The Government has introduced a compulsory pension regime, known as Auto Enrolment, from October 2012. The intention is that all Employers will then be able to offer eligible employees with some form of pension provision. In conjunction, a new statutory default scheme known as the National Employment Savings Trust (NEST) has been developed to support the Auto Enrolment process.
The Local Government Pension Scheme (LGPS) is considered to be a qualified scheme under the Auto Enrolment arrangement, as it is contracted out on a salary related basis and has already satisfied a statutory reference scheme test.
The LGPS satisfies the guidelines set out under Auto Enrolment; however, there are still a few issues to be considered. Compliance with Auto Enrolment is dependent on the number of employees on an employer's largest PAYE scheme as at 1 April 2012.
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If you wish to meet with Dedicated Pensions Officers to discuss your Automatic Enrolment responsibilities ahead of your Staging Date, please contact us.