07 November 2007
The new Pensions Bill as announced in the Queen's Speech intends
to continue the wide-ranging reform for private pensions started by
Lord Turner's Pensions Commission. It will introduce the system of
personal accounts from 2012.
Employees will be automatically enrolled into the new scheme.
Employers will have to contribute 3% of salary where workers decide
to stay in the scheme, whilst workers will contribute a minimum of
5% of salary, 1% of which will be tax relief.
