Auto enrolment pension scheme contribution rates will increase in the week including 6 April 2018. Employers will need to contribute at least 2% of wages, and employees will need to make up the difference so total contributions are at least 5%. Employees will normally pay 3% and employers will normally pay 2%.

Contributions need to be increased for the full pay period which includes April 6, even if some of the period fell before April 6.

Rates will go up again next year to a total of 8% of wages. Obviously we are now talking serious money. The 1%-each rates that we have had up to now are just a pilot scheme to get people used to making pension contributions.