|Project name: ||Automatic Enrolment Programme - there are 6 reports for this project: 2014, 2015, 2016, 2017, 2018, 2019 |
|Google search: ||Google search on project name (opens in new window) |
|Organisation: ||DWP (D10) - see all reports for this organisation |
|Report year: ||2017 (data is from Sept 2016) |
|Category: ||Transformation - see all reports for this category |
|Description: ||The Automatic Enrolment Programme was established to implement the Governments workplace pension reforms. The overarching aim of the reforms is to get more people saving more for their retirement. The Programme went live in October 2012, delivering:
1) Automatic enrolment - a new duty on employers to automatically enrol their eligible workers into a qualifying workplace pension scheme; and to increase the incentive to remain saving in a pension scheme, there is a mandatory employer contribution.
2) The National Employment Savings Trust which has a public service obligation to accept any employer who wishes to use it to meet their employer duty. It provides a good quality pension to individuals on low to moderate earnings.
3) An employer compliance regime - run by the Pension Regulator to support these measures.
The implementation approach is gradual, with employers being 'staged' by size, over the period October 2012 to February 2018; and contributions to pension schemes are being gradually increased over time to provide a period of adjustment for employers and individuals, with full contributions being paid from April 2019. Once fully implemented the Department expects to see around 10 million people newly saving or saving more into a workplace pension, and an increase in pension saving of around £17 billion a year. |
|DCA (RAG): ||Amber |
|DCA text: ||Programme implementation has been successful, with people automatically enrolled, high levels of compliance amongst employers and opt-out rates amongst individuals remaining low at around 9%.
The Programme is now focusing upon supporting individuals and employers as we implement increases in pension contributions, and to support the large numbers of small and micros employers who will undertake their duties through 2017 and beyond. There remains a level of uncertainty around how employers and individuals will behave.
Balancing Programme successes to date against these remaining challenges, the Programme Board has rated the Programme as Amber. |
|Start date: ||2007-05-01 |
|End date: ||2018-11-30 |
|Schedule text: ||The Programme went live on time. The implementation approach has been designed to accommodate the significant increase in volumes over the 2015-2018 period. The Programme is on track to deliver to timetable. |
|Baseline: ||£101.90m |
|Forecast: ||£67.80m |
|Variance: ||-34.00% |
|Variance text: ||The proportion of employers complying has been higher than expected so the costs of ensuring compliance have been lower than budgeted. |
|Whole Life Cost: ||£995.40m |
|WLCost text: ||The whole life costs cover the period from 2007-08 to 2017-18 and includes the set-up and running costs of the compliance regime within The Pensions Regulator (TPR); the communications costs for raising awareness through a series of campaigns; and Programme costs. |
|Notes1: || |
|Notes2: || |
|Sourcefile: ||IPA_2017.csv |
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Acknowledgement: GMPP data has been re-used under the Open Government Licence.