Section 27 — Pensions Act 2004: Effect of determination to wind up scheme on freezing order

Effect of determination to wind up scheme on freezing order 27 1 This section applies where—

a the Regulator determines to make an order under section 11 of the Pensions Act 1995 (c. 26) (power to wind up occupational pension schemes) in relation to a scheme (“ a winding up order ”),

b that determination is made during the period for which a freezing order has effect in relation to the scheme, c the case is not one to which the special procedure in section 98 applies (immediate exercise of powers where immediate risk to assets etc),

and d the winding up order accordingly cannot be made until the expiry of the period specified in section 96(5) (no exercise during period of referral to the Tribunal etc).

2 In such a case the freezing order is to continue to have effect until—

a where the winding up order is made, it ceases to have effect under section 28 from the time when that order is made, or b the determination to make the winding up order is revoked.

3 Subsection (2) is subject to the Regulator’s power under section 101 to revoke the freezing order at any time.