2019/20 Pension Protection Levy Consultation
BSPS Response to PPF Consultation
The Pension Protection Fund (“PPF”) has invited comments on the basis on which it charges its levy for 2019/20. A copy of the consultation document can be found here.
As part of the recent Regulated Apportionment Arrangement (“RAA”) discussions, the Trustee at that time had cause to consider whether or not it might be possible to establish a stand-alone scheme without Tata Steel UK Limited as sponsor. Such arrangements are referred to as “schemes without a substantive sponsor” or “SWOSS” and can be an alternative to entry into the PPF. This option was not progressed however it did provide the Trustee with first-hand experience of how the SWOSS levy regulations apply in practice. In responding to the PPF consultation, the Trustee hopes that the Scheme’s experience might be of benefit to both the PPF and to other schemes and employers considering an RAA and so to help to minimise unnecessary calls on the PPF from schemes that may otherwise be able to find a sustainable alternative for their members.
The BSPS is sponsored by Tata Steel UK Limited and therefore not itself covered by the SWOSS levy provisions.
A copy of the Trustee’s submission can be found here.