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Statutory Instruments

2020 No. 101

Pensions

The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling and Compensation Cap) Order 2020

Made

30th January 2020

Laid before Parliament

3rd February 2020

Coming into force in accordance with article 1(2) to (4)

M1 The Secretary of State for Work and Pensions makes the following Order in exercise of the powers conferred by sections 178(1) and (6) and 315(2) and (5) of, and paragraphs 26A(7) and 27(2) and (3) of Schedule 7 to, the Pensions Act 2004 .

In accordance with section 178(5) of that Act, the Secretary of State has reviewed the general level of earnings obtaining in Great Britain during the period of 12 months ending with 31st July 2019. It appears to the Secretary of State that the general level of earnings has increased by 3.9% during that period.

M2 On a review under section 148(2) of the Social Security Administration Act 1992 , the Secretary of State concluded that the general level of earnings obtaining in Great Britain exceeds by 3.6% the general level at the end of the period taken into account for the last such review under that section.

Citation, commencement and interpretation I1

1. —(1) This Order may be cited as the Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling and Compensation Cap) Order 2020.

(2) This article and article 2 come into force on 12th March 2020.

(3) Article 3 comes into force on 31st March 2020.

(4) Articles 4 and 5 come into force on 1st April 2020.

(5) In this Order, “ the Act ” means the Pensions Act 2004.

The earnings percentage

F12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The levy ceiling

F23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The compensation cap I2

4. The amount specified for the purposes of paragraph (a) of the definition of “the standard amount” in paragraph 26A(7) of Schedule 7 to the Act (pension compensation provisions – meaning of “the compensation cap”) is £41,461.07.

Revocation I3

M35.The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling and Compensation Cap) Order 2019 is revoked.

Signed by authority of the Secretary of State for Work and Pensions

Guy Opperman

Parliamentary Under Secretary of State

Department for Work and Pensions

Status: There are currently no known outstanding effects for the The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling and Compensation Cap) Order 2020.
The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling and Compensation Cap) Order 2020 (2020/101)

Displaying information

Status of this instrument

footnotecommentarytransitional and savingsin force statusrelated provisionsgeo extentinsert/omitsource countin force adj
F1Art. 2 revoked (1.4.2021) by The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling) Order 2021 (S.I. 2021/93) , arts. 1(3) , 3
F2Art. 3 revoked (1.4.2021) by The Pension Protection Fund and Occupational Pension Schemes (Levy Ceiling) Order 2021 (S.I. 2021/93) , arts. 1(3) , 3
I1Art. 1 in force at 12.3.2020, see art. 1(2)
I2Art. 4 in force at 1.4.2020, see art. 1(4)
I3Art. 5 in force at 1.4.2020, see art. 1(4)
M12004 c. 35 . Paragraph 26A was inserted by paragraphs 1 and 3 of Schedule 20 to the Pensions Act 2014 (c. 19) . Paragraph 27(2) was amended by paragraphs 4 and 6 of Schedule 20 to that Act. See also S.I. 2019/159 which set the levy ceiling for the financial year beginning on 1st April 2019.
M21992 c. 5 . Section 148(2) was amended by section 37 of the Child Support, Pensions and Social Security Act 2000 (c. 19) . Paragraph 27(2) of Schedule 7 to the Pensions Act 2004 requires the Secretary of State to make an order increasing the standard amount specified for the purposes of paragraph 26A(7) of that Schedule where on a review under section 148(2) in a tax year, the Secretary of State concludes that the general level of earnings in Great Britain has increased over the relevant period.
M3S.I. 2019/159 .
Defined TermSection/ArticleIDScope of Application
the Actart. 1.legTermly4DuLi7
the compensation capart. 4.the_compen_rt5kOKp
the standard amountart. 4.the_standa_rt9eLk9
This instrument is derived from the version at www.legislation.gov.uk. To see a list of all amendments (including any to be made) check the resources page for this instrument on their website. Note, the status of this instrument is given above.
This instrument is derived from the version at www.legislation.gov.uk. To see original commencement information, check the resources page associated with this instrument. n.b. commencement information for marked amendments is embedded in the relevant footnote.

Status of changes to instrument text

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