Builders in line for pensions boost

Published on 06/09/2012 02:35

Builders, waiters and gardeners are among those who will benefit most from plans to enrol workers automatically into pension schemes, according to a new government study.

The industries where workers are least likely to have a workplace pension were construction – where only a third of employees saved – distribution, hotels and restaurants (28 per cent), and agriculture and fishing (19 per cent), said the Department for Work and Pensions.

In contrast, two-thirds of gas fitters, electricians and plumbers are building savings.

About 13.5 million workers were not saving into a workplace pension last year, mainly those employed in private companies. Automatic enrolment starts on 1 October, with people aged over 22 earning more than £8,105 a year starting to join their employer’s pension scheme.

The programme will begin with the biggest firms, with all staff being enrolled by April 2017. Pensions minister Steve Webb said: “Pensions are far too important to be the preserve of the few. All workers deserve a decent income in retirement and far too many are missing out at the moment, particularly those on low to moderate incomes who need them most.

“Next month, with the dawn of automatic enrolment, millions of workers from every industry across the country will start saving so they can secure a more prosperous retirement.”