Moved by
Lord Bates
64A: After Clause 47, insert the following new Clause—
“Pension Protection Fund: compensation cap to apply separately to certain benefits
(1) Paragraph 26 of Schedule 7 to the Pensions Act 2004 (Pension Protection Fund: compensation cap) is amended as follows.
(2) In sub-paragraph (1)(b), for “sub-paragraph (2)(a) or (b)” substitute “sub-paragraph (2)(a), (b) or (c)”.
(3) In sub-paragraph (2)(a)(ii), for “paragraph (b)(i) does not apply” substitute “neither of paragraphs (b) and (c) applies”.
(4) In sub-paragraph (2)(b)—
(a) before paragraph (i) insert—
“(zi) benefit A is attributable to the person’s pensionable service,”;
(b) in paragraph (i), after “one or more other benefits” insert “that are attributable to his pensionable service”.
(5) In sub-paragraph (2), after paragraph (b) insert “, and
(c) this paragraph applies if—
(i) benefit A is attributable to a pension credit from a transferor,
(ii) at the same time as the person becomes entitled to relevant compensation in respect of benefit A he also becomes entitled to relevant compensation in respect of one or more other benefits that are—
(iia) under the scheme or a connected occupational pension scheme, and
(iib) attributable to a pension credit from the same transferor,
(“benefit or benefits B”), and
(iii) the aggregate of the annual values of benefit A and benefit or benefits B exceeds the compensation cap.”
(6) In sub-paragraph (5), after “sub-paragraph (2)(b)” insert “or (c)”.
(7) The amendments made by this section are to be treated as always having had effect.”