Pensions Bill issued January 2011
The Pensions Bill contains changes to the auto-enrolment provisions, including:
- An "earnings trigger" for eligibility for auto-enrolment, set out £7,475pa (the current point of which income tax is payable). The qualifying earnings band (on which contributions must be paid) will continue to start at £5,035pa.
- The employer may delay auto-enrolment for up to three months after the jobholder meets the eligibility criteria, although the jobholder may require the employer to auto-enrol him or her sooner than this "deferral date".
- Detailed provisions relating to self-certification will be included in regulations. In relation to the majority of individual "relevant jobholders" and to all relevant jobholders taken together, the employer contributions must meet the quality requirement.