Auto Enrolment spot checks begin on Rochdale employers
A couple of weeks ago, The Pensions Regulator switched their focus from London to employer businesses in Greater Manchester, including Rochdale and Littleborough. The regulator has sent their inspection teams to visit dozens of businesses in the area to check that employers are complying with the Auto Enrolment Pensions Legislation and giving Workplace Pensions to their qualifying staff. Official figures to the end of April 2017 state that within the Rochdale area 1,400 employers have so far met their Automatic Enrolment duties.
These employer inspections are part of a nationwide enforcement campaign to ensure employers are meeting their automatic enrolment duties correctly, and the TPR will use the opportunity to name and shame employers who have not made a suitable pension available to their workers and those who have not made efforts to remain compliant with the Workplace Pensions legislation.
These visits will pave the way for enforcement action
The Pensions Regulator will also seek to learn about the challenges faced by employers, and will look to improve their guidance as a result. However, where employers are found deliberately avoiding their obligations, these visits will pave the way for enforcement action.
During the first three months of 2017 The Pensions Regulator issued 4,673 fixed penalty notices and so it is important that employers in the Rochdale take their legal obligations seriously. The regulator regularly reviews information it receives about employer payroll schemes from HMRC and compares that information to its own records. Your business is most likely to be visited if The Pensions Regulator has reason to suspect that you may not be compliant or are at risk of becoming non-compliant in the future.
You risk both substantial fines and potential reputational damage
The regulator’s Compliance and Enforcement strategy demonstrates an intention to ensure that “our enforcement action outweighs the perceived financial rewards of not complying with the legislation”. Businesses not meeting their Auto Enrolment duties risk both substantial fines and potential reputational damage.
The time to take action is now
If your business is selected for a visit you will be notified about an inspection only a few days in advance of the visit and this is definitely not enough time to rectify any breach of your duties. For any business needing to review its pension arrangements the time to take action is now.
It is very important that all employers meet their Auto Enrolment obligations and ensure that they set up their Workplace Pension schemes well ahead of their Staging Date. If you are concerned to ensure your business’s Workplace Pension scheme is compliant and that you are meeting your obligations, or if you would like advice from an expert to help you put your scheme in place then contact Pennine Accounting without delay. Pennine Accounting are the local leaders in Auto Enrolment services. They will use their experience and knowledge in payroll and Workplace Pensions to support your business. For further information about our payroll and auto enrolment services view our website, or contact us now for a free consultation.
Source: The Pensions Regulator