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Workplace Pensions: Young People

Question for Department for Work and Pensions

UIN 50765, tabled on 16 September 2021

To ask the Secretary of State for Work and Pensions, what progress her Department has made on implementing its policy to (a) extend automatic enrolment of employees in a workplace pension scheme to employees under the age of 22 years and (b) remove the lower earnings threshold for that automatic enrolment by the mid-2020s.

Answered on

21 September 2021

We are committed to implementing the 2017 Automatic Enrolment Review ambitions in the mid-2020s, lowering the age for being automatically enrolled from 22 to 18 and abolishing the automatic enrolment lower earnings limit, so that contributions are payable from the first pound of earnings.

In this way we will expand coverage of the successful workplace pension reforms and increase the amounts being put into retirement savings by millions of workers, particularly younger people and lower earners.

The 2017 Review report was clear that implementation will be subject to learning from previous workplace pension contribution increases, discussions with employers and others on the right approach, and finding ways to make these changes affordable. We will do this in light of the impact of the pandemic and our overall support for economic recovery, while continuing to support long-term saving, balancing the needs of savers, employers and tax-payers.

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