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Final auto-enrolment regulations published

The final rules governing auto-enrolment into workplace pension schemes from 2012 were laid before parliament today by Work and Pensions Secretary Yvette Cooper. Ms Cooper said the reforms were the most radical change to workplace entitlements since the introduction of the national minimum wage and the fact that employers of all size would be joining employees in paying into a pension scheme for the first time was a massive step.

The Department for Work and Pensions said the regulations have increased flexibility and removed some of the burdens that were identified, without compromising the intentions or undermining protection for individuals such as: 

  • Start-up businesses created from 2012 will be given until 2016 to start enrolling staff
  • Businesses employing 120,000 staff start enrolling in October 2012, with smaller businesses phased in over a further period through to 2016.
  • Phasing in employer contributions from one per cent in 2012 to two per cent in October 2016 and the full three per cent by 2017.

Auto-enrolment will begin as planned in October 2012 and will be fully phased in by October 2017.

A detailed press release has been put out by the DWP and can be read here: