Fund suspension of pension levy billing by Pension Protection Fund
Pension Schemes Bill Progresses Through Parliament, Awaiting Committee Stage
As of late August 2025, the Pension Schemes Bill is still progressing through the UK Parliament. Introduced on June 5, 2025, the Bill had its second reading by July 7, 2025, and is currently awaiting detailed scrutiny by the Public Bill Committee later in 2025. After this stage, it will undergo further parliamentary stages before it can become law.
The Pension Schemes Bill is a significant factor in determining the Pension Protection Fund's (PPF) levy decisions. Regarding its impact on the PPF's conventional levy for the 2025/2026 financial year, the Bill includes provisions to allow the PPF to reduce the levy it collects, reflecting its reserve funds. However, since the Bill is not yet law and requires implementing regulations, changes to the PPF levy will not be immediate or automatic for this financial year but are expected to take effect once the legislation and subsequent regulations are fully in place.
The PPF's levy rules for the 2025/2026 financial year have provisions for the calculation of a zero conventional levy, should legislative changes be made. The PPF will not charge a conventional levy if appropriate legislative changes are brought forward and sufficiently progressed in 2025/2026.
The committee stage of the Pension Schemes Bill in the House of Commons is an important step in its progress. Scheduled to begin on September 2, 2025, this stage will allow for detailed examination of the Bill and potential amendments. The PPF expects to provide an update on its levy invoicing in the Autumn, assuming legislative changes are made.
The Society of Pension Professionals supports most of the Bill but has voiced concerns about certain powers included, specifically regarding mandating private market investments. This reflects ongoing scrutiny and potential amendments during the Bill's parliamentary process.
In summary, while the Pension Schemes Bill aims to reduce the PPF levy by leveraging its reserves, this impact will only materialize after the Bill fully passes Parliament and further regulations are issued, not yet for the 2025/2026 financial year.
References:
- House of Commons Library
- Pension Protection Fund
- Pension Schemes Bill
- Pension Schemes Bill Explanatory Notes
- Pension Expert
Read also:
- Susanne Otto to Develop Additional Housing Units
- Deepwater Port Construction Permits for Projects within the South Central Region's Air Regulations
- Citizen Thekla Walker, Minister, urges: "Let's face our responsibilities at home"
- Editorial Correspondence: Justifying the Elimination of a Program Earmarked for Reducing Our Own Carbon Footprint?
