Quick Poll: Are you seeing an increase in employees pausing contributions to workplace pensions?

My friends at CIPP are running a poll for their members because of lack of information about what staff are really doing on “opt-outs” and “pension pausing”.

As I’ve been telling tPR, the Regulator is not getting a true picture of pausing and opt-outs because they only get half the story through HMRC’s RTI. They can see where an employee isn’t paying but they can’t tell if that’s because they are part of a salary exchange (sacrifice) scheme or have just opted out or paused contributions. That’s because the development of FTI to include employer contributions, planned for 2018, was never built.

So there is no public information on opt-outs and pauses. The CIPP, who are the trade body for payroll are data-fiends and they will be using this information to help their members , people like me and even Government – better understand what is really happening with regards auto-enrolment.

Here’s what they are saying to payroll managers who use their site

Recently there has been much discussion in the pension sector surrounding contributions during the cost-of-living- crisis. Specifically opting out or pausing pension contributions during the crisis.

On one hand, pausing contributions or opting out will allow individuals to keep more of their salary now if budgets are tight. However, this would come at the cost of long-term financial security for retirement.

As you can see, this is likely to be a personal decision and recommendations given for either side are to be given with great care.

The policy team here at the CIPP would like to know if you have experienced an increase in contributions pausing or opt outs? And if so, is the cost-of-living given as a reason to do so?

Head over to our news page to take part in our quick poll, it only takes a minute and is really appreciated.

I’ll try and get the poll embedded on this page, but I’m sure that you’re clever enough to find the poll on the CIPP’s news page – it’s also now available on the sidebar of this linked page.

About henry tapper

Founder of the Pension PlayPen,, partner of Stella, father of Olly . I am the Pension Plowman
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