The PPF is run by an independent Board and accountable to Parliament through the Secretary of State for the Department for Work and Pensions.
The PPF does not automatically take on the responsibility for a DB scheme as soon as their employer suffers an insolvency event.
• If a member is an early retiree or under the normal pension age of the scheme, they will receive 90 per cent of what they were.
Member compensation will remain stable and not change if there are no inflationary increases or if there is a fall in inflation too.
One of the PPF's four sources of funding is a levy charged to all eligible defined benefit schemes.
Similar to an insurance premium the amount each scheme pays is based on the risk it could present.
The PPF will then take a 12-month average of these scores between April and March and place the scheme's sponsoring employer(s) in one of ten levy bands.