The Pensions Regulator (TPR) has begun carrying out spot checks across the East Midlands to make sure employers are complying with their pension duties.

Inspection teams will visit dozens of businesses in the East Midlands this month to check employers are meeting their automatic enrolment (AE) duties correctly.

The move is part of a nationwide enforcement campaign that began in London last spring and has so far been carried out in Greater Manchester, Sheffield, Birmingham, South Wales, Edinburgh and Glasgow.

According to TPR, the checks help The Regulator to understand whether employers are facing unnecessary challenges they can be helped with. The campaign also reveals employers who have not taken the required steps to become or remain compliant, paving the way for enforcement action.

Minimum AE contributions are set to increase from the current 2% of qualifying earnings to 5% on 6 April 2018. The base level will then rise again to 8% in 2019.

‘Not An Option, It’s The Law’

TPR Director of AE Darren Ryder said that, while the vast majority of employers were compliant, the visits helped TPR identify why some may be struggling.

“Automatic enrolment is not an option, it’s the law,” he added. “Where we find employers are not complying, we will use our powers to ensure they comply so staff receive the pensions they are entitled to.”

Nearly one million employers across the UK have met their automatic enrolment duties, with more than nine million workers given workplace pensions as a result.

Petaurum Solutions’ Comment

Complying with Auto Enrolment obligations can be a daunting prospect for many small and micro sized business.  Choosing a cost effective, long-term implementation solution is critical for these businesses to ensure they do not become swamped with the processing requirements and responsibilities that potentially Auto Enrolment can bring.  Therefore, for businesses considering their solution, focus should not only be on the pension scheme, but also on how it will be administered, methods to communicate, impacts on systems and data collection processes along with any HR and Legal changes may you need to make.

We have developed a complete SME specific, competitively priced end-to-end solution that will take care of the above, leaving you free to manage your business safe in the knowledge that your Auto Enrolment obligations are in professional hands.  Want to know more then feel free to download our info pack here, or contact us to secure your PAE future.

This information is intended as a general overview and discussion of the subjects dealt with. The information provided here was accurate as of the day it was posted; however, the law may have changed since that date. This information is not intended to be, and should not be used as, a substitute for taking legal, HR or benefits advice in any specific situation. Petaurum Solutions is not responsible for any actions taken or not taken on the basis of this information. Please refer to the full terms and conditions on our website.

Submit a Comment

Your email address will not be published. Required fields are marked *