Automatic Enrolment (Offshore Employment) (Amendment) Order 2020

Lord Wei Excerpts

Tuesday 19th May 2020 Lords Chamber

[Lord Wei (Con)]

My Lords, I join other speakers in this debate in congratulating the Government and the Minister on the principle of auto-enrolment. There are many speaking today who have been involved over the years in bringing this policy to fruition. I refer to my interests as entered in the register, which have historically related to this area. However, I also want to raise a bit of a dissenting voice, if I may.

There can be a danger of thinking that the job is done with auto-enrolment, and I will be interested to hear my noble friend the Minister’s perspective on this. I am very conscious that when you think you have done a great job, you tend to roll out the concept to more and more people. In many cases that is a good idea, but I recall that on many past occasions, the state of the American tax system for employees has often deterred the organisations I have worked with from doing too much with America. In an era when we are going to do more on free trade, has thought been given to whether this policy and others that could follow from it might deter overseas employers from employing British people, whether at sea or offshore, or in other ways? Has this been looked at? I sincerely hope that the Government will not apply these policies and ideas blanket-style to offshore workers who have some relationship with British companies, which may then deter trade.

I want to make a wider point beyond the policy of auto-enrolment. What are the Government doing to address the issue of people who have had multiple employers, especially given Covid? I know that this goes beyond the scope of the statutory instruments, but I would be keen to hear from the Minister what is being done to ensure that data from the different pension providers into which people have been auto-enrolled can be gathered over the course of their careers, so that they can get a decent picture of what they have saved or that has been saved automatically for them. Sometimes, people can be enrolled in this way without having an active involvement in or understanding of what they have been saving.

I would love to hear what work is being done to open up the data protocols, so that people can manage the money they have saved, get good advice and find a way to understand and go beyond the complexity often associated with saving for pensions. With the new technology, they will even be able to toggle their enrolment on and off in future, so that when we go through periods like this, in which we need people to save more cash up front, they can do so. I broadly welcome the principles but I would like to hear from the Minister what is being done to go further, instead of just resting on our laurels.