Pensions

A work-based pension scheme is any scheme that an employer makes available to employees. The Pensions Regulator is the regulatory body for work-based pension schemes in the UK.
By 2012, all eligible workers will have to be automatically enrolled into either a good quality workplace scheme or a personal pension account scheme. This change is planned to start in October 2012 and is expected to be phased in over two years. It is expected that all employers will be included by 2014.
The law will require employers to make contributions at a rate of 3 per cent of salary to pension schemes, though it is expected that this will be phased in over three years.
The Charity Commission reports that in recent years a number of charity pensions schemes have reported significant deficits. This is because the value of scheme assets have fallen combined with increased longevity of scheme members, low interest rates and lower-than-expected returns.