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Explanatory note

Original text. Later amendments are not shown.

(This note is not part of the Regulations)

These Regulations make amendments to the Occupational Pension Schemes (Fraud Compensation Levy) Regulations 2006 (S.I. 2006/558) and the Occupational Pension Schemes (Master Trusts) Regulations 2018 (S.I. 2018/1030).

The fraud compensation levy is paid by occupational pension schemes and is used to fund the Fraud Compensation Fund, which makes payments to certain schemes that have lost money as a consequence of fraud.

Regulation 3 amends the Occupational Pension Schemes (Fraud Compensation Levy) Regulations 2006 to set out the maximum fraud compensation levy that may be raised in any one financial year. It sets out a maximum fraud compensation levy of 65 pence per member for Master Trust schemes and £1.80 per member for all other occupational pension schemes.

Regulation 4 revokes regulation 23(2)(c) of the Occupational Pension Schemes (Master Trusts) Regulations 2018.

An impact assessment has not been published for these regulations as it amends an existing statutory regime and the associated administrative costs are negligible.