Just 11 per cent of annuity providers and industry experts believe that insurers will be ready to implement HMRC’s Real Time Information (RTI) initiative on time, Xafinity Paymaster has warned.

The RTI system which is piloted by the pension, payroll and annuity administration provider has been designed to ease complexity and improve accuracy surrounding PAYE administration procedures. All employers must use the RTI service by October 2013 and pension providers will be permitted to notify the HMRC about PAYE payments at the time they are made. However, in its Annuity Industry Survey, Xafinity also found that 46 per cent of respondents believe the financial services industry won’t be ready and 43 per cent do not know or do not have a view.

Xafinity Paymaster business development manager Brian Please said: “Our advice to the industry is that any hopes of a delay to the implementation of RTI should be laid aside. Regardless, we can only expect a very bumpy ride as insurers and HMRC rush to try and meet the RTI deadline."

Please added that “many organisations are faced with an increasing dilemma as to how much they can absorb and deliver change in a narrowing timeframe.”

Share Story: