{
  "url": "https://openlegislation.uk/pensions-act-2014-pension-protection-fund-increased-compensation-cap-for-long-service-pension-compensation-sharing-on-divorce-transitional-provision-order-2017/article-2",
  "json_url": "https://openlegislation.uk/pensions-act-2014-pension-protection-fund-increased-compensation-cap-for-long-service-pension-compensation-sharing-on-divorce-transitional-provision-order-2017/article-2.json",
  "legislation": "uksi/2017/301",
  "legislation_title": "The Pensions Act 2014 (Pension Protection Fund: Increased Compensation Cap for Long Service) (Pension Compensation Sharing on Divorce) (Transitional Provision) Order 2017",
  "legislation_url": "https://openlegislation.uk/pensions-act-2014-pension-protection-fund-increased-compensation-cap-for-long-service-pension-compensation-sharing-on-divorce-transitional-provision-order-2017",
  "path": "article/2",
  "kind": "article",
  "number": "2",
  "heading": "Transitional provision in connection with the Pension Protection Fund: increased compensation cap for long service and compensation sharing on divorce etc.",
  "text": "(1) This article applies in relation to a person if—\n(a) compensation is payable under Chapter 1 of Part 3 of the 2008 Act (pension compensation on divorce etc.); and\n(b) the compensation is restricted in accordance with regulations made under paragraph 18 of Schedule 5 to that Act (compensation cap).\n(2) Part 3 of Schedule 20 to the 2014 Act (effect of change in transitional cases) has effect in relation to a person to whom this article applies as it has effect in relation to compensation payable under Schedule 7 to the 2004 Act (pension compensation provisions) subject to the following modifications.\n(3) Paragraph 8 (recalculation of periodic compensation going forwards) has effect as if the reference in—\n(a) sub-paragraph (1)(a) to compensation under paragraph 3, 11 or 15 of Schedule 7 to the 2004 Act (which relate to compensation payable to, respectively, pensioners, active members and deferred members) were to compensation under paragraph 4 or 6 of Schedule 5 to the 2008 Act (compensation payable to transferee);\n(b) sub-paragraph (1)(b) to the restriction in paragraph 26 of Schedule 7 to the 2004 Act (compensation cap) were to the restriction in regulations made under paragraph 18 of Schedule 5 to the 2008 Act (compensation cap);\n(c) sub-paragraph (2) to the protected pension rate were, in both places where that reference appears, a reference to the initial annual rate of compensation for the purposes of paragraph 4 or 6 of Schedule 5 to the 2008 Act; and\n(d) sub-paragraph (5) to paragraph 28 of Schedule 7 to the 2004 Act (annual increase in periodic compensation) were to paragraph 17 of Schedule 5 to the 2008 Act (annual increase in periodic compensation).\n(4) Paragraph 9 (new cap does not generally affect old payments) has effect as if—\n(a) the reference to periodic compensation were a reference to periodic compensation within paragraph 4 or 6 of Schedule 5 to the 2008 Act; and\n(b) sub-paragraph (1)(b) and the definition of “lump sum compensation” in sub-paragraph (2) were omitted.\n(5) Paragraph 10 (survivors’ compensation) has effect as if the reference to—\n(a) paragraph 4(3), 13(3) or 18(3) of Schedule 7 to the 2004 Act were to paragraph 5(3) or 7(3) of Schedule 5 to the 2008 Act (compensation payable to widow, widower or surviving civil partner); and\n(b) paragraph 8 were to that paragraph as modified by this Order.\n(6) Paragraph 11 (cases involving early payment or postponement of compensation) has effect as if the reference to—\n(a) paragraph 25 of Schedule 7 to the 2004 Act (early payment of compensation) were to paragraph 10 of Schedule 5 to the 2008 Act (early payment of compensation); and\n(b) paragraph 25A (of Schedule 7 to the 2004 Act) (postponement of compensation) were to paragraph 16A of Schedule 5 to the 2008 Act (postponement of compensation).\n(7) Paragraph 12 (recalculation of terminal illness lump sums given in the past year) has effect as if the reference in—\n(a) sub-paragraph (1)(a) to paragraph 25E of Schedule 7 to the 2004 Act (terminal illness lump sum: effect of successful application) were to paragraph 15 of Schedule 5 to the 2008 Act (terminal illness lump sum: effect of successful application);\n(b) sub-paragraph (1)(b) to the restriction in paragraph 26 of Schedule 7 to the 2004 Act were to the restriction in regulations made under paragraph 18 of Schedule 5 to the 2008 Act (pension compensation payable on discharge of pension compensation credit); and\n(c) sub-paragraph (2) to Schedule 7 to the 2004 Act were to Schedule 5 to the 2008 Act.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "Paragraph 18 is amended by section 50 of, and paragraph 7 of Schedule 20 to, the Pensions Act 2014 (c. 19) (“the 2014 Act”) with effect from 6th April 2017."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "Paragraph 3 was amended by section 122 of, and paragraphs 1 and 2 of Schedule 8 to, the Pensions Act 2008 (c. 30) (“the 2008 Act”) and by section 22 of, and paragraph 37(1) and (2) of Schedule 4 to, the Pensions Act 2011 (c. 19) (“the 2011 Act”); paragraph 11 was amended by section 122 of, and paragraphs 1 and 4 of Schedule 8 to, the 2008 Act and by section 22 of, and paragraphs 21 and 23(5) of Schedule 4 to, the 2011 Act; paragraph 15 was amended by section 122 of, and paragraphs 1 and 7 of Schedule 8 to, the 2008 Act and by section 22 of, and paragraphs 21 and 23(7) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f3",
      "text": "Paragraphs 4 and 6 were amended by section 22 of, and paragraphs 29 and 31 of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f4",
      "text": "Paragraph 26 was amended by section 22 of, and paragraphs 21 and 23(9) of Schedule 4 to, the 2011 Act and (with retrospective effect) by section 51 of the 2014 Act and is amended by section 50 of, and paragraphs 1, 2, 4 and 6(1) and (3) of Schedule 20 to, the 2014 Act with effect from 6th April 2017."
    },
    {
      "type": "footnote",
      "label": "f5",
      "text": "Paragraph 28 was amended by sections 20(1) to (3) and 22 of, and paragraphs 21, 19(1) and (3)(d), 21 and 27 of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f6",
      "text": "Paragraph 17 was amended by sections 20(5) to (7) and 22 of, and paragraphs 29 and 35 of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f7",
      "text": "Paragraphs 13(3) and 18(3) were amended by section 22 of, and paragraphs 21 and 24(3) and (4) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f8",
      "text": "Paragraph 5 was amended by section 22 of, and paragraphs 29 and 32(1) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f9",
      "text": "Paragraph 7 was amended by paragraphs 2, 29 and 32(2) of Schedule 4 to, the 2011Act."
    },
    {
      "type": "footnote",
      "label": "f10",
      "text": "Paragraph 25 was amended by section 122 of, and paragraphs 1 and 12 of Schedule 8 to, the 2008 Act and by section 22 of, and paragraph 19(1) and (3) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f11",
      "text": "Paragraph 25A was substituted by section 22 of, and paragraphs 21 and 22 of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f12",
      "text": "Paragraph 16A was inserted by section 22 of, and paragraphs 29 and 30(2) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f13",
      "text": "Paragraph 25E was inserted by section 122 of, and paragraphs 1 and 14 of Schedule 8 to, the 2008 Act and amended by section 22 of, and paragraphs 21 and 26(2) of Schedule 4 to, the 2011 Act."
    },
    {
      "type": "footnote",
      "label": "f14",
      "text": "Paragraph 15 was amended by the section 22 of, and paragraphs 29 and 34(2) of Schedule 4 to, the 2011 Act."
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2017/301/article/2",
    "retrieved_at": "2026-10-28T23:13:48.930069+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."
}