UK - The Pension Protection Fund will reduce the cap on its risk-based levy to 0.5% of liabilities.
In its consultation on the 2010/11 levy, published today, the lifeboat fund said the move would help protect 10% of the schemes which pay the levy - an increase from the 5% of vulnerable schemes protected under the previous cap of 1%.
PPF chief executive Alan Rubenstein said: "We now want to help further ease the burden on employers and pension schemes during these difficult times for business.
"That is why, to help protect more of the most vulnerable schemes, we decided to reduce the cap on the amount of risk-based levy schemes pay. This means that these schemes will not pay a risk-based levy of more than 0.5% of their PPF liabilities."
He added: "Also, all schemes will pay less than they would have done if we had allowed the levy to rise to reflect the true level of risk we face."
The PPF also confirmed it would keep the 2010/11 levy at £700m indexed to wages - a total of £720m.
As part of the consultation, the PPF also proposed a levy scaling factor, which schemes can use to calculate their individual levy bills, of 1.64 - a reduction on the .22 figure being used for 2009/10, reflecting the decline in scheme funding seen during 2008/09.
In addition to this the PPF has also announced a new style draft levy determination for the 2010/11 year.
The PPF said it had rewritten the document to improve its structure, make it more accessible and simplify one or two particularly complex provisions.
It said it was also publishing practice guidance to help levy-payers understand more clearly how it would normally propose to exercise the limited discretions it retains within the determination and why.
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