s. 158(3) (23.7.2012) by Pensions Act 2011 (c. 19), s. 38(4), Sch. 4 para. 11(2); S.I. 2012/1681, art. 3(b)(ii)

F2Words in s. 158(4) substituted (23.7.2012) by Pensions Act 2011 (c. 19), s. 38(4), Sch. 4 para. 11(3); S.I. 2012/1681, art. 3(b)(ii)

F8Word in s. 158(6)(a) omitted (23.7.2012) by virtue of Pensions Act 2011 (c. 19), s. 38(4), Sch. 4 para. 11(5)(b); S.I. 2012/1681, art. 3(b)(ii)

Commencement Information

I1S. 158 in force at 6.4.2007 by S.I. 2006/2272, art. 2(7), Sch. Pt. 2