Policy News Journal - 2015-16

Pensions

Automatic Enrolment

Automatic enrolment thresholds 2015-16 31 March 2015

The automatic enrolment thresholds and values by pay reference period have been approved by Parliament.

The draft Automatic Enrolment (Earnings Trigger and Qualifying Earnings Band) Order 2015 was laid before Parliament in January by the Department for Work and Pensions.

This draft has since been made as a UK Statutory Instrument: The Automatic Enrolment (Earnings Trigger and Qualifying Earnings Band) Order 2015 No. 468 and approves the proposed thresholds and expected values by pay reference as per the tables below.

2015-2016

Annual threshold

Lower level of qualifying earnings £5,824 Earnings trigger for automatic enrolment £10,000 Upper level of qualifying earnings £42,385

Expected values by pay reference period 2015-2016

1 week Fortnight 4 weeks 1 month 1 quarter Bi-annual

Lower level of qualifying earnings

£112

£224

£448

£486

£1,456

£2,912

Earnings trigger for automatic enrolment

£192

£384

£768

£833

£2,499

£4,998

Upper level of qualifying earnings

£815

£1,631

£3,261

£3,532

£10,597

£21,193

NEST: removal of the annual contribution limit and transfer restrictions 13 April 2015

Draft legislation has been approved to remove the annual contribution limit and the transfer restrictions on NEST from 1 April 2017.

The National Employment Savings Trust (Amendment) Order 2015 has been approved by parliament. The Order:

 removes articles so that there is no annual contribution limit for contributions made in each tax year by, or on behalf or in respect of, a member of the Scheme; and  makes an amendment to lift the restrictions on transfers of a member’s pension account to another pension scheme.

Previous CIPP News

 NEST: removal of the annual contribution limit and transfer restrictions - 27 January 2015

Guidance on automatic enrolment simplifications 14 April 2015

The Pensions Regulator has updated their guidance to reflect the recent automatic enrolment simplifications, effective 1 April 2015

The new regulations cover:

CIPP Policy News Journal

25/04/2016, Page 314 of 453

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