HM Treasury has reported that over 500,000 more UK workers will have access to workplace payroll savings as BT, M&S, Veolia and Home Bargains join the National Coalition of Workplace Savings. Members of the coalition, which has government backing, agree to offer employees a payroll savings arrangement and encourage participation.
Employees can choose to have a proportion of their pay transferred automatically into their own savings pot, with funds accessible at any time without charge. Tesco, which is working with the coalition, has also launched a payroll savings scheme.
The government also plans to develop a factsheet with businesses explaining how payroll savings arrangements should operate within National Minimum Wage rules. This forms part of its work to remove barriers to employers offering these schemes.