Section 223 — Pensions Act 2004: Statement of funding principles

Statement of funding principles 223 1 The trustees or managers must prepare, and from time to time review and if necessary revise, a written statement of—

a their policy for securing that the statutory funding objective is met, and b such other matters as may be prescribed. This is referred to in this Part as a “ statement of funding principles ”.

2 The statement must, in particular, record any decisions by the trustees or managers as to—

a the methods and assumptions to be used in calculating the scheme’s technical provisions, and b the period within which, and manner in which, any failure to meet the statutory funding objective is to be remedied.

3 Provision may be made by regulations—

a as to the period within which a statement of funding principles must be prepared, and b requiring it to be reviewed, and if necessary revised, at such intervals, and on such occasions, as may be prescribed.

4 Where any requirement of this section is not complied with, section 10 of the Pensions Act 1995 (c. 26) (civil penalties) applies to a trustee or manager who has failed to take all reasonable steps to secure compliance.