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166 Firms fined £400 each for ignoring Auto Enrolment

166 penalty notices have been issued by the ­Pensions Regulator to employers for failing to enrol staff into workplace pension schemes.

Between October and December last year, Pensions Regulator hit 166 firms with ­penalty notices for breaking auto-enrolment rules. Each company was issued with a £400 fine.

Millions of workers are being enrolled into a pension for the first time under the new Government proposal. Auto enrolment legislation makes it compulsory for Companies to enrol all eligible staff onto a pension scheme arranged for by the employers, employers who ignore these rules will be fined.

The watchdog also handed out 1,139 warnings to companies over the same period. If the ­companies do not make amends then they too will face a penalty.

Auto-enrolment began in 2012 with the largest employers set the earliest staging dates. It will ­continue until 2018 when the smallest firms will have to ­provide a pension for workers, but it takes 6 to 9 months to able to fully assess an employers course of action, so employers are advised to make provisions for auto enrolment early rather than late and to ultimately avoid the fines.

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