Pension contributions drop 11% during first lockdown

‘Dramatic’ drop due to pandemic’s economic impact

Jenna Brown
clock • 3 min read

Contributions to workplace defined contribution (DC) schemes dropped 11% during the first national lockdown last spring, official data reveals.

Figures from the Office for National Statistics (ONS) showed employee contributions fell by 11% between January and March last year. Q2 (between April and June) was a similar story with an 11% employee contribution drop. Employers also cut contributions by 5% during the second quarter. England's first national lockdown started on 23 March with millions of people furloughed on 80% of salary causing significant strain on household budgets and a consequent reduction in automatic enrolment contributions. While contributions were cut back membership of workplace DC schemes remained steady ...

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