Auto enrolment is proving more successful than predicted
The government has announced that auto enrolment is proving to be much more successful than they had initially expected, after recent figures about opt out rates were released.
According to the Department for Work and Pensions (DWP) around 9 million people will save for the first time or save more due to the introduction of auto enrolment, which is around one million more than previously forecast.
Recent evidence on opt out rates led the DWP to reduce its forecast from 30% to 15% for the lifetime of auto enrolment, equating to around a million more people saving.
Pensions Minister Steve Webb commented: “Automatic enrolment is proving significantly more successful than previously predicted. With opt outs remaining low we now expect 9 million people will be newly saving or saving more as a result of our reforms.
Our reforms to pensions are working and have already proved a success. Now this is an extra million savers who will be helping to secure a better future for themselves and their families.”
The latest figures from The Pensions Regulator show that 3.2 million people have now been enrolled into a pension and nearly 11,000 employers have now registered.
Have you started getting ready for auto enrolment yet? With potential fines of up to £10,000 per day for non-compliance, preparation is not something to be taken lightly. Visit the IRIS Auto Enrolment page today to see the full range of auto enrolment solutions available.