Carpenter Rees Financial Planning

Auto Enrolment

In October 2012, the Government began implementing workplace pension reforms that imposed new duties on employers to make mandatory pension provision for their employees.

At the core of these reforms was a new requirement for employers to automatically include certain employees (called 'eligible jobholders') into a qualifying pension scheme.

These changes meant that, between October 2012 and February 2018, all employers – from the multinationals down to a firm that employs just a single staff member – must enrol all eligible jobholders into a pension scheme as a matter of course.

Eligible jobholders for auto-enrolment must have gross earnings that are at least equal to the 'earnings trigger' (£10,000 in 2015/16), although lower earners will also be able to join if they choose to opt in.

By 2018, employers will be required to pay pension contributions of at least 3% of each worker’s eligible earnings. The employee’s own contributions and tax relief will be added to this to meet a minimum 8% contribution rate. These changes will result in increased costs for businesses and will have the most significant impact on those employers who currently have limited or no staff pension provision. Therefore, if they haven’t already done so, it is essential that employers consider in advance their ability to meet these costs – non-compliance could result in fines of up to £10,000 per day!

As independent advisers with extensive experience in the pensions industry, Carpenter Rees understands the challenges that businesses will face.

We can:

  • Help you understand the regulations and how these will impact upon your business
  • Assist you in your auto-enrolment review
  • Help you create an implementation strategy
  • If applicable, help you review your existing pension scheme for compliance

Visit our knowledge centre, where you can download our latest digital magazine and numerous financial guides covering a wide range of subjects. If you would like to speak to one of our team please call us on 03330 100777 or fill in our enquiry form and we will get back to you.


Contact us

11 Ashbrook Office Park
Longstone Road,
Manchester M22 5LB

Tel: 03330 100777

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