The Pensions Regulator

Clearance

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How to apply

124. An applicant may apply by completing an application form, available on our website: Online services / Forms for download, enclosing the associated information and documents. All this should be sent electronically to: clearance@thepensionsregulator.gov.uk
     
     or by post to:
     
     Corporate Risk Management
     The Pensions Regulator
     Napier House
     Trafalgar Place
     Brighton
     BN1 4DW
     
     

     Information and documents to be included in an application

125. Any application should include full and accurate disclosure of relevant information. Clearance statements will only be effective in relation to the event detailed in the application. Before a clearance statement is granted, the substance of the application may be revised.  A clearance statement will not bind the regulator if the circumstances giving rise to the regulator's powers to issue a contribution notice or a financial support direction (as appropriate) are materially different from the circumstances described in the application.
126. To allow the regulator to consider an application, relevant documents should be attached to the application form, examples of which are listed below.

     Corporate documents

127. To be provided with all applications:
     • family tree showing composition of the wider employer group, and identifying the employers;
     • table showing the estimated outcome for creditors pre and post event, both at group level and employer level on an ongoing and an insolvent basis;
     • latest statutory accounts of all relevant entities (additionally latest draft accounts where prepared).
       
       If any of these documents are not provided applicants should provide an explanation of why the document is not relevant to the application.
128. To be provided where relevant:
     • relevant correspondence with key stakeholders regarding the event (for example negotiations with trustees);
     • financial forecasts/management accounts for all relevant entities;
     • financial and other reports relevant to the event for which a clearance statement is being sought and the employer's viability;
     • fair value reports or opinions, where the event for which a clearance statement is being sought involves a related party transaction;
     • up-to-date valuation of significant assets of particular relevance to the employer or other applicants, the event or the scheme;
     • details of debt and any other creditor that ranks above the scheme;
     • details of intra-group balances and guarantee arrangements; and
     • summary of related party transactions not disclosed in the statutory accounts provided.

     Sheme informaton and documents

129. To be provided with all applications:
     • any relevant documents relating to the effect of the event on the scheme or actions to be taken to improve the position of the scheme;
     • any independent reports that the trustees have commissioned in respect of the events described in the application;
     • where trustees have not taken independent professional advice, the document recording this decision, as well as the trustees' views of the events described in the application;
     • a copy of the current and complete winding-up power from the scheme's trust deed and rules;
     • a copy of the current and complete power to set contributions from the scheme's trust deed and rules;
     • a copy of the most recent actuarial valuation of the scheme and, where applicable, recovery plan and schedule of contributions;
     • a copy of the assumptions used in assessing the scheme deficit on an FRS17/IAS19 basis, where relevant;
     • a copy of any withdrawal arrangement relating to the scheme;
     • a copy of any relevant proposed rule amendments relating to the event; and
     • a copy of any existing apportionment rule from the scheme's trust deed and rules and any scheme apportionment arrangement
       
       If any of the above documents are not provided applicants should provide an explanation of why that document is not relevant to the application. Parties may wish to send confidential documents such as legal advice and minutes of trustee meetings directly to the regulator. The regulator will not disclose such documents to the applicants without the relevant parties' consent.
130. Applications should only contain relevant information. Lengthy submissions will increase the time it takes us to consider an application. Extracts or summaries of documents should be provided whenever possible. As a general principle, information provided to the regulator should be similar to the amount of information and level of detail provided to non-executive directors of a quoted company to allow them to make informed decisions.
131. Documents attached to an application should be clearly indexed and referred to in the application form where appropriate.
     

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