Auto-enrolment for 4 million people who are members of hybrid pension schemes could be delayed until 2017 through a loophole in the legislation, a consultancy has warned.
The rule which allows companies with defined benefit (DB) or hybrid schemes postpone the enrolment until 2017 was originally brought in to align benefits and contributions for defined contribution (DC) schemes and DB schemes by 2017. However, LCP principal Andy Cheseldine (pictured) said when the legislation was passed in 2008 it included every hybrid scheme, even those with closed DB elements or DC schemes, including life cover. He said companies which only use the DC part of their hybrid scheme could take advantage and postpone automatic enrolment. He added: "We estimate that ove...
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