Regulation 7 Valuation of prescribed member’s benefits

Before making an application for approval as a personal pension scheme, the trustees of a qualifying scheme shall ascertain whether the conversion assets value, in respect of any prescribed member to whom they intend the proposed personal pension scheme to apply, exceeds the permitted amount.

The conversion assets value must be calculated in accordance with normal actuarial practice.

If the conversion assets value in respect of a prescribed member exceeds the permitted amount, regulation 8 applies to that member.

In these Regulations “the permitted amount” means the maximum amount as described in regulation 8(3) of the Personal Pension Schemes (Transfer Payments) Regulations 2001^f1.