Age limit on auto-enrolment worries Aegon

clock

Failure to reduce the upper age limit on auto-enrolment into workplace pensions from state pension age (SPA) may mean workers near retirement will lose their savings to means testing, Aegon says.

Pensions minister Steve Webb today announced automatic enrolment into workplace schemes will only apply when a person earns more than £7,475 per year. The earnings band, in line with the income tax threshold set to be introduced next April, is considerably higher than the previously proposed level of £5,035. Auto-enrolment will apply to everyone in employment aged 22 to SPA, which will reach 66 by 2020. But Aegon argues in its response to the review that the upper age limit should be reduced initially to 55, as workers already near retirement who have not saved previously risk losi...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on uncategorised

Two including former police officer charged in connection with £720,000 investment fraud

Two including former police officer charged in connection with £720,000 investment fraud

Due to appear at Westminster Magistrates’ Court

Sophia Panayi
clock 04 June 2026 • 1 min read
Last chance: MPS conference to explore different approaches in shifting landscape

Last chance: MPS conference to explore different approaches in shifting landscape

Takes place in London tomorrow

Professional Adviser
clock 01 June 2026 • 1 min read
Women in Financial Advice Awards 2026: Nominations close today!

Women in Financial Advice Awards 2026: Nominations close today!

Awards to be held at Hilton Bankside in London

Professional Adviser
clock 08 May 2026 • 1 min read