Small firms that have failed to meet their statutory deadline dates for enrolling staff onto workplace pension schemes are being hit by fines and damage to their credit rating.
Pensions Regulator figures show more than 10,000 fines and other sanctions were handed out to firms that had failed to meet their staging date in the final quarter of 2016.
Some businesses are also being quoted exorbitant costs to enrol employees. “I’m aware of instances where business owners have been quoted £12,000 by a company to set up a scheme for around 100 staff, with additional annual fees of around £3,000,” said FSB Commercial Director Dave Stallon. “It’s possible to have a compliant scheme for a business employing 115 staff set up for not much over £1,000 by a professional provider, with no annual consultancy fees.”
FSB has created a free online resource with webinars, information, staging date tracker and expert advice about auto-enrolment and setting up a compliant workplace. For details, visit fsbpensionservices.co.uk