Workplace Pensions - crunch time for employers

Employers could be hit with stiff penalties and face being left behind in the rush to meet the pension Auto-Enrolment deadline.

Up to half a million small businesses have been told by the Pensions Regulator that they must set up a workplace pension this year. If they don't, they face a minimum penalty of £400.

Leaving it too late means there will not be enough time for employers to meet the staging date, as pension scheme providers face "capacity crunch" in coping with the demand.

Businesses that have received a letter from the Pensions Regulator and have not yet acted on it only have a short time in which to avoid a penalty.

Auto-Enrolment has already successfully been put in place for millions of workers to help them save for their retirement. Smaller employers are now in the spotlight as the Regulator turns its attention on to them.

The penalties do not stop at £400 if the employer misses the deadline. The Regulator can also impose escalating penalties of up to £10,000 a day depending on staff numbers. There are further penalties where the employer still fails to comply.

Bishop Fleming have developed a straightforward solution for businesses looking to meet their pension responsibilities.

Bishop Fleming partner, Will Hanbury explained: "It is vital that smaller employers do not leave things to the last minute with Workplace Pensions or they will struggle to cope. We are helping employers by making them aware of what they need to do and offering an answer to their pension worries."

END

PHOTOGRAPH: Will Hanbury, Partner, Bishop Fleming

FURTHER INFORMATION:

• Will Hanbury:whanbury@bishopfleming.co.ukor 01803 291100

• Julian Cramp:jcramp@bishopfleming.co.ukor 01392 448800

NOTES TO EDITOR:

• Bishop Fleming is a UK Top 40 firm of accountants with offices in Worcester, Bristol, Bath, Exeter, Torquay, Plymouth and Truro.

• Bishop Fleming has been ranked 49^thin The Sunday Times 100 Best Companies to Work For.

• Bishop Fleming was shortlisted for "Top 50 Tax Team of the Year" in the British Accountancy Awards 2015.

• Bishop Fleming was highly commended for the "Mid-Tier firm of the Year" in the British Accountancy Awards 2015.

• Bishop Fleming won accreditation as an "Outstanding Investor in Clients" (Investors in Customers) in 2015.

• Bishop Fleming was listed as one of the 4 "Best Employers" by Accountancy Age in 2013.

• Bishop Fleming was the first UK accountancy firm to win "Investors in People" accreditation (and has secured re-accreditation ever since).

• Bishop Fleming is a member of Kreston International, a network of independent accounting firms in more than 100 countries.

• The firm focuses on serving and championing owner managed businesses and has sector teams specialising in:

• Academy Schools

• Charities, Schools, and not-for-profit

• Healthcare including Care Homes, Dentists and doctors

• Hotels, Leisure & Tourism

• Manufacturing Technology and Innovation

• Renewable energy

• Property & Construction

• Media & Creative

• Professional Practices.

• Bishop Fleming is unusual in having:

• A full-service payroll operation

• An independent financial advisory service (IFA)

• Tax Partners with international experience

• A VAT Director and a Technical Tax Manager.