Explore options ahead of Auto-Enrolment
With the commencement of the government’s auto-enrolment pension scheme imminent, pensions are top of mind for many businesses right now.
Here, we speak with experts about the long-term strategy of the Pensions Authority and what companies can do, in these last remaining months, to prepare for January 1, 2026.
Neville Maxwell, master trust sales manager, New Ireland, says it’s important that employers and employees are fully aware of all options available to them and how these compare against the My Future Fund auto-enrolment scheme.
“This is a real opportunity for employers to take a proactive approach to ensure that the pension arrangement they put in place is in line with their needs and aspirations as an organisation.
“We recommend that they put in the time and effort now and get advice from a financial broker or advisor that is tailored to their needs and those of their employees,” he says.
“The look back to determine eligibility for the scheme will take place in early December.
“So if employers plan to use an alternative to auto-enrolment, a contribution to a pension arrangement will need to show on an employee’s November payslip to avoid being automatically enrolled in My Future Fund in January.
“However, with timelines getting tighter, we recommend not rushing into a decision — even if that means having employees temporarily auto-enrolled in the My Future Fund scheme while the employer puts in place a longterm solution that reflects both their business strategy and approach to the provision of employee benefits.”
Maxwell notes that in many cases, a master trust company pension plan is an ideal solution for both employers and employees.
This is especially true for employees who pay tax at the higher rate.
“This is an opportunity for employers to look beyond the January 1 deadline and set up a flexible plan that meets their needs both now and into the future, provides the efficiencies they need, and stands out as a best-in-class offering to their employees,” he adds.
Andrew Nugent, director of supervision, enforcement, policy and legal at the Pensions Authority, says the long-term objective of the authority’s supervision, advisory and information activities continues to be a pensions system where retirement savings are secure, well managed, cost-efficient and easily understood and which encourages pensions savings.
“The 2025-29 strategy is consistent with the previous strategy by its emphasis on forward-looking, risk-based supervision and on the importance of reducing the number of pension schemes to ensure effective oversight, strong governance and good value for members.
“An essential part of risk-based supervision is the collection and analysis of comprehensive scheme data so that the authority can identify emerging risks and take appropriate action,” he says.
Nugent adds that the work of the Pensions Authority in 2025 reflects the increasing complexities of supplementary pensions.
New Ireland , Neville Maxwell. Fennell Photography 2022
“These are partly a result of the ongoing process of adjustment to the standards required under IORP II [the second EU directive on pension schemes, introducing new obligations for trustees].
“Some are the direct result of recent EU regulations, which increasingly apply to pensions as well as to other financial sectors, which reflects the view that pension savers are entitled to a similar level of consumer protection as that provided to other savers,” he says.
Photo: Andrew Nugent of the Pensions Authority
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