According to The Pensions Regulator’s (TPR) announcement yesterday, over 100,000 employers have now enrolled more than 6 million workers in UK pension schemes under auto-enrolment legislative requirements.
These are indeed impressive statistics, yet it would be a mistake to assume that all employers are complying at the first time of asking, or that there is no enforcement action being taken to ensure that such errors are corrected.
For the TPR statistics issued yesterday confirm that many employers have been subject to fines already. In the first quarter of 2016 there were:
- 806 fixed penalty notices (bringing the total issued since that start of Auto-Enrolment to 2,234)
- 96 escalating penalty notices (bringing the total issued to 127)
It is evident that the numbers are now escalating, and with fixed penalties standing at £400, and escalating penalties varying (by employer size) between £50 and £10,000 per day, there is a clear incentive for employers to fully comply with the new legislation.
As we have preached since 2012, early action is the key to success (and penalty avoidance) here, so we would encourage all employers to remain aware of their auto-enrolment duties.
For more information on our services please visit our auto-enrolment website.
For the full original article and other similar posts, please visit the Jelf Group blog.