![Pinterest](https://pinterest.com/pin/create/button/?url=https://uknews.evprotec.com/huge-pension-rule-shake-up-for-millions-including-age-change/&media=https://uknews.evprotec.com/wp-content/uploads/2023/07/fcyj57-pension-pot-label-british-769285729.jpg&description=POT LUCK Published : 12:16, 11 Jul 2023 Updated : 12:16, 11 Jul 2023 MILLIONS could save more in retirement after a big shakeup of pension rules is set go ahead. The government has today confirmed that two key changes to auto enrolment in pensions schemes are moving forward. 1 Millions could save more in retirement after a big shakeup of pension rules is set to go ahead Credit: Alamy The proposals would lower the age at which people are automatically placed in a workplace pension to 18. Currently, employers must automatically enrol workers into a pension scheme and make contributions if they are aged between 22 and the state pension age and earn at least £10,000 a year. The lower earnings limit, at £6,240, is the minimum level of an enrolled worker's earnings on which they and their employer have to pay contributions. Removing the lower earnings limit could help to bring more lower earners and people working part-time jobs into automatic enrolment. The combined measures are expected to increase total pension contributions by £2billion per year in 2022/23 terms – or by £45billion over 30 years, according to the finance experts at AJ Bell. It is still not yet clear when the changes will actually come into place but a public consultation is set to be published later this year. The proposals will give the Secretary of State powers to amend the age limit and lower the qualifying earnings limit for automatic enrolment . Tom Selby, head of retirement policy at AJ Bell, comments: 'Six years after an independent report backed the idea of expanding automatic enrolment, the government is finally getting the wheels in motion. "The proposal to ditch the lower earnings limit, currently set at £6,240, so the first pound of earnings counts for both a matched contribution and tax relief, should help more people build bigger retirement pots over their careers. 'Similarly, lowering the age at which someone first qualifies for auto-enrolment from 22 to 18 will be a significant ste){kind=link}
MILLIONS could save more in retirement after a big shakeup of pension rules is set go ahead.
The government has today confirmed that two key changes to auto enrolment in pensions schemes are moving forward.
The proposals would lower the age at which people are automatically placed in a workplace pension to 18.
Currently, employers must automatically enrol workers into a pension scheme and make contributions if they are aged between 22 and the state pension age and earn at least £10,000 a year.
As it stands, workers can still opt in to their work’s pension scheme at 18 but it isn’t automatic.