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Auto-enrolment provides tailwind for retirement savings
Thursday 02 Mar 2017 Author: Daniel Coatsworth

The total amount of money invested in personal pensions by employees and employers reached £24.3bn in the fiscal year ending 5 April 2016, a new record and up from £20.3bn a year earlier.

Automatic enrolment into pension schemes is certainly a major reason behind the all-time high figure.

This trend is likely to continue as regulations require a minimum 8% contribution (including 5% from employees) from April 2019 onwards.

At the moment employers and staff only have to contribute 1% each – all figures are based on the employee’s salary level.

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