Auto-enrolment still means little to many

Almost three-fifths of employees who don’t have a pension are still not aware of auto-enrolment, a new survey from Standard Life has shown.

Auto-enrolment has been introduced by the government in a bid to get more people saving for their retirement, with an ageing population and concerns growing about how prepared those approaching the end of their working life are. Many people without substantial savings will be using a quick home sale to release equity from their property.

However, when asked about auto-enrolment by Standard Life, four-fifths said they wanted to learn more, with over half of those expecting the government to go to greater lengths to educate the populace.

With the auto-enrolment start date looming on October 1st, the Association of British Insurers insists it an “opportunity not to be missed” in terms of getting people to plan properly for their retirement.

“It cannot be stressed enough how important it is to save for retirement. Automatic enrolment will help workers start a savings habit that will stay with them for a lifetime,” said Stephen Gay, the group’s director of life, savings and protection.