Understanding how the Pension Protection Fund would consider a previous lump sum payment

Wobble101

I will start drawing from a deferred DB scheme next year and have been wondering what would happen should the scheme end up in the PPF.

In terms of likelihood, I’m confident this isn’t imminent or inevitable but the organisation is in a troubled sector. 

My question is about lump sum payments and how/whether the PPF takes these into account. 

My understanding is that, pre-scheme retirement age, payments would be reduced to 90%. But if these payments had been accompanied by a lump sum payment (and so reduced accordingly) would this make any difference. If it doesn’t make a difference then taking an advance lump sum does seem advantageous in my situation. 

I’ve had a look online but am struggling to find anything about this particular scenario. 

Many thanks. 

molerat

The PPF would pay according to the rules on a pension in payment, either 100% or 90% depending on the particular circumstances.  The commencement lump sum does not come into the equation.

Wobble101

Many thanks @molerat. Have you come across anything that states that definitively? It could make the difference for me between deciding whether or not to take a lump sum.