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Pension Protection Levy 

The pension protection levy is one of the ways that the PPF funds the compensation payable to members of schemes that transfer to the Pension Protection Fund.

These pages contain information about who has to pay the levy, how it is calculated, how schemes can reduce their levy, and the invoicing process.

You can also access key documents explaining how policy is on the levy is developed, through consultation, on the Policy Development page. On 21 September 2015, the PPF published the consultation and draft Levy Determination (Rules) for the 2016/17 levy.

The changes proposed in this consultation document focus on efforts to reduce burdens on schemes and to improve practical elements of the rules. For example, seeking to simplify the process for re-certifying mortgage exclusions and asset backed contributions. The consultation closes at 5pm on 22 October - responses should be sent to

The full detail of the Levy Determination and its supporting documents for levy year 2015/16 can be viewed on the 2015/16 Levy Determination page.



 Includes Information About

About the Levy 

Scheme-based levy, risk-based levy and other levies

   Specific Levy Year Information

Key information for current and past years

Who Has to Pay

Eligibility and Schemes in Assessment

How the Levy Works

Information used, transformation of s179 data and key elements of calculation

Insolvency Risk 

Calculation of insolvency risk, PPF-specific model and the Pension Protection Score Portal

   Multi-employer Schemes

Use of weighted levy rates for multi-employer schemes

   Incomplete Mean Scores

Use of averaged calculations where Mean Scores not available for all employers

   Scheme Structure

Scheme structure factors for Partial Segregation, Last Man Standing and Centralised Schemes


How underfunding is calculated

Data Deadlines

Data Deadlines for  the 2015/16 Levy

Risk Reduction


   Contingent Assets

Types of Contingent Assets and Guarantor Levy Band adjustment

   Deficit Reduction Contributions

Basis for DRC recognition in levy calculations

Block Transfers

Certification of Block Transfers


Invoicing the 2015/16 levy

   Querying Your Invoice

What to do if you think your invoice is incorrect

Levy Waivers

Who can apply for a waiver and how to do it

Reviews and Appeals

What rights of appeal exist and what is the scope, deadline for appeal etc?



Additional Guidance


Levy Practice Guidance
Guidance on ABCs
Guidance on Bespoke Investment Risk Calculation

Guidance on Block Transfers
Guidance on Contingent Assets
Guidance on Exclusion of Mortgages


Trustees and employers can check their Experian data and scores by logging on to the Pension Protection Score Portal