A company didn't file paperwork on time for its pension scheme. The government fined them, and the court upheld the fine because the company didn't have a good reason for being late, even though they claimed they had address problems and their accountant made a mistake. The court said the company was responsible for staying up-to-date on their legal obligations.
Key Facts
- •Zabir Ali Optical Limited (Employer) failed to submit a re-declaration of compliance by the October 2, 2023 deadline.
- •The Pensions Regulator (Regulator) issued a Compliance Notice on October 25, 2023, and subsequently a Fixed Penalty Notice (FPN) on December 20, 2023, for £400.
- •The Employer challenged the FPN, citing address changes, non-receipt of reminders, and accountant errors.
- •The Regulator maintained that notices were properly served and that the Employer's excuses were insufficient.
Legal Principles
Pensions Act 2008 imposes obligations on employers for automatic enrolment; the Regulator has enforcement powers.
Pensions Act 2008
Employers must provide a Declaration of Compliance within five months of their duties start date and re-declare every three years.
The Employer’s Duties (Registration and Compliance) Regulations 2010
A person issued an FPN can refer the matter to the Tribunal after a review; the Tribunal decides on appropriate action.
Pensions Act 2008, s.44
Outcomes
The Tribunal dismissed the reference and confirmed the FPN.
The Compliance Notice was properly served; the Employer's excuses (address changes, non-receipt of reminders, accountant errors) did not constitute a reasonable excuse for non-compliance.