Pensions UK calls on government to abolish PPF administration levy

Pensions UK (formerly the PLSA) has called on the Government to abolish the PPF administration levy, in a press release on July 3, 2025.

After a two-year pause, the administration levy has begun to be re-billed to schemes. Pensions UK considers that this could undermine the benefits of proposals in the Pension Schemes Bill 2025 to allow the risk-based PPF levy to be reduced to zero. It also refers to the 2022 departmental review of the PPF, which concluded that the administration levy was an "unnecessary complexity" and should be abolished.

As a result, Pensions UK asks the Government to include provisions in the Pension Schemes Bill 2025 to abolish the administration levy and permit the PPF to meet its operating costs "through its own Fund and substantial surplus".