Nest · CAS-115908-F3P6

CAS-115908-F3P6

Ombudsman’s Determination Applicant Miss E

Scheme NEST (the Scheme)

Respondents Evolve Practice Management Limited (the Employer)

Outcome

Complaint summary

Background information, including submissions from the parties

In March 2022, Miss E began her employment with the Employer.

Between May 2022 and December 2022, the Employer deducted pension contributions from Miss E’s pay but failed to pay them into the Scheme.

Miss E was enrolled into the Scheme on 17 January 2023.

In June 2023, Miss E ceased employment with the Employer.

1 CAS-115908-F3P6 On 2 August 2023, Miss E received notification from the Scheme administrator that the Employer had told it there were no further contributions due the Scheme.

On 17 October 2023, Miss E complained to the Employer about the missing pension contributions. Miss E did not receive a response to her complaint.

On 1 January 2024, Miss E brought her complaint to The Pensions Ombudsman (TPO).

Miss E could only provide a payslip for November 2022 which detailed the pension contributions deducted from her pay and the corresponding employer contributions. These deductions amounted to £111.68. A breakdown of these deductions has been included in Appendix one.

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Miss E’s complaint was considered by one of our Adjudicators who concluded that further action was required by the Employer as it had failed to remit all the contributions that were due to the Scheme. The Adjudicator’s findings are summarised below:-

• The Adjudicator stated that TPO’s normal approach, in cases such as these, was to seek agreement from all parties on the facts of the complaint, including the dates and amounts of contributions involved. She said that the Employer had not adequately engaged with TPO or provided sufficient evidence to show that the outstanding contributions had been paid into the Scheme. She had to base her Opinion on the information provided by both Miss E and the Employer.

• According to the payslips provided, the total amount outstanding was £886.71. So, in the Adjudicator’s Opinion, on the balance of probabilities, contributions had been deducted from Miss E’s salary but had not been paid into the Scheme. In addition, the Employer had not paid any of the employer contributions that were due over the same period. As a result of its maladministration, Miss E was not in the financial position she ought to be in.

• In the Adjudicator’s view, Miss E had suffered serious distress and inconvenience due to the Employer’s maladministration. The Adjudicator was of the opinion that an award of £1,000 for non-financial injustice was appropriate in the circumstances.

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Ombudsman’s decision

4 CAS-115908-F3P6 Directions

(i) pay Miss E £1,000 for the serious distress and inconvenience she has experienced;

(ii) Miss E’s

(iii) establish with the Scheme administrator whether the late payment of contributions has meant that fewer units were purchased in Miss E’s Scheme account than she would have otherwise secured, had the contributions been paid on time; and

(iv) pay any reasonable administration fee should the Scheme administrator charge a fee for carrying out the above calculation.

Camilla Barry

Deputy Pensions Ombudsman

1 August 2025

5 CAS-115908-F3P6 Appendix One Date Employee contributions Employer contributions

May 2022* £63.82 £47.86

June 2022* £63.82 £47.86

July 2022* £59.97 £44.98

August 2022* £67.66 £50.75

September 2022* £63.82 £47.86

October 2022* £59.97 £44.98

November 2022 £63.82 £47.86

December 2022* £63.82 £47.86

Total amount: £886.71 £506.70 £380.01

*Payslips provided by the Employer

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Appendix Two

NEST Scheme Rules

Rule 7.1.1

Where in respect of a member a participating employer has elected to use the Scheme to:

(a) fulfil its duties under:(i) in relation to Great Britain, section 2(1) (by virtue of section),

3(2), 5(2) or 7(3) of the 2008 Act; or(ii) in relation to Northern Ireland, section 2(1) (by

virtue of section), 3(2), 5(2) or 7(3) of the 2008 NI Act), or

(b) arrange for a worker to become a member of the Scheme within article 19(2A) of the

Order,

from the date that admission to membership or the making of contribution arrangements in

relation to that member takes effect, the participating employer shall pay and the Trustee

shall accept such contributions as may be required in order for the Scheme to meet the

quality requirement referred to in Part 1 of the 2008 Act (Part 1 of the 2008 NI Act), or the

alternative requirement referred to in Part 1 of the 2008 Act (or Part 1 of the 2008 NI Act),

in relation to the member, having regard to the contributions being paid by the member

under rule 9.1.

Section 20 Pensions Act 2008

20 Quality requirement: UK money purchase schemes

(1) A money purchase scheme that has its main administration in the United Kingdom

satisfies the quality requirement in relation to a jobholder if under the scheme—

(a) the jobholder's employer must pay contributions in respect of the jobholder;

(b) the employer's contribution, however calculated, must be equal to or more than 3% of

the amount of the jobholder's qualifying earnings in the relevant pay reference period;

(c) the total amount of contributions paid by the jobholder and the employer, however

calculated, must be equal to or more than 8% of the amount of the jobholder's qualifying

earnings in the relevant pay reference period.

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