Key Facts
- •Cemgate Limited (Employer) failed to submit a re-declaration of compliance by the June 30, 2023 deadline.
- •The Pensions Regulator issued a Compliance Notice on July 10, 2023, and a Fixed Penalty Notice (FPN) on September 6, 2023, for £400.
- •The Employer's attempts to review the FPN were unsuccessful.
- •The Employer argued that they did not receive the Compliance Notice due to building works at their address and challenges faced by their accountants.
- •The Regulator maintained that the FPN was appropriate and that the Employer's excuses were not reasonable.
Legal Principles
Pensions Act 2008 imposes obligations on employers for automatic enrolment into pension schemes.
Pensions Act 2008
The Pensions Regulator can issue Compliance Notices and Fixed Penalty Notices for non-compliance.
Pensions Act 2008
A person issued with a FPN can refer the matter to the Tribunal after a review.
Pensions Act 2008, s.44
The Tribunal decides on the appropriate action, considering the evidence and can confirm, vary, or revoke the penalty.
Pensions Act 2008
There is a rebuttable presumption of service if the notice is sent to the correct registered office address.
Case Law (implied)
Failure to collect post due to building works or infrequent visits does not constitute a reasonable excuse for non-compliance.
Case Law (implied)
Outcomes
The Tribunal dismissed the reference and confirmed the Fixed Penalty Notice.
The Employer failed to provide a reasonable excuse for non-compliance with the Compliance Notice. The Tribunal found that the Compliance Notice was properly served and that the Employer's difficulties did not constitute a reasonable excuse.