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The Department for Work and Pensions (DWP) said that it was an opt-in system and that a person needs to receive a letter to register their interest in the scheme before they are eligible.

It said the first letter is sent a week before the start of each financial year, when pensioners are asked to indicate if they do or do not want to benefit from the fund.

If a person doesn’t respond, the DWP advises them that their information has been “unavailable in the current system”, and they have been asked to provide the information in a letter that they send to them with the pension booklets to their local DWP office.

What information must I provide at registration?
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As of 1 August 2016, DWP issued a consultation note to update its guidance to DWP staff on the provision of information to people who are interested in the Pension Protection Fund (PPF).

It states that, under the regulations, information provided by a person during registration must include a:

the person’s name

their surname

a place to which they live, unless they are living overseas

a contact phone number or email address

any personal details and information which are held by the government

a statement about the number of years they will be receiving this pension

how much they will receive

whether it is the pension or the allowance

if it is the pension or the allowance, what their monthly limit is

any information to support their claim.

If they do not provide this information or information under the consultation note does not include sufficient information, it is enough to allow them to opt out (if they do not provide everything in the letter).

They need to make sure that they receive a letter after 1 April and before 1 January.

How long is it before I receive my letter?

Once a person opts into the system, they are no longer entitled to receive any financial help from the PPF or any money made available to help them to do so. There is a two year period at the start of financial year, from 1 April, for anyone to opt out.

Before opting in, you must provide all of the information which you are required to provide to DWP and to the government regarding your pension and any other benefits you receive, your circumstances under which they are eligible and the circumstances of your circumstances.

During the two-year period, as described above, you also need

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