Latest news with #auto-enrolment
The Independent
24-07-2025
- Politics
- The Independent
Auto-enrolling young people on voting register being explored
Young people could be automatically enrolled on the voting register under plans being explored by the Government, a minister has told Parliament. Labour former minister Lord Beamish argued 'the only way we're going to get young people and other people on the registry is auto-enrolment'. Responding, communities minister Lord Khan of Burnley said the Government will 'take steps to move towards' this, but added that electoral law is 'complicated'. 'We intend to actively explore and test new and more automated methods of registration, including better use of data to identify people who are eligible, and integration with other Government services to make it easier for people to register,' he had earlier told the upper chamber. The minister also revealed the Government is 'looking at' placing 16 and 17-year-olds on the electoral register at the same time they are given their national insurance numbers. This came in response to Liberal Democrat peer Lord Rennard, who said: 'Will the Government now implement the unanimous cross-party recommendation of the House of Lords select committee and automatically include 16 and 17-year-olds on the electoral registers at the same time as they are given their national insurance numbers?' Lord Khan replied: 'This is a major change in the electoral franchise, and we need to get it right. Changes to the electoral law of this magnitude require careful planning and should not be rushed. 'On the question in relation to national insurance, we are looking at different options for ensuring young people can be easily and accurately registered to vote, and ways to enable people to register when they interact with other government services. 'So the (Lord Rennard) keeps pushing. I'm going to give (Lord Rennard) good news … to say we are looking at that as well.' Plaid Cymru peer Baroness Smith of Llanfaes called for a national register to vote day for schools. She said: 'Will this Government consider a national register to vote day for schools, where young people are encouraged to register to vote online in their registration classes?' Lord Khan said this was 'a very strong point, and I will take that away'. He added: 'We'll take all measures to ensure that we can (to) make sure people can participate comfortably and positively.'
Irish Times
22-07-2025
- Business
- Irish Times
One in four businesses not ready for new pension regime
One in four businesses have yet to take any action to prepare for the introduction of the new mandatory workplace pension scheme which is due to come into force at the start of next year. Over half of the business surveyed by global professional services firm Aon cite cost as their main concern around the introduction of auto-enrolment, which will see around 800,000 workers between the ages of 23 and 60 who are earning more than €20,000 automatically signed up to a pension called My Future Fund. Dominic Coyle has the details. A journalist based in Cork has launched a High Court challenge against the Press Council of Ireland after his website was denied membership of the body earlier this year. JJ O'Donoghue, the founder and editor of local newsletter Tripe+Drisheen, has initiated judicial review proceedings, alleging that the press council failed to give adequate reasons for its decision. Ian Curran reports. READ MORE The average cost of raising a child from birth to the age of 21 was put at almost €170,000 in an eye-watering report in May, a 60 per cent increase since 2015. However, for one cohort of people, the financial challenges around raising a child begin years in advance of shopping for cots or even maternity wear because of infertility issues , writes Fiona Reddan. Dominic Coyle hears from a reader who is the executor of her father's will and has run into problems sorting out his tax affairs with Revenue, including finding his personal claim number and beneficiaries who live abroad. David McWilliams on how 'big incentives' to build could save Dublin city Listen | 36:51 Neither tariffs nor the threat of an EU-US trade war bother Ryanair chief executive, Michael O'Leary , despite the fact that his company is buying up to 329 aircraft from Seattle-based manufacturer Boeing. He is sticking with his view that US president, Donald Trump, will continue to stall their introduction until the two jurisdictions agree a trade deal, writes Cantillon. The focus when the Government publishes its key economic documents on Tuesday will be on where the extra investment resources are going. But, says Cantillon, a key question will be what the additional resources being devoted to projects in housing, water, energy, transport and so on in the revised National Development Plans mean for other parts of the budget. Tesla reports earnings on Wednesday, but does it even matter? The newsflow has been dire for more than a year, writes Proinsias O'Mahony, with Tesla badly missing estimates in three of the past four quarters, yet the stock is up 30 per cent more than that period. If you'd like to read more about the issues that affect your finances try signing up to On the Money , the weekly newsletter from our personal finance team, which will be issued every Friday to Irish Times subscribers.
The Guardian
21-07-2025
- Business
- The Guardian
Britain is facing a ‘tsunami' of pensioner poverty, says Kendall
Britain risks a 'tsunami of pensioner poverty' over the coming decades unless the system of saving for retirement is overhauled, according to Liz Kendall. At the launch of a major independent commission on the pensions system, the work and pensions secretary said growing numbers would struggle to make ends meet in old age. 'Unless we act, tomorrow's pensioners will be poorer than today's, because people who are saving aren't saving enough for their retirement, and crucially, because almost half of the working age population isn't saving anything for their retirement at all,' she said. The commission echoes the approach taken by Tony Blair's government to pensions reform in 2002, when an inquiry chaired by Adair Turner led to the system of auto-enrolment. The commission will be led by a member of Adair's team, Jeannie Drake, with former Barclays UK chair, Sir Ian Cheshire, and the economist Nick Pearce also on board It will consult the Confederation of British Industry and the Trades Union Congress, with the aim of building a consensus, which Kendall said she hoped would win the support of opposition parties. The proposals could include lowering the age at which auto-enrolment into workplace pensions starts – currently 22 – and raising contribution rates, now set at 8%. It will also look at the idea of 'sidecar savings', which are advocated by the Resolution Foundation thinktank whose former chair, Torsten Bell, is a pensions minister. This approach would allow a set amount of pension savings to be accessed as a rainy-day fund in emergencies. Kendall confirmed that she was also launching the regular statutory review of the state pensions age. It is set at 66 but is already expected to rise to 67 between 2026 and 2028. Kendall made clear that the costly triple lock pensions guarantee will not be considered by the commission, which is set to report in 2027. 'The triple lock is out of scope,' she said. The independent Office for Budget Responsibility has warned about the much higher than expected costs of the triple lock, which uprates the state pension in line with inflation or wages, or by 2.5%, whichever is higher. Questioned after her speech at a south London community centre, Kendall acknowledged the role in pensioner poverty of high housing costs after retirement. 'My big worry is, so many young people have not even got a hope in hell of getting on the housing ladder, they're being absolutely killed by their rent, and if you are paying off your mortgage in retirement, or still renting in retirement, that is what is driving this sort of tsunami of pensioner poverty that is coming our way,' she said. The commission will not be asked to look at housing policy but Kendall pointed to other Labour policies in this area, including boosting housebuilding. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion Bell, who attended the event, was asked about the prospects for reform of pensions tax relief, with higher rate taxpayers receiving it at 40%. Cutting this to the basic rate, or reducing the size of the lump sum pensioners can withdraw from their savings pot tax free, have been mooted as money-saving measures in the run-up to the autumn budget. Bell said: 'Tax changes are not in scope for this review. But the tax system obviously is important, and we have a system of pension tax relief costing around £70bn a year that does provide strong incentives for saving and that's a good thing.' Business groups gave the launch of the commission a cautious welcome but warned about the risks of piling more costs on employers by raising their contribution rate. Kate Nicholls, who chairs UK Hospitality and attended the launch, said: 'We've already seen the unintended consequences increasing business costs, like employer national insurance contributions, has had on the employment market, costing jobs. It's therefore crucial the commission embarks on a partnership approach with business and consumer groups to reach the right balance.' Kendall also alluded in her speech to Labour's U-turn on cuts to disability benefits, insisting the government would continue to advocate change. She said: 'Reforming the welfare state is never easy, and always contested. Let's be honest, the last few weeks have made that pretty clear – while the path of reform is inevitably bumpy, it cannot be avoided.'
Yahoo
05-07-2025
- Business
- Yahoo
Rachel Reeves to announce review of workplace pensions contributions — here's what it could mean
Rachel Reeves is set to announce an overhaul of the pensions regime when she delivers a major speech at Mansion House this month. The chancellor is due to appoint a commission looking at the adequacy of the pensions system, including the amount of savings among the self-employed, the state pension and auto-enrolment rates. It was announced last July after Labour won the general election, but put on hold after the chancellor's brutal tax-hiking Budget amid anger at the pressure piled on businesses. But two executives familiar with the plans told the Financial Times she plans to appoint the commission in the 15 July speech, with the chancellor believing the UK pensions industry has long been ripe for reform. The chancellor's overhaul is reportedly planning to shake-up auto-enrolment rules, which mandate that staff pay at least 8 per cent of their earnings above £6,240 into the pot each year, with at least 3 per cent coming from their employer. Experts, including the influential Institute for Fiscal Studies (IFS), have warned that the current rate of contribution will leave many pensioners without enough money in retirement. Almost four in 10 pensioners who have worked in the private sector face a cliff-edge in retirement with the current contribution level, the think tank warned. It called last week for 'decisive action' to create a pension system 'fit for the next generation'. It called for an end to the system of employer pension contributions only having to be made if the employee also contributes, recommending that all employees should receive at least 3 per cent of their total pay as contributions. And the IFS called for targeted support for those hardest hit by increases in the state pension age, as well as solutions to help people manage their pension wealth through retirement. Former work and pensions secretary David Gauke said the IFS report was timed perfectly to coincide with the imminent conclusion of the chancellor's pensions review. 'The government should provide a secure pension income, further increases in the state pension age should be accompanied by more support for those hardest hit, and both employees and employers should gradually contribute more to help achieve greater financial security in retirement,' the ex-Tory minister, who has advised the Labour government, said. And IFS director Paul Johnson said: 'There is a risk that policymakers have become complacent when it comes to pensions. Without decisive action, too many of today's working-age population face lower living standards and greater financial insecurity through their retirement.' Mr Johnson said the think tank's recommendations would 'shore up the state pension, help workers save more – but only in periods when they are better placed to do so – and help individuals to make the most of their pension pots through retirement'. The government's review will also look at the level of the state pension, currently £230.25 per week, or £11,973 per year for those who have contributed through national insurance for 35 years. Labour has repeatedly committed to the triple lock, which increases the state pension amount by the highest of inflation, average earnings growth or 2.5 per cent. The Department for Work and Pensions (DWP) was asked to comment.
The Independent
05-07-2025
- Business
- The Independent
Rachel Reeves to announce review of workplace pensions contributions — here's what it could mean
Rachel Reeves is set to announce an overhaul of the pensions regime when she delivers a major speech at Mansion House this month. The chancellor is due to appoint a commission looking at the adequacy of the pensions system, including the amount of savings among the self-employed, the state pension and auto-enrolment rates. It was announced last July after Labour won the general election, but put on hold after the chancellor's brutal tax-hiking Budget amid anger at the pressure piled on businesses. But two executives familiar with the plans told the Financial Times she plans to appoint the commission in the 15 July speech, with the chancellor believing the UK pensions industry has long been ripe for reform. The chancellor's overhaul is reportedly planning to shake-up auto-enrolment rules, which mandate that staff pay at least 8 per cent of their earnings above £6,240 into the pot each year, with at least 3 per cent coming from their employer. Experts, including the influential Institute for Fiscal Studies (IFS), have warned that the current rate of contribution will leave many pensioners without enough money in retirement. Almost four in 10 pensioners who have worked in the private sector face a cliff-edge in retirement with the current contribution level, the think tank warned. It called last week for 'decisive action' to create a pension system 'fit for the next generation'. It called for an end to the system of employer pension contributions only having to be made if the employee also contributes, recommending that all employees should receive at least 3 per cent of their total pay as contributions. And the IFS called for targeted support for those hardest hit by increases in the state pension age, as well as solutions to help people manage their pension wealth through retirement. Former work and pensions secretary David Gauke said the IFS report was timed perfectly to coincide with the imminent conclusion of the chancellor's pensions review. 'The government should provide a secure pension income, further increases in the state pension age should be accompanied by more support for those hardest hit, and both employees and employers should gradually contribute more to help achieve greater financial security in retirement,' the ex-Tory minister, who has advised the Labour government, said. And IFS director Paul Johnson said: 'There is a risk that policymakers have become complacent when it comes to pensions. Without decisive action, too many of today's working-age population face lower living standards and greater financial insecurity through their retirement.' Mr Johnson said the think tank's recommendations would 'shore up the state pension, help workers save more – but only in periods when they are better placed to do so – and help individuals to make the most of their pension pots through retirement'. The government's review will also look at the level of the state pension, currently £230.25 per week, or £11,973 per year for those who have contributed through national insurance for 35 years. Labour has repeatedly committed to the triple lock, which increases the state pension amount by the highest of inflation, average earnings growth or 2.5 per cent. The Department for Work and Pensions (DWP) was asked to comment.
