The Pensions Regulator to provide BPT users with an assessment tool
13 August 2015
TPR consulted during April and May 2015 on proposals to develop a basic tool to support users of HMRC’s Basic PAYE Tools (BPT). Around 200,000 small and micro employers who use BPT are due to stage over the next two and half years.
Whilst some payroll firms and pension schemes were against the regulator developing a new tool, the Consultation response shows that the majority of consultation responses were supportive of the proposal to develop a basic tool that aims to reduce the risks of error as a result of a predicted increased risk of manual assessment and calculation.
Executive director for automatic enrolment Charles Counsell said:
“We will continue to recommend that BPT users consider using software with integrated automatic enrolment functionality, but by developing this basic contribution calculation tool we aim to ensure that BPT users have access to the help they need to support compliance.
“The decision to develop a basic tool is recognition that significant numbers of BPT users will not seek a more integrated solution and will attempt manual calculations. This is another example of how The Pensions Regulator seeks to develop new ways to ensure we are meeting the needs of the diverse group of employers due to stage in the coming years.”
It is expected that the basic tool should be available to download from The Pension Regulator’s website by the end of 2015.
Helen Hargreaves, CIPP Policy & Research Manager, said: “We are very pleased The Pensions Regulator took on board our recommendations and conclusions. This announcement means small and micro employers will have an alternative option and will not be left stranded. However, with January 2016 fast approaching we hope the tool will be fully developed and available in time to support the many businesses which need a helping hand.”