De Lisle Ltd v The Pensions Regulator
[2024] UKFTT 409 (GRC)
i-Creation 2020 Ltd v The Pensions Regulator
2 May 2024
[2024] UKFTT 370 (GRC)
First-tier Tribunal
A company didn't file paperwork on time for their employees' pensions. They got fined £400. They tried to appeal saying they didn't get a reminder letter, but the judge said they should have known better and the fine stood.
Key Facts
- •i-Creation 2020 Ltd (Employer) failed to submit a re-declaration of compliance by the June 30, 2023 deadline, as required under the Pensions Act 2008.
- •The Pensions Regulator (Regulator) issued a Compliance Notice on July 10, 2023, with an August 21, 2023 deadline.
- •Employer failed to comply with the Compliance Notice, resulting in a £400 Fixed Penalty Notice on September 6, 2023.
- •Employer submitted the re-declaration of compliance on September 18, 2023, after receiving the Penalty Notice.
- •Employer claimed non-receipt of the Compliance Notice and sought a review, which was rejected.
- •Employer appealed to the First-tier Tribunal (FTT).
Legal Principles
Employers have statutory obligations regarding automatic enrolment into pension schemes, including providing declarations of compliance.
Pensions Act 2008
The Regulator can issue Compliance Notices and Fixed Penalty Notices for non-compliance.
Pensions Act 2008, section 40
Appeals against Fixed Penalty Notices can be made to the FTT after a review by the Regulator.
Pensions Act 2008, section 44
The FTT's role is to determine if there is a 'reasonable excuse' for non-compliance.
Tribunal Procedure (First-tier Tribunal) (General Regulatory Chamber) Rules 2009
The Regulator can rely on statutory presumptions of proper service and receipt of notices unless strong evidence to the contrary is provided.
Not explicitly stated in the Act, but implied by the Tribunal's decision
Outcomes
The FTT dismissed the Employer's appeal and confirmed the Fixed Penalty Notice.
The Employer failed to provide a reasonable excuse for non-compliance. The FTT accepted the statutory presumption of service of the Compliance Notice, and the Employer's late compliance did not constitute a reasonable excuse.
The matter was remitted to the Regulator.
To allow the Regulator to enforce the Fixed Penalty Notice.