{
  "url": "https://openlegislation.uk/draft-pension-protection-fund-pension-compensation-cap-order-2008/note",
  "json_url": "https://openlegislation.uk/draft-pension-protection-fund-pension-compensation-cap-order-2008/note.json",
  "legislation": "ukdsi/2008/9780110810072",
  "legislation_title": "The Pension Protection Fund (Pension Compensation Cap) Order 2008",
  "legislation_url": "https://openlegislation.uk/draft-pension-protection-fund-pension-compensation-cap-order-2008",
  "path": "note",
  "kind": "note",
  "number": null,
  "heading": "Explanatory note",
  "text": "(This note is not part of the Order)\nThis Order specifies the amount of the compensation cap for the purposes of paragraph 26(7) of Schedule 7 to the Pensions Act 2004 (c.35) (“the Act”), in accordance with paragraph 27(2) and (3) of that Schedule (article 2).\nThe Board of the Pension Protection Fund is established by section 107 of 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.\nThe compensation cap is an amount used by the Board of the Pension Protection Fund 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 7 to the Act) 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 7 to the Act.\nThe Pension Protection Fund (Pension Compensation Cap) Order 2007 (S.I. 2007/989) is revoked (article 3).\nA full impact assessment has not been produced for this instrument as it has no impact on the costs of business, charities or the voluntary sector.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukdsi/2008/9780110810072/note",
    "retrieved_at": "2026-10-30T15:16:48.162718+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}