Commentary on Sections Summary The Levy Section 179: Valuations to determine scheme underfunding
654.This section sets out the way in which valuations will determine scheme underfunding for the purposes of calculating the risk-based pension protection levy. Subsection (1) allows for regulations to require trustees or managers of each scheme to provide the Board with an actuarial valuation of the scheme or any other information the Board may require in respect of the assets and protected liabilities of the scheme at such intervals or times as may be determined by regulations.
655.Subsection (3) allows for regulations to prescribe how the assets and protected liabilities of schemes and their amount or value are to be determined, calculated and verified. Subsection (4) states that subject to any provision made under subsection (3) those matters should be determined, calculated and verified with guidance issued by the Board. Subsection (5) provides that where a scheme has a rule saying that its liabilities are limited to the amount of its assets, this rule is to be disregarded Subsection (6) states that any reference to “assets” does not include assets relating to money purchase benefits.