Commentary on Sections Part 2 – Collective Benefits Section 24: Payment of amounts out of collective benefit funds
Regulations under this section will ensure that assets held in relation to collective benefits are used to provide those benefits.  However, there is a power to make exceptions to this general rule.  It may be that there are some limited circumstances when it may be appropriate for an employer or some other party to be entitled to some share of any surplus from the scheme. For example, where an employer wishes to assist a collective benefit scheme that falls into difficulty by putting some extra funds in, then to encourage such an action there may be arrangements in place to allow the possibility of full or partial repayment to the employer if the scheme has a future surplus.  Regulations under this section may be similar to existing provisions in Article 37 of the 1995 Order.