Automatic enrolment annual commentaryBy the end of March 2017, more than 7 million workers had been successfully automatically enrolled into a workplace pension and more than 500,000 employers had completed their declaration of compliance over the same period.
Saving for later life is starting to become the social norm - in 2012, 55% of staff were saving into a workplace pension but by 2016 that figure had increased to 78%.
The Pensions Regulator (TPR) is also helping more than 700,000 small and micro employers through their workplace pension duties. The current schedule for employers to meet their duties comes to an end in February 2018, at which point all businesses with a pre-allocated staging date will have passed their staging date. From October, anyone setting up a business and taking on staff will need to work AE into their plans from the outset.
While TPR comments that compliance with the law is good, the report also highlights where TPR has acted to tackle non-compliance - with a small minority of employers receiving County Court Judgements for failing to pay their AE fines.
No-one is safe from TPR regulations, as July saw the first fine imposed on a public service pension scheme with a £1,000 penalty issued against the London Borough of Barnet scheme manager for part of the Local Government Pension Scheme for England and Wales, for failing to submit its 2016 scheme return.
The full report can be found here
.~ By Wealth Management Consultant, Karena Woodall.