Guest comment: The right action at the right time

Covid-19’s short-term challenges are immense, but it’s vital we don’t lose sight of the longer term.

At the start of the pandemic, we quickly supported businesses with clear guidance on our auto-enrolment (AE) expectations and altered our enforcement approach so as not to worsen the situation.

This temporary change has seen a drop in the times we used our powers and demonstrates how we responded to ease the Covid-19’s burden on employers in a pragmatic and proportionate way.

We delayed enforcement action for those concerned they wouldn’t be able to make the correct contributions.

We gave more time to agree action plans with providers to bring payments up to date.

And, while non-compliant employers received warning notices, we made decisions whether to escalate enforcement in recognition of the pressures they were under.

Despite the challenges, the vast majority of employers continue to meet their AE duties. We have not to date seen a significant spike in missed contributions or non-compliance.

While we have been taking a pragmatic approach, we are focused on taking action against wilfully non-compliant employers or those committing serious breaches.

We continue to monitor compliance to ensure failing employers get back on track and staff receive the pensions they’re entitled to. We take a dim view of employers who seek to exploit Covid-19 to avoid their duties.

Our message is clear. We will take the right action at the right time to support employers and ensure savers are protected

    Share Story:

Recent Stories


Sovereign bonds and climate change considerations
In Pensions Age's latest podcast, Laura Blows is joined by Hilary Norris, Product Manager, Sustainable Investment, EMEA, FTSE Russell, to discuss sovereign bonds and climate change considerations

Climate Investing
Laura Blows speaks to Aled Jones, Head of Sustainable Investing for Europe at FTSE Russell, and Adam Matthews, Director of Ethics and Engagement for the Church of England Pensions Board, about the role of climate investing within a pension fund portfolio.

Managing volatility
In the latest Pensions Age podcast, Laura Blows speaks to Cambridge Associates head of European pension practice, Alex Koriath, about the Covid-related market volatility and how pension funds can prepare for the challenges ahead

Risk transfer opportunities
Laura Blows speaks to Lisa Purdy, Head of Fiduciary Distribution at Legal & General Investment Management and Gavin Smith, Pricing and Execution Director - UK PRT at Legal & General, about the impact of the recent market volatility on the bulk annuity and risk transfer market and the potential opportunities for the future

De-risking options for pension schemes
In this latest Pensions Age podcast, Linklaters' Sarah Parkin talks to Laura Blows about the wide range of choice available to pensions schemes for the partial, or full, removal of their risks