How to choose a workplace pension provider

Find out how to choose a workplace pension provider that aligns seamlessly with your business.

Published: 15 Dec 2025

Key points

Understand your roles and responsibilities in setting up a workplace pension.
Find a provider that offers an auto-enrolment solution that fits the needs of your business.
Consider factors like a provider’s charges and fees, investment options and payroll integration.
You can switch workplace pension providers but in some circumstances you must consult your employees first.

If you’re a business owner who employs people, you’re required to set up an auto-enrolment workplace pension for all eligible employees. Knowing which provider to choose involves lots of careful thought and consideration, which is why we’ve produced this guide to help you.

We’ve covered everything from your legal duties as an employer, to the key features to consider – costs, payroll integration and customer support are all vital services a workplace pension provider should offer. We recommend you also consider the extent these features and services align with your business needs as this can vary between providers.

What are the legal requirements of a workplace pension?

In 2012, the UK government made it a legal requirement for employers to enrol all eligible employees into a workplace pension to help people save enough for their retirement. When setting up a workplace pension scheme, there are certain legal duties you are responsible for meeting. You could be fined if you don’t comply.

Choosing a pension provider that meets The Pension Regulator’s requirements is important. They have a robust approach to regulation and monitor schemes closely to reduce any risks if they arise.

Is there a provider that will suit the needs of my business?

Before choosing a provider, you should consider the specific needs of your business. Some might be suited more towards smaller businesses, while larger companies might need a provider that offers more tailored solutions – like contract or trust-based schemes.

As an employer you should also think about how much you plan to contribute, as this could affect your provider choice too. You’re legally required to contribute at least 3% of your employees’ qualifying earnings to their workplace pension.

What are the key features to compare when choosing a provider?

One of the biggest contributing factors to finding a provider that’s right for you is the charges and fees associated with a workplace pension. Think about things like:

Are they being transparent about their charges up front?
Which provider offers the best value from their charges – what else do they offer?

The investment options available are also crucial in providing the best possible pension scheme for your employees. Most providers will have a default fund into which members will be auto-enrolled.

Your employees might want to change the funds they are invested in based on their personal beliefs. To help them do this, you should look for a provider that can offer ethical or Shariah-compliant funds, as well as those that consider environmental, social and governance (ESG) factors.

Lots of providers today have online tools that make managing pensions easier for their members. Services like mobile apps, managing their account online and access to help and support where needed all make a provider stand out from the crowd.

Other factors that you might want to compare between providers are:

Provider reputation and reliability

Choosing a pension provider that has both stability and credibility will help make sure your members’ investments are looked after. To make sure your pension provider is one you can trust, check they’re regulated by The Pension Regulator.

Integration and administration

Finding a provider that has the capability to work seamlessly with your payroll will make things easier in the long run, saving you time and money.

Once you’ve set up your scheme, you’ll have other responsibilities – things like automating enrolment for new employees, reporting and declarations of compliance. You must also re-enrol any eligible employees who have opted out every three years.

Some providers have tools to help you with the ongoing admin of running a workplace pension, so look for those that offer holistic support throughout.

Employee engagement and support

Giving your employees the support and guidance they need is important when it comes to understanding their pension. Although it’s your job to set up and auto-enrol all your eligible employees, they also have a responsibility to manage their pension carefully.

Selecting a provider that can provide education, tools and resources to your employees, will help them feel confident in managing their workplace pension. They may choose to increase the amount they contribute each month or change their investment choices. This means flexibility is a key factor to consider too.

Switching providers

If you’re thinking about switching your workplace pension scheme to a different provider, you can—but in some circumstances, you might need to consult your employees first.

This process can vary depending on your current schemes setup, so it’s strongly recommended to speak with a financial adviser before making any changes. They can help ensure you stay compliant with regulations and guide you through the process based on your business’s and employees’ needs. A financial adviser may charge a fee for their services.

Other helpful resources

The Pension’s Regulator has lots of resources to help employers fulfil their auto-enrolment duties. Use their tool to create your timeline and make sure your scheme is set up before the deadline.

They have lots of other information too, like working out which tax relief method is best for your staff and checklists to keep on top of your compliance duties.