Statutory Instruments
2006 No. 347
PENSIONS
The Pension Protection Fund (Pension Compensation Cap) Order 2006
Made
13th February 2006
Coming into force
1st April 2006
This Order is made in exercise of the powers conferred by paragraphs 26(7) and 27(2) and (3) of Schedule 7 to the Pensions Act 2004( 1 ).
On a review under section 148(2) of the Social Security Administration Act 1992( 2 ) the Secretary of State concluded that the general level of earnings obtaining in Great Britain exceeds the general level by 4.2% at the end of the period taken into account for the last review under that section.
A draft of this instrument has been laid before Parliament in accordance with section 316(2)(s) of the Pensions Act 2004 and approved by a resolution of each House of Parliament.
Accordingly the Secretary of State for Work and Pensions makes the following Order:
Citation and commencement
1. This Order may be cited as the Pension Protection Fund (Pension Compensation Cap) Order 2006 and shall come into force on 1st April 2006.
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 7 to the Pensions Act 2004(pension compensation provisions – compensation cap) shall be £28,944.45.
Revocation
3.The Pension Protection Fund (Pension Compensation Cap) Order 2005( 3 ) is revoked.
Signed by authority of the Secretary of State for Work and Pensions.
Stephen C. Timms
Minister of State,
Department for Work and Pensions
13th February 2006
1992 c. 5 . Section 148(2) was amended by section 37 of the Child Support, Pensions and Social Security Act 2000 (c. 19) .
S.I. 2005/825 .