Fresh challenges

A fair share of prosperity

The government’s ultimate goal is to ensure that all pensioners have a decent and secure income in retirement and to share fairly in the rising prosperity of the country. This means, among other things, ensuring that people are independent and protected in retirement. People are living longer than ever before, and this brings fresh challenges.

People that plan for their retirement need to be able to make informed choices about how and when to save and how long to work. Employers have a major role to play in this process by providing access, information and contributions to pensions for their employees. The workplace is an effective place for people to save and there are tax advantages for both the employer and the employee.

As an employer if you don’t currently provide an occupational pension scheme for your employees, then you could be required by law to offer your employees access to a stakeholder pension scheme to help them save for their retirement.

Even though there are exemptions that apply to some employers, you should find out whether you are required by law to offer access to a pension scheme to your employees. Changes to the Financial Service and Market Act make it easier for employers to promote their own workplace pension to employees.