One in 25 to opt out of workplace pension when contributions rise

Quarter of retirees in “substantial debt”

Hannah Godfrey
clock • 2 min read

Only one in 25 (4%) of people said they would opt out of their workplace pension when contributions increase in 2018 and 2019, according to research from Aviva.

Half (50%) of the 2,007 people surveyed said they would definitely stay opted in, leaving one-third (34%) of employees unclear on what they would do, and one-in-eight (12%) saying they would at least consider leaving their pension scheme. In April 2018, minimum pension contributions are set to rise from the current 2% (typically 1% employer and 1% employee) to 5% (3% employee, 2% employer). Then, in April 2019, they will increase again to 8% (5% employee, 3% employer). Aviva managing director of workplace benefits Colin Williams argued "huge positives" could be taken from its findings...

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