Auto Enrolment Research Reveals a Reliance on Intermediaries
The latest research from The Pensions Regulator has revealed that employers are increasingly relying on the assistance of advisers and intermediaries to help them meet their auto enrolment responsibilities.
The research was comprised of two separate surveys. The first gauged the understanding and readiness of employers in regard to their auto enrolment responsibilities. The second survey canvassed intermediaries, such as payroll administrators, accountants and bookkeepers, to determine the level of auto enrolment assistance they were planning to provide.
Key findings from the employer survey
The results from the employer survey show that, on the whole, companies across the UK are putting the preparations in place to meet their auto enrolment obligations.
The survey found that:
- 90 percent of employers with staging dates between August and November 2015 had already commenced their auto enrolment.
- 79 percent of employers staging in 2015 knew their staging date; however, more worrying was the fact that only 29 percent of those commencing auto enrolment between January and November 2016 knew when their obligations would begin.
- Awareness of auto enrolment was found to be highest amongst small and micro businesses
- 7 out of 10 small businesses said they would rely on an adviser to provide practical assistance with their automatic enrolment.
Key findings from the survey of advisers and intermediaries
As you would expect, almost all the intermediaries who responded to the survey were well aware of the auto enrolment obligations, and many are preparing to offer an auto enrolment service to their clients.
- The awareness of auto enrolment amongst payroll administrators, accountants and bookkeepers was 98 percent, 97 percent and 94 percent respectively.
- Payroll administrators were confident in their ability to answer their clients’ questions about enrolment, with 54 percent believing they could respond to any queries they might have.
- The number of intermediaries preparing to take an active role in their clients’ auto enrolment, rather than simply providing information or advice, was also high. 71 percent of payroll administrators, 53 percent of IFAs, 44 percent of accountants, and 42 percent of bookkeepers were ready to act on their clients’ behalf.
- 96 percent of accountants, bookkeepers and payroll administrators also planned to provide a service to micro businesses.
Are you ready to handle your auto enrolment obligations? Try Primo Payroll today to see how our auto enrolment software can make auto enrolment compliance quick and easy for employers and also eliminate the need for intermediaries.