MOTOR TRADE BUSINESS ADVISERS KHAN THORNTON’S ADVICE TO DEALERS ON THE PENSIONS REGULATOR’S REPORT
Motor trade business advisers and accountancy specialists Khan Thornton are asking the automotive industry to be aware of the risks and warnings highlighted in The Pension Regulator’s three-year corporate plan, published at the end of March.
Small and mid-sized firms are struggling with the new auto-enrolment rules, prompting the Pensions Regulator to promise guidance. “Dealers, specialists, garages and restorers in the British automotive industry are among those who need to comply, but have no previous experience of such matters,” says principal Dino Khan.
New employer duties over the next three years expose some 1.3m little businesses, facing new responsibilities for the first time, to possible pension scams (which have evolved thanks to reforms allowing open access to pensions), tax avoidance and exotic investment schemes.
The Pensions Regulator says that 8 out of 10 small employers will seek advice and help from accountants or advisers. However, as the report says, the challenge will be to enable them to …. find good quality advice, should they require it. “Industry bodies and operators ought to turn to specialists who cooperate with the government to ensure that the biggest set of changes in decades is adequately handled,” added Mr Khan.
There is currently no official list of pension schemes to which small employers could refer and among which to choose suitable ones for their automatic enrolment. This makes seeking help from independent, but specialised accountants and business advisers, a wise move.