Student Loan employer prompts being sent to pension providers

04 May 2016

Some of our members who are pension providers have highlighted a glitch where they are receiving Student Loan employer prompts from HMRC where no deduction is necessary.

We alerted HMRC to the issue of unnecessary prompts and they are already aware of the problem. It is being investigated at present and in the meantime the guidance on the Helpline has been updated to reflect this.

HMRC acknowledged that GNS messages for Student Loans may be issued to pension providers who do not need to deduct Student Loans. If National Insurance contributions are not due, Student Loan deductions will not be due. In these cases the prompt can be ignored as deductions are not required.


Student Loan employer prompts

From 6 April 2016 HMRC will send a generic notification if you don’t report any student loan deductions for a specific employee when a deduction is expected in your payroll submission. The generic notification is a prompt for you to check and make the correct deductions for future pay periods.

See our previous news item for further details.