BAILII is celebrating 24 years of free online access to the law! Would you consider making a contribution?

No donation is too small. If every visitor before 31 December gives just £1, it will have a significant impact on BAILII's ability to continue providing free access to the law.
Thank you very much for your support!



BAILII [Home] [Databases] [World Law] [Multidatabase Search] [Help] [Feedback]

Statutory Rules of Northern Ireland
You are here: BAILII >> Databases >> Statutory Rules of Northern Ireland >> The Pension Protection Fund (Pension Compensation Cap) Order (Northern Ireland) 2007 No. 211
URL: http://www.bailii.org/nie/legis/num_reg/2007/20070211.html

[New search] [Help]

STATUTORY RULES OF NORTHERN IRELAND

2007 No. 211

PENSIONS

The Pension Protection Fund (Pension Compensation Cap) Order (Northern Ireland) 2007

  Made 23rd March 2007 
  Coming into operation 1st April 2007 

This Order is made in exercise of the powers conferred by Article 287(3) of, and paragraphs 26(7) and 27 of Schedule 6 to, the Pensions (Northern Ireland) Order 2005[1].

     The Secretary of State for Work and Pensions has made an Order[2] under section 315(5) of, and paragraphs 26(7) and 27(2) and (3) of Schedule 7 to, the Pensions Act 2004[3].

     Accordingly the Department for Social Development makes the following Order:

Citation and commencement
     1. This Order may be cited as the Pension Protection Fund (Pension Compensation Cap) Order (Northern Ireland) 2007 and shall come into operation on 1st April 2007.

The compensation cap
     2. The amount specified for the purposes of paragraph (a) of the definition of "the compensation cap" in paragraph 26(7) of Schedule 6 to the Pensions (Northern Ireland) Order 2005 (pension compensation provisions) shall be £29,928.56.

Revocation
     3. The Pension Protection Fund (Pension Compensation Cap) Order (Northern Ireland) 2006[4] is revoked.



Sealed with the Official Seal of the Department for Social Development on


23rd March 2007

L.S.


John O'Neill
A senior officer of the Department for Social Development

EXPLANATORY NOTE

(This note is not part of the Order)


The Board of the Pension Protection Fund ("the Board") is established by section 107 of the Pensions Act 2004 ("the Act") to provide compensation for members of certain occupational pension schemes in the event of the insolvency of the scheme's sponsoring employer and where the pension scheme is underfunded at a certain level.

The compensation cap is an amount used by the Board to determine the amount of compensation payable to a person who is under normal pension age on the assessment date (as described in paragraphs 2 and 34 of Schedule 6 to the Pensions (Northern Ireland) Order 2005 ("the Order")) and whose compensation is not derived from a pension payable on the grounds of ill health or a survivor's pension. The compensation cap is used to determine the amount of compensation payable when that amount is restricted in accordance with paragraph 26 of Schedule 6 to the Order.

Paragraph 26(7) of Schedule 6 to the Order sets out the definition of "the compensation cap". This Order, which corresponds to an Order (S.I. 2007/989) made by the Secretary of State for Work and Pensions under section 315(5) of, and paragraphs 26(7) and 27(2) and (3) of Schedule 7 to, the Act, specifies the amount of the compensation cap for the purposes of paragraph (a) of that definition as £29,928.56 (Article 2). It also makes a consequential revocation (Article 3).

Notes:

 [1] S.I. 2005/255 (N.I. 1); see paragraph (a) of the definition of "the compensation cap" in paragraph 26(7)back

[2] S.I. 2007/989back

[3] 2004 c. 35back

[4] S.R. 2006 No. 50back


ISBN 978 0 337 96965 2


 © Crown copyright 2007

Prepared 4 April 2007

BAILII: Copyright Policy | Disclaimers | Privacy Policy | Feedback | Donate to BAILII
URL: http://www.bailii.org/nie/legis/num_reg/2007/20070211.html