Regulation 50 Protected liabilities and assessment period

Section 131 of the Act (protected liabilities) shall be modified in its application to a segregated part to which regulation 45 applies so that it shall be read as if, for subsection (1), there were substituted the following subsection—

“(1)

Except as otherwise provided, for the purposes of this Chapter the protected liabilities, in relation to a segregated part of a non-segregated scheme which is, for the purposes of this Part, an eligible scheme, at a particular time (“the relevant time”) are—

(a)

the cost of securing benefits for and in respect of members of the segregated part which correspond to the compensation which would be payable, in relation to members of that part in accordance with the pension compensation provisions (see section 162) if the Board assumed responsibility for the segregated part in accordance with this Chapter,

(b)

a proportion of the liabilities of the scheme as a whole, as calculated in the Board's valuation under section 143, which are not liabilities to, or in respect of, members,

(c)

the estimated cost of winding up the segregated part.”.

Section 132 of the Act (assessment periods) shall be modified in its application to a segregated part to which regulation 45 applies so that it shall be read as if, after the words “an assessment period” in subsection (2), there were inserted the words “ in relation to a segregated part of a non-segregated scheme ”.