How and when to certify and recertify your contingent assets
To get credit for your contingent assets you’ll need to certify them properly on The Pension Regulator's (TPR) Exchange system by midnight on 31 March.
For the 2020/21 levy year, as well as certifying your contingent assets via TPR's Exchange system, because of the Covid-19 outbreak you’ll need to email documents to [email protected] by 5pm on 1 April. Read more about our requirements.
Levy Operations Manager
The Pension Protection Fund
12 Dingwall Road
If we’ve previously recognised contingent assets in your levy calculation, and you want to get levy credit in the coming year, you still need to recertify them online every year.
Current contingent asset standard forms can be downloaded here:
Form - Type A - Contingent Asset Group Guarantee
Form - Type B - Contingent Asset Security Over Cash
Form - Type B - Contingent Asset Security Over Real Estate Northern Ireland
Form - Type B - Contingent Asset Security Over Real Estate Scotland
Form - Type B - Contingent Asset Security Over Securities
Form - Type B - Contingent Asset Security Over Real Estate England and Wales
Form - Type C - Contingent Asset Letter of Credit/Bank Guarantee (Evergreen)
Form - Type C - Contingent Asset Letter of Credit/Bank Guarantee (Reducing Balance)
Guarantees: when to get a guarantor strength report?
If you’re certifying a contingent asset that would, if accepted, reduce your scheme’s levy by £100,000 or more, you’ll need to submit a guarantor strength report from a professional valuer.
If you’re unsure of how the contingent asset will affect your levy invoice, we recommend that you commission a report just in case.
How to recertify existing contingent assets
If we’ve previously recognised contingent assets in your levy calculation, you’ll still need to recertify them on Exchange every year but you won’t need to provide all the hard-copy documents.
However, if the asset is a guarantee that will reduce your levy by £100,000 or more then you’ll need to provide a guarantor strength report every year.
Do you have to recertify contingent assets every year?
You don’t have to recertify your contingent assets if you don’t believe there’ll be a levy benefit next year.
You can recertify in the future, without all the additional requirements of a new certification, if it’s fewer than five years since you last certified them.
How to re-execute contingent assets with a fixed cap
You’ll need to use our new standard form agreements if you entered into or re-executed contingent assets with a fixed cap on or after 18 January 2018. These can be found above.