02 September 2025
On 27 August 2025, the Financial Conduct Authority (FCA) published a corporate statement on workplace savings schemes. The statement provides guidance and regulatory clarity to encourage wider adoption of payroll-based savings schemes by UK employers.
The FCA aims to boost financial resilience by supporting workplace savings schemes, especially as 1 in 10 UK adults have no cash savings, and 1 in 5 have less than £1,000.
Despite their benefits, only 7% of employers (according to the Department for Work and Pensions) currently offer such schemes, largely due to perceived regulatory barriers. However, our very own Payroll Insights Survey Report 2025 – In-house shows that 18% of respondents offer savings schemes as part of their benefit package.
How workplace savings models work
There are two main models of workplace savings schemes:
- The ‘opt-in’ model, where employees choose to save via payroll
- The ‘opt-out’ model, where employees are automatically enrolled onto a workplace savings scheme but can choose to leave.
The FCA focuses on opt-in schemes, which are currently more feasible under existing legislation.
UK Savings Week 2025
The CIPP is a proud supporter of ‘UK savings week’ 2025, and to celebrate, we are hosting a webinar to discuss workplace savings.
Join us at 11am on Tuesday 23 September to hear from an employer who has successfully implemented workplace savings, and from NEST Insight around the key considerations to review when looking at workplace savings for your workforce.
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