NEST is the National Employment Savings Trust which has been set up by the government, specifically for auto enrolling employees after October 2012 (although a few employers have already signed up to NEST).
According to a recent survey by Punter Southall, only 5% of surveyed employers intend to use NEST. With all of the radio advertising that the government is throwing money at, it doesn’t seem to be reaping dividends. This could of course be down to the restrictions that NEST members have, such as not being able to transfer in or out of the scheme. Or it could be the excessively high charges on pension contributions of 1.80% (a small scheme we set up this week had only 0.40% on pension contributions!).
Employers we speak with don’t seem to have a huge amount of trust in ploughing more money into a government scheme – they do that already through National Insurance contributions!
We’ll be running a seminar on auto enrollment in April, so if you want to find out more about auto enrollment and get some information you can use, come along. Further details to be posted here soon.
01225 775923
