Access To Stakeholder Pension Scheme

The previous requirement on a UK employer employing five or more employees to designate and facilitate access to a stakeholder pension scheme has been abolished with effect from 1 October 2012. 

The following transitional provisions will apply: 

• An employer can continue to deduct contributions from the salary of an employee who is an existing member of a stakeholder scheme. 
• If an existing member asks his employer to stop the deductions, the employer must tell the employee that it is no longer required by law to deduct contributions and pay these to the scheme on his behalf, but that the employee can still make payments directly to the scheme, provided this is permitted by the scheme rules.