Towergate launches SME workplace pension

by Gill Montia

Story link: Towergate launches SME workplace pension

Towergate Financial has launched a new pension solution specifically for small and medium-sized enterprises (SMEs).

“Workplace Pension in a Box”, which has been developed in partnership with HSBC, has been designed for businesses with fewer than 20 employees, and according to Towergate, is a simple, “plug-and-play” scheme that is easy to administer and can meet employers’ duties under up and coming pension reforms.

From October 2012, employers have to begin automatically enrolling eligible staff into a pension scheme and firms will have to pay a minimum percentage of an employee’s salary into the scheme.

Towergate Financial managing director, David Taylor, comments: “We know that small firms do not feel confident in choosing a pension scheme because of its complicated nature and costs.”

He adds: “Acting now is … a positive move for staff who will be reassured that their employer is making plans for their pension provision.”