Auto-Enrolment: The Challenge

Is your business ready for the challenge?

Auto-enrolment staging dates* – based on PAYE scheme size:

  • More than 4,100 employees** – Already staged
  • 800-4,000 employees; June to October 2013
  • 250-799 employees; November 13 to February 2014
  • 249-90 employees; April to May 2014
  • 89-60 employees; July to October 2014
  • 59-50 employees; August 2014 to April 2015
  • 49-40 employees; August 2015
  • 39-30 employees; October 2015
  • Less than 30 employees and new companies; November 2015 to February 2018

My staging date

Your staging date is the date by which you must be ready to comply with the new auto enrolment regulations. Although some of these are yet to be confirmed an indication of the timeline for companies staging dates is attached.

Click here for more information

*Please note the above is simplified for illustrative purposes. **Based on number of employees in largest PAYE scheme in April 2012.


The Government estimates that millions of people in the UK are currently not saving enough for their retirement. To help solve this problem the Government has introduced legislation that means every employer will have a duty to put a pension scheme in place. You will also have to automatically enrol certain workers into the scheme and make contributions on their behalf.

This presents a huge challenge for your business. You will need to understand your automatic enrolment duties, the impact on your business and the changes you will have to make.

We can help you with this challenge. We offer a range of services which will help you to understand and prepare for automatic enrolment. By starting to plan now, we can help you to mitigate the costs and minimise the disruption to your business.

The good news is that with the right plan you can manage the process, your cash-flow, and continue to focus on your core business.

Q. Automatic enrolment – can I get away with doing nothing?

A. The short answer is no.

The consequences of doing nothing have serious business ramifications.

Automatic enrolment is complex statutory legislation that needs to be complied with.

It is about having a robust process in place, not simply having a pension scheme.

The costs of getting it wrong (an unlimited fine and / or two years imprisonment) could be significantly higher than the expense of a pension contribution.

Initial Discussion

Our initial discussion with you is very important as it allows us to identify your current circumstances and objectives and to establish whether working with Clifton Asset Management will be beneficial for you. There is no cost for the initial meeting.

Do you have a plan? If not make sure you are at the front of the queue

During the next five years more than 800,000 employers will need a pension scheme for the first time.

This will create a massive strain on the traditional providers of pensions, most of whom are unlikely to accept schemes which are set up with only the minimum automatic enrolment entitlements.

When you combine this with a limited number of qualified advisers with the experience, capacity and capability to deal with these arrangements, then it creates a genuine scarcity of resource.

It is simply a question of when, not if, advisers and providers no longer have the ability to take on new schemes.

You need to make sure you are at the front of that queue

Preparing for the challenge

Design:

Building a scheme that is fit for purpose

  • We will design an automatic enrolment solution tailored to your business needs.
  • We will review your existing pension scheme, assess your workforce and determine the changes you will need to make.
  • We will ensure that the right balance is met between costs to you and benefits to the workforce.
  • We will ensure you have absolute clarity as to the next steps you need to take to meet your responsibilities as an employer.

Implementation:

Making Automatic Enrolment a reality

  • We will create a project plan that outlines responsibilities and timescales for delivery.
  • We will create the detailed rules that determine how the scheme will run day-to-day.
  • We will create an effective communications package for you to engage your workforce.
  • We will continue to project manage the implementation process until you are happy that everything is in place and have a clear understanding of how the process will operate going forward.

Run:

Providing on-going scheme governance

  • Once the scheme is in place we will continue to work with you to ensure you keep meeting your responsibilities on an on-going basis.
  • We will review the scheme to make sure it is run on a compliant basis and appropriate record keeping is in place.
  • We will monitor the scheme administration to ensure the minimum burden is placed on you.
  • We will review the communication strategy to ensure your employees are fully engaged in the process.