Islanders could be required to save into workplace pensions under plans being championed by the Social Security Minister – although the scheme may not be introduced before 2030.

Senator Elaine Millar told a Scrutiny hearing yesterday that establishing a duty for employers to provide workplace pensions was a key priority for the new political term.

Countries including the UK, Switzerland, the Netherlands and Australia have such schemes, while Guernsey also brought in the initiative in 2024.

The minister told the Health and Social Security Panel that, although it might not be possible to have the new arrangements in place by the end of this political term in summer 2030, she wanted to spearhead significant progress during that time.

I think we should be trying to do it as soon as we can because the sooner you start saving, the better the outcomes are

Social Security Minister Elaine Millar

“I think the reality of getting the infrastructure, getting businesses ready, consulting about what the levels might be will take some time,” said Senator Millar. “The legislation [drafting] will be reasonably difficult.

“We may also have to do some work around pension regulation that has taken a bit of a back seat and we might bring that work forward as well, so there are quite a lot of elements to be brought together.

“If we could do that in four years, it’d be fantastic – I suspect it will take a little bit longer, but I think we should be trying to do it as soon as we can because the sooner you start saving, the better the outcomes are.”

Senator Millar said that consideration needed to be given to how the scheme would operate, saying she was in favour of keeping it as simple as possible and taking a phased approach to implementation.

Other priorities highlighted by the minister for the start of the new term were work focused on measures to address the impact of the cost-of-living on Islanders, the cost of healthcare and ensuring the Social Security Fund and the Long Term Care Fund were sustainable.

Some initiatives focused on the cost-of-living would be included in the Budget, due to be unveiled by the Council of Ministers next week.