According to government figures, employees across the UK saved £114.6 billion into their pensions in 2021, a real-terms increase of £32.9 billion compared to 2012, when Automatic Enrolment was introduced. According to the report:
“Following the success of the Automatic Enrolment, the government intends to continue its work with thousands of employers and pension providers to further boost the amount of people in a workplace pension.
It will also continue its work on empowering savers to know their pension options by introducing revolutionary products such as Pensions Dashboards and Mid Life MOTs, providing accessibility and innovation in how people save for their retirement.
And now that a record number of people are saving for retirement, the government is exploring how Automatic Enrolment can go even further to help more people save more, sooner – by abolishing the Lower Earnings Limit for contributions and reducing the eligible age to 18.”
Related content from Claritax Books
Pension Tax Guide is a thorough and practical guide to the complexities of the UK pension rules, and to the part they play in legitimate tax planning. Suitable for accountants, tax specialists and other finance professionals, the book is written by Katharine Lindley, a client director with EQ Investors.
