NEST not resting on its laurels, chief executive says

NEST not resting on its laurels, chief executive says

Reporting it had doubled membership to 2m over the financial year, NEST will not be resting on its laurels as the auto-enrolment challenges ahead are great, Tim Jones has said.

The outgoing chief executive said it had made progress but there is much more to come with Nest, making sure it is sufficiently prepared for the hard work ahead.

He said: “With 45,000 employers meeting their staging dates this year, which will rise to an average of 45,000 a month next year. As the only provider required by law to be open to any employer, we have to be ready for high volumes. That means we have had to continue developing our system capacity and processes to meet changing demands.”

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His comments came as the Nest Corporation published its annual report and accounts for 2014/15 on Tuesday, along with the annual report and accounts for the Nest pension scheme.

The scheme reported the doubling of members, including more than 1,000 self-employed, with the average opt out rate at 8 per cent on average and lower for younger members.

The corporation reported it had worked with more than 14,000 employers, compared with just under 4,700 in 2013/14, and had nearly £420m assets under management, compared to £104m in the previous year

The workplace pension provider also reported that 99 per cent of members were invested in its default funds - Nest Retirement Date Funds.

Around 1,400 intermediaries signed up to Nest Connect, the provider’s online hub for professionals offering AE services to employers.

Otto Thoresen, the corporation’s chairman, said: “Nest had successfully managed millions of pounds on behalf of its members, and helped thousands of employers set up their schemes and meet their duties.

“But the number of employers coming under the AE duties increases exponentially from now until 2018, so the hard work has only just started. Our priority is making sure we are prepared for the volumes to come.

“We have a statutory duty to help any employer who wishes to enrol their workers and look forward to playing our part in the next stages of the AE journey.”