Part 2 of the Pensions Act 2004 introduced the Pension Protection Fund as a result of intense political pressure at the time, after thousands of workers lost large amounts of their pension benefits following the bankruptcy of their sponsoring companies.
Pärast seda, kui tuhanded töötajad olid kaotanud oma tööandja pankroti tõttu suure hulga pensioniõigusi, loodi 2004. aasta pensioniseaduse II osaga tollase tugeva poliitilise surve tulemusena pensionikaitsefond.