Last amended by Pensions Act 2014 in 2014. Introduced the single-tier state pension and reformed state pension qualifying years.
Independent editorial summary — not the official statute text. Read the official version on legislation.gov.uk.
Summary
The Pensions Act 2008 introduced automatic enrolment, requiring all UK employers to enrol eligible workers into a qualifying workplace pension scheme and make minimum contributions. It created the National Employment Savings Trust (NEST) as a low-cost pension scheme for workers without access to a suitable employer scheme. The Act represents the most significant expansion of workplace pension coverage in a generation.
Key Points
- Automatic enrolment of eligible jobholders into a qualifying pension scheme (s.3)
- Employer duty to make minimum contributions (s.3(2)–(3))
- Created NEST as a publicly-backed low-cost pension scheme (Part 2)
- Workers can opt out but must be re-enrolled every three years (s.8)
- Compliance and enforcement by The Pensions Regulator (s.35–s.44)
- Eligible jobholders defined as workers aged 22 to state pension age earning above threshold
- Phased implementation from 2012 for largest employers to 2018 for smallest
Parts & Sections
Amendments History
2011 — Pensions Act 2011
Accelerated the timetable for equalising state pension age and brought forward automatic enrolment contribution escalation.
2014 — Pensions Act 2014
Introduced the single-tier state pension and reformed state pension qualifying years.