Commentary on Sections Summary Section 286: Financial assistance scheme for members of certain pension schemes
1145.Subsection (1) requires the Secretary of State, through regulations, to establish a system of financial support to, or in respect of, qualifying members of qualifying pension schemes to be known as the "financial assistance scheme".
1146.Subsection (2) defines “qualifying member”, “qualifying pension scheme” and “scheme’s pension liabilities” for the purposes of the section.
1147.Subsection (3) is an inclusive list of matters that may be covered by regulations under subsection (1):
	Subsection (3)(a) allows for regulations to provide for the financial assistance scheme to be managed by the Secretary of State or by another person or body;
	Subsection (3)(b) allows for regulations to permit the person appointed to manage the financial assistance scheme to manage and apply the funds in accordance with the regulations. If the financial assistance scheme is set up as a trust, the regulations may specify that the manager is to manage and apply the funds in accordance with the deed of trust.
	Subsection (3)(c) allows for regulations to permit the financial assistance scheme to take over the funds and liabilities of qualifying pension schemes and to govern the circumstances under which this may occur. Where this occurs, the regulations may allow for the pension scheme trustees to be discharged of their liabilities.
	Subsection (3)(d) allows for regulations to specify the conditions that must be met before a payment is made and that this payment may be made either directly to the qualifying member or to a third party on his behalf. It also allows for regulations to lay down the way the amount to be paid is calculated. If the financial assistance scheme is set up as a trust, the regulations may allow for these matters to be covered by the deed of trust.
	Subsection (3)(e) allows for regulations to authorise the Secretary of State to pay grants to the financial assistance scheme.
	Subsection (3)(f) allows for regulations to govern the circumstances under which money is paid into or out of the financial assistance scheme.
	Subsection (3)(g) allows for regulations to make provision for or in connection with both reviews of and appeals from decisions made in connection with the financial assistance scheme and the investigation of complaints of maladminstration. The amendment would also allow for an appeals body to be established through regulations.
	Subsection (3)(h) allows for regulations to give the Regulator or the Board of the Pension Protection Fund certain functions in relation to the financial assistance scheme.
	Subsection (3)(i) allows for regulations to allow for the exercise of discretion in relation to any matter concerning the financial assistance scheme.
	Subsection (3)(j) allows for regulations to apply any provision of Part 1 or Part 2 of this Act to the financial assistance scheme and for those provisions to apply with modifications where they are so applied.
1148.Subsection (5) prevents regulations under subsection (1) funding the financial assistance scheme by imposing a compulsory levy or charge, on any person.
1149.Subsections (6) and (7) prevent regulations under subsection (1), where they determine whether payments are to be made to or in respect of qualifying members and the amounts of those payments, from taking account of any income or capital that the qualifying member has, other than that deriving from the qualifying pension scheme of which he is, or was, a member.
1150.Subsection (8) allows for the period during which a person or scheme must meet conditions to qualify for assistance to include a period before the Pensions Act 2004 was passed.