The Pensions Regulator has initiated 89 investigations into employers over suspected automatic enrolment non-compliance.
Auto-enrolment was launched for the UK’s largest employers in October last year.
The reforms, which will also capture medium and small firms between now and 2018, require companies to set up a pension scheme for their employees in line with rules laid out by the Government.
The Pensions Regulator, which is responsible for monitoring workplace pensions, says 1,153 employers have registered an auto-enrolment scheme so far, with 8 per cent facing scrutiny over possible non-compliance with their legal duties.
TPR says: “Despite our emphasis on supporting and eliciting compliance, we will take proportionate enforcement action where it is appropriate to do so.
“As of 31 March 2013, we had opened a total of 89 investigations into possible non-compliance by large employers.
“These investigations focused on employer readiness (e.g communication with jobholders) in relation to their duties and helping employers to become compliant.
“We have not yet needed to use our powers to compel compliance.”
Earlier this year, pensions minister Steve Webb confirmed the Government’s intention to ban consultancy charging for auto-enrolment.
The decision led to concern from some in the industry that fewer firms will access auto-enrolment advice, potentially increasing the risk of non-compliance.
However, Webb has insisted firms will not need advice to comply with the rules.
Syndaxi Chartered Financial Planners managing director Robert Reid says: “I am not surprised at all that a significant number of firms are struggling because the communication around auto-enrolment hasn’t been good enough.
“We will see more and more instances of non-compliance as smaller firms reach their staging dates.”