Regulation 5 The compensation levyC1
Subject to paragraph (1A), for the purpose of meeting the expenditure of the Compensation Board, the trustees of every registrable occupational pension scheme established by trust, except a scheme to which regulation 3(2)(b) above applies, shall, in respect of each registration year, be liable to pay a levy to the Compensation Board.
No levy shall be payable under paragraph (1) above in relation to a scheme in respect of any registration year—
in which that scheme becomes a registrable scheme; or
which immediately follows a registration year in which that scheme became a registrable scheme.
In these Regulations, the levy payable to the Compensation Board shall be referred to as “the compensation levy".
Paragraph (1) above shall not apply in the case of—
any occupational pension scheme referred to in paragraph (1)(d) to (g) of regulation 2 of the Occupational Pension Schemes (Pensions Compensation Provisions) Regulations 1997 M1 (schemes to which the compensation provisions in sections 81 to 85 of the 1995 Act do not apply); and
any occupational pension scheme in respect of which the employer cannot become insolvent within the meaning given by section 123 of the 1993 Act (interpretation of Chapter II of Part VII of the 1993 Act).
Subject to paragraph (3) above and to regulation 8, where, during a registration year, a scheme to which regulation 5(1) applies—
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
ceases to be a registrable scheme; or
is wound up,
the compensation levy shall nevertheless be payable in full for that year.
Annotations
Textual amendments
- F1
Reg. 5(1) substituted for reg. 5(1)-(1A) by reg. 2(6)(a) of S.I. 1998/600 as from 1.4.98.
- F2
Reg. 5(4)(a) omitted by reg. 2(6)(b) of S.I. 1998/600 as from 1.4.98.
Marginal citations
- M1
Modifications
- C1
Regs. 5-8 applied (1.10.2000) by The Stakeholder Pension Schemes Regulations 2000 (S.I. 2000/1403), regs. 1(2), 32, Sch. 2