Changes to Pension Protection Fund valuation assumptions for Smaller Schemes

The PPF has published its response to its recent consultation on changes to the actuarial assumptions for section 143 and section 152 valuations. 

These valuations relate to smaller schemes with less than £50 million in liabilities. On the previous assumptions, such schemes could have been overfunded and therefore ineligible for PPF entry. They could still, however, have been unable to obtain an affordable buy-out quotation for PPF levels of compensation.

The proposed changes came into effect on May 31, 2024.