Workplace pension

Category: Pensions · Reviewed by Amy Price, Account Executive · Last reviewed 2026-06-10

A workplace pension is a pension scheme arranged by an employer for the benefit of its employees. Under the Pensions Act 2008 and the supporting Occupational and Personal Pension Schemes (Automatic Enrolment) Regulations 2010, every UK employer is required to enrol eligible jobholders automatically into a qualifying workplace pension scheme and to pay a minimum employer contribution. Workplace pensions may be defined contribution (DC) or, increasingly rarely for private sector new joiners, defined benefit (DB).

Category: Pensions Also known as: Occupational pension, employer pension Statutory basis: Pensions Act 2008 Related concepts: Auto-enrolment, Pensions Act 2008, Defined contribution pension, Defined benefit pension

Definition

A workplace pension is the modern term used by the Pensions Regulator and DWP for any pension scheme an employer makes available to its employees. The term covers occupational pension schemes (held in trust under a single trust deed) and employer-arranged personal pensions including group personal pensions (GPPs) and group stakeholder pensions.

Legal / Regulatory basis

The principal sources are the Pension Schemes Act 1993, the Pensions Act 1995, the Pensions Act 2004, and most recently the Pensions Act 2008 (auto-enrolment) and the Pension Schemes Act 2017 (master trust authorisation). The Pensions Regulator (TPR) supervises occupational pension schemes; the FCA regulates personal pensions and the firms providing them.

Scope of cover

A workplace pension typically provides a retirement income through accumulated DC pot or accrued DB rights. It also commonly provides dependants’ benefits on death before retirement. Cover terminates when the member leaves service (although accrued rights are preserved subject to statutory revaluation).

Practical example

A 100-employee firm has a workplace pension via a group personal pension provided by Aviva. Auto-enrolment applies; eligible jobholders are enrolled at 5% employee + 3% employer minimum (the statutory minimum); the firm matches up to 7% as a voluntary employer enhancement. New joiners are auto-enrolled on day one with a one-month opt-out window.

See also

References

  1. Pensions Act 2008 — https://www.legislation.gov.uk/ukpga/2008/30
  2. Occupational and Personal Pension Schemes (Automatic Enrolment) Regulations 2010 (SI 2010/772) — https://www.legislation.gov.uk/uksi/2010/772
  3. Pension Schemes Act 1993 — https://www.legislation.gov.uk/ukpga/1993/48
  4. Pensions Act 1995 — https://www.legislation.gov.uk/ukpga/1995/26
  5. The Pensions Regulator, Auto-enrolment guidance for employers — https://www.thepensionsregulator.gov.uk

This entry is part of the Apex Insurance Wiki. Last reviewed by Matt Bartlett on 2026-06-10. Next review: 2026-12-10.

Apex Insurance Brokers Limited. Authorised and regulated by the Financial Conduct Authority, FRN 724952. Registered in England and Wales, Companies House 07014570. This entry provides general information about UK insurance concepts and is not regulated advice. Consult your insurance broker on your specific position.

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