Labour's pledge to reduce the auto-enrolment threshold is a step in the right direction but lower paid employees are still missing out under the ‘band earnings' rules, according to Scottish Widows.
Earlier today Labour said it wanted to reduce the threshold for eligibility from £10,000 to £5,772. This would see 1.5m more people, including some 1m women, auto-enrolled into a qualifying scheme. Shadow work and pensions secretary Rachel Reeves, making a speech to the Resolution Foundation, explained: "Someone just below the auto-enrolment threshold with annual earnings of just under £10,000 would be missing out on £338 going into their pension every year - half of which would be contributed by employers and the government. "Over a full working life, even if they remained at that lo...
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