Employers will be able to re-enrol their staff into a workplace pension more simply following the launch of a new online resource.
While the vast majority of employers are carrying out re-enrolment successfully, some are failing to complete the task correctly - which could lead to a fine.
The new re-enrolment tool is being launched by The Pensions Regulator as thousands of small and micro employers reach their re-enrolment dates in the coming months.
Director of Automatic Enrolment Darren Ryder said: “Re-enrolment gives staff who opted out of their workplace pension a fresh chance to start saving so it’s an important task.
“Automatic enrolment has led to millions of new savers and we want to ensure this success continues. Our online re-enrolment tool will help employers continue to meet their legal duties so that staff continue to have the opportunity to save.”
Re-enrolment must be carried out every three years and it is a two-stage process. Firstly, employers must check whether they have any staff to re-enrol and ensure those who are eligible are put back into a pension scheme. They must then complete and submit their re-declaration of compliance. So far, more than 176,000 employers have completed their re-declaration of compliance showing TPR how they have met their re-enrolment duties.
The majority of employers will not have staff to re-enrol, however they must still complete their re-declaration of compliance to confirm they have checked whether they need to re-enrol any of their staff, even if none were re-enrolled. This is a legal requirement and failure to both assess and re-enrol eligible staff and make a declaration could result in a fine.
The launch of the new re-enrolment tool comes at the same time as new TPR research shows business advisers continue to play a vital role in helping employers meet their automatic enrolment duties. The Adviser Engagement with Automatic Enrolment Survey 2019 (PDF, 1306KB , 32 pages) shows more than 92% of accountants, payroll administrators and book keepers and 62% of IFAs advisers assist their small business clients with automatic enrolment.
Notes for editors
TPR is the regulator of work-based pension schemes in the UK. Our statutory objectives are: to protect members’ benefits; to reduce the risk of calls on the Pension Protection Fund (PPF); to promote, and to improve understanding of, the good administration of work-based pension schemes; to maximise employer compliance with automatic enrolment duties; and to minimise any adverse impact on the sustainable growth of an employer (in relation to the exercise of TPR’s functions under Part 3 of the Pensions Act 2004 only).
Ciara Bridge-ButlerMedia Officer (AE)