A small business didn't meet a deadline for pension paperwork and received a £400 fine. They appealed, but a judge ruled the fine was fair because they hadn't shown a good reason for missing the deadline.
Key Facts
- •Diss Discount Ltd (Appellant) failed to comply with a Compliance Notice (CN) issued by The Pensions Regulator (TPR) requiring a declaration of compliance by 31 May 2023.
- •TPR issued a Fixed Penalty Notice (FPN) of £400 for non-compliance.
- •The Appellant's staging date for auto-enrolment duties was 1 November 2016.
- •TPR sent reminders via email and post to addresses provided in the Appellant's 2020 declaration of compliance.
- •The Appellant submitted its declaration of compliance on 27 June 2023, after the deadline.
- •TPR refused the Appellant's application for a review of the FPN.
Legal Principles
The Pensions Act 2008 imposes requirements on employers for auto-enrolment, including issuing declarations of compliance.
Pensions Act 2008
TPR can issue FPNs for non-compliance with CNs, and these can be reviewed by TPR. References can be made to the First-tier Tribunal (FTT).
Pensions Act 2008
The FTT's role is not that of an appellate court, but to make its own decision on the evidence.
In the matter of the Bonas Group Pension Scheme [2011] UKUT B 33 (TCC)
Outcomes
The Tribunal dismissed the reference and remitted the matter to the Pensions Regulator.
The Appellant failed to demonstrate a good reason for non-compliance with the CN. The FPN was lawfully issued, and the Tribunal had no power to reduce the fixed penalty.