A recent survey of employers by financial group Jelf Employee Benefits indicates that many would be keen to see a rise in auto enrolment contribution levels.
The previous Minister for Pensions already noted that auto enrolment would need to be assessed early in a new parliamentary term, and the survey of over 200 senior HR and Finance professionals indicates that they agree with the proposal.
76% of respondents said they believed an increase in pension contribution levels should be made, while only 15% disagreed. In addition, 85% of respondents thought that any increase should come from employer contributions – either wholly or in part – while only 14% thought that increased contributions should be made only by employees.
Head of Benefits Strategy at Jelf Employee Benefits, Steve Herbert, said: ‘Frankly, we were a little surprised at these results. Many employers are yet to reach their staging date for auto enrolment, and a significant proportion of those who have already staged are not yet at the full contribution rate.
‘It is very encouraging that employers continue to see the benefits of offering a quality pension scheme. A good pension offering will obviously help employees, and will also provide an important recruitment, retention and planning tool for employers.’