The survey included 308 businesses of differing sizes and 44% of them reported that the current restrictions had resulted in employees exiting company pension schemes, which is a substantial increase from the 30% recorded last year. Many companies admit that they have gone to external professional bodies for advice to assist in understanding the current complex tax rules. Similarly, employees may also have to employ specialists to assist with their tax returns, which obviously all comes at a cost, meaning that companies and individuals have less to invest into retirement schemes for the future. Accountancy Age reports that the ACA’s chair, Jenny Condron stated “The present complexity results in some individuals being put off saving for retirement. Further, many key decision makers within businesses have opted out of involvement in their company pensions due to their individual pension tax positions.”
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Former charity head pleads guilty to count of defrauding disability charity pension scheme 13 November 2019
The former head of disability charity, Yateley Industries for the Disabled, has pleaded guilty to the count of fraud and confessed to taking more than £250,000 from the charity’s pension scheme.
The Pensions Regulator (TPR) reported how Patrick McLarry, 71, transferred £256,127 out of the scheme into bank accounts between 2012-2013 to purchase homes in France and Hampshire for himself and his wife. He also used funds to pay off a historic personal debt. TPR will move to ensure that he returns all of the money he took so that it can be placed back into the scheme. During the period that the fraud was committed, McLarry was the chief executive and chairman of the charity and also a director of VerdePlanet Limited, which is a corporate trustee of the pension scheme. Investigations by TPR discovered that the scheme’s definitive deed was altered meaning that McLarry could not be pursued for the funds that he eventually took. He attempted to hide his offence by falsifying documents, withholding evidence and by lying to investigators. He was convicted for failure to hand over statements at trial in 2017 and when they were finally provided, it became apparent that he had used scheme funds to purchase the property he owned in France. The case took place at Salisbury Crown Court and Judge Andrew Barnett confirmed “it is a serious matter and the only outcome is a substantial prison sentence.” Fraud by abuse of position carries a maximum sentence of ten years’ imprisonment. McLarry will be sentenced on December 13 2019.
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Research reveals that over half of young workers do not know if they have a pension or not 14 November 2019
Worrying new research figures highlight that 54% of workers under the age of 25 are unsure if they have a workplace pension. In addition to this, 65% of the same demographic did not know who their pension provider was.
Pensions Age reports that the survey, run by Zippen, a pensions consolidation company, consisted of 2,000 respondents, male and female, between the ages of 22 and 32. Zippen’s CEO, Ellie Tembras commented “We find it shocking that some 65 percent of young workers cannot name any or can only name one of their pension providers, but even those older than 25 appear to be similarly uncertain.”
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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