Pensions Act, 1990

Direction by Board to trustees.

50.—(1) The Board may, by notice in writing, direct the trustees of a scheme to take such measures as may be necessary to reduce, in respect of members of the scheme then in relevant employment, the benefits which would be payable to or in respect of them from the scheme where—

(a) the trustees of the scheme fail to submit an actuarial funding certificate within the period specified in section 43 , or

(b) the actuarial funding certificate certifies that the scheme does not satisfy the funding standard and the trustees of the scheme have not submitted a funding proposal in accordance with section 49 .

(2) The reduction in benefits under subsection (1) shall be such that the scheme would, in the opinion of the actuary concerned, satisfy the funding standard in accordance with section 44 immediately following the reduction.

(3) Where the Board gives a direction under subsection (1), the trustees of the scheme shall—

(a) notify the members of the scheme of the reduction in benefits within a period of 2 months, or such longer period as the Board considers appropriate,

(b) within a further period of one month, submit to the Board—

(i) details of the reduction in benefits including copies of the notifications issued to members of the scheme, and

(ii) an actuarial funding certificate certifying that at the effective date, being the date of the reduction in benefits, the scheme satisfies the funding standard.