contracting out certificate

The certificate issued by HMRC, in respect of an occupational pension schemewhich satisfies the conditionsfor contracting out.

compromise agreement

A legal agreement, the effectof which is to reduce the amount of the debt due from a sponsoring employer to a scheme under section 75 of the Pensions Act 1995.
Where a compromise agreement has been reached, a scheme will not usually be eligible for PPF compensation, unless the PPF agreed to the compromise at the time it was made.

commutation factors

Commutation factors dictate the extent to which pension benefits are increased or reduced by late or early retirement. They also determine the relationship between the lump sum taken (if any) and the level of the remaining pension.

combined code

The combined code on corporate governance sets out standards of good practice in relation to issues such as board composition and development, remuneration, accountability and audit and relations with shareholders. The code was devised and is maintained by the Financial Reporting Council.

combined code

The combined code on corporate governance sets out standards of good practice in relation to issues such as board composition and development, remuneration, accountability and audit and relations with shareholders. The code was devised and is maintained by the Financial Reporting Council.

codes of practice

The Pensions Regulator's codes of practice give practical information about how trustees can comply with legal requirements, andset out the standards of conduct and practice expected.

closed scheme

A pension scheme which does not admit new members. Contributions may or may not continue and benefits may or may not be provided for future service.

closed scheme

A pension scheme which does not admit new members. Contributions may or may not continue and benefits may or may not be provided for future service.

closed scheme

A pension scheme which does not admit new members. Contributions may or may not continue and benefits may or may not be provided for future service.

cash flow

The amount of actual money being received and spent. In the case of a pension scheme, the amount of money being received into the scheme in contributions and investment returns and the amount of money being paid out by the scheme.
In common parlance, in the case of DB schemes, projected cash flows usually refer to cash required in the future by the trustees to pay for pension liabilities when they fall due.