Clause 7 - Timing of automatic re-enrolment

Pensions Bill [Lords ] – in a Public Bill Committee at 5:15 pm on 12 July 2011.

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Question proposed, That the clause stand part of the Bill.

Photo of Steve Webb Steve Webb The Minister of State, Department for Work and Pensions

This clause need not detain us too long. It is about the timing of automatic re-enrolment, which the Committee will know was originally proposed to be after three years, with the facility for a firm to delay by three months beyond that. The clause simply allows the firm to allow re-enrolment three months before that, at 2 years and 9 months. That is a straightforward easement. Given the conversations we have had, that will increase pension saving. The essential point of this is flexibility. That is a small but welcome change.

Question put and agreed to.

Clause 7 accordingly ordered to stand part of the Bill.