Section 143 valuations
This guidance is relevant for actuaries completing a valuation to determine a scheme's funding level in line with Section 143 of the Pensions Act 2004.
Valuation guidance
On this page, you'll find all the guidance you need to complete a valuation in line with sections 143, 152, 156, 158 and 179 of the Pensions Act 2004.
After a qualifying insolvency event an actuary should submit an s143 valuation to us. This should include the appropriate guidance, assumptions and certificate.
Guidance
Additional information for carrying out a Section 143 valuation (issued November 2021)
Information for valuing benefits in respect of the Hampshire, Hughes and Bauer judgments in a section 143 valuation - this information note equally applies to section 152, section 156 and section 158 valuations.
Assumptions
Certificate
As set out in our guidance, complete and include the S143 certificate in your valuation return:
Certificate for the Purposes of section 143 of the Pensions Act 2004
Please provide an electronic Excel version of the completed data and liability spreadsheet when submitting s143 valuations. If prompted, save the spreadsheet rather than opening.
For s143 valuation assumptions B10 or later, please submit Data and Liability Information spreadsheet (section 143 valuations, version B10)
For s143 valuation assumptions B7 or later, please submit Data and Liability Information spreadsheet (section 143 valuations, version B7, B8 and B9).
For s143 valuation assumptions B6 or earlier, please submit Data and Liability Information spreadsheet (Section 143 valuations, version B6 and earlier).
In July 2012, changes to the Pensions Act 2004 - the Pension Protection Fund (Miscellaneous Amendments) Regulations 2012 – came into effect. These changes mean that we can request that actuaries provide an estimate of the protected liabilities and assets for the scheme instead of a section 143 valuation.
Our statement on setting out how we will make a funding determination includes guidance for actuaries who are providing the estimate as well as setting out how we’ll make our funding determination.
For s143 valuation assumptions B9 or later, submit Certificate of estimate for our funding determination purposes (version B9).
Please note: an electronic Excel version of the completed certificate must be provided – if prompted, save the spreadsheet rather than opening it.
For s143 assumptions B7 or B8, please submit Certificate of estimate for PPF funding determination purposes (version B7 and B8).
For s143 assumptions B6 or earlier, please submit Certificate of estimate for PPF funding determination purposes (version B6 and earlier).
Section 152 valuations
This guidance is relevant for actuaries undertaking a valuation in accordance with section 152 of the Pensions Act 2004 for a reconsideration application under s151.
Section 156 valuations
This guidance is relevant for actuaries undertaking a valuation of a closed scheme in accordance with section 156 of the Pensions Act 2004.
Section 158 valuations
Due to the very small number of Section 158 valuations, we’ve decided not to issue formal guidance on this. If you have any questions about this, or need a copy of the formal s158 certificate, please contact your actuarial contact.
Section 179 valuations
This guidance is relevant for actuaries completing a section 179 valuation to calculate a schemes’ funding position.
We use the result of your valuation to calculate the scheme’s levy. We also combine all the s179 valuations for eligible schemes so that we can assess the general level of scheme underfunding, which we use to set the levy quantum and scaling factor.
Guidance
Assumptions
Certificate
Certificate required under section 179 valuation
Please note: This certificate, which forms part of the actuary’s s179 valuation report, should be given to the scheme’s trustees and not sent directly to us. The information from the certificate should form part of the annual scheme return, which will be sent to us via the Pension Regulator’s Exchange system.