With an estimated eight million workers failing to save anything for their old age, the National Employment Savings Trust (NEST) has been designed to try and get people into the savings habit.
Many workers don’t take up the offer of joining their workplace pension scheme, or simply don’t have access to one through their employer; instead they intend living off the state pension at retirement which is one of the least generous in the Western World.
NEST was one of the few things to survive the coalition government’s Comprehensive Spending Review (CSR) and has been catapulted into the spotlight since the CSR was published at the end of October. But while NEST has been making all the headlines, the ‘elephant in the room’ is really auto-enrolment.
Starting in 2012 millions of workers will be auto-enrolled into the scheme without any active decision on their part, if their employer does not already have a qualifying pension in place. While staff will have the option to opt out once enrolled, employers will be facing  hefty fines and criminal prosecution if they coerce employees to do so.
It is estimated that over 1.2 million employers from across all sectors will use the NEST scheme, with the vast majority being small firms employing five or less members of staff. For small businesses already finding times tough, the contributions they will be required to make as well as the extra administration will be additional pressures, but auto-enrolment is not something they can ignore.
On Thursday 25th November we will be running a seminar aimed at educating the business community on the potential impact of the pension reforms, as well as helping kick start their planning towards the implementation in 2012.
The seminar is taking place at our offices on the outskirts of Malmesbury from 6.30-8pm. To book a place or find out more please call 0845 345 3536 or email enquiries@rw-fas.co.uk