News that the Government has committed £8m to the promotion of pensions auto-enrolment has received a mixed reaction from local company, Beckett Financial Services.
Nicola Prince, Director of Employee Benefits at the company, said: “We are particularly interested to see what activities will be undertaken to ensure employers understand their duties.”
The Government first introduced automatic enrolment in October 2012, starting with larger companies. Under the new policy, those aged 22 and over who work in the UK and earn more than £9,440 a year are automatically placed into a workplace pension.
Prince says: “The £8m promotion is good news and, interestingly, it is the same that’s been spent on upgrading Blackpool’s South Pier! We feel that it needs to be far more reaching than 150 metres of seafront because over 1.3 million employers will be affected.”
“Automatic enrolment is just the start and the focus should be on the likely outcomes for individuals,” added Prince. “Minimum contributions are not enough and individuals need to understand what they need to pay to secure the outcome they want at retirement.”