Govt to launch inquiry into auto-enrolment

The government is to launch an inquiry into its auto-enrolment in workplace pension scheme.
 
The Work and Pensions Committee will be examining the proposals, which are due to come into effect in October 2012 and will require employers to automatically enrol workers into a qualifying pension scheme.
 
Key issues that will be explored include the arrangements regarding how the initiative will be phased and the impact that the changes will have on smaller businesses, the self-employed and casual and temporary workers.
 
The role that the Pensions Regulator will play is also being studied, along with estimates as to the number of people that will choose to opt out of the scheme and what will happen if the predicted enrolment numbers are not reached.
 
Last month, Addidi Wealth chief executive Anna Sofat claimed that the UK's pensions system is too complicated and can still cause confusion, with the amendments that have been made over the last five years playing a key part in this situation.

 

Posted by David Shuker