Active membership of occupational pensions has increased by over two million but average contributions have halved says the Office for National Statistics (ONS).
According to its Occupational Pension Schemes Survey 2014, average contributions to defined contribution (DC) schemes which were 9.1% of earnings in 2013 fell to just 4.7%.
Meanwhile active membership of private sector defined benefit schemes is now down to just 0.6 million.
Hargreaves Lansdown head of pensions research Tom McPhail (pictured above) said: "The increase in membership has clearly been driven by auto-enrolment. The decline in average contributions looks worrying, however membership of private sector DC pensions has shot up from just 1.2 million to 3.2 million in one year.
"The vast majority of these new members will have been enrolled at the minimum statutory contribution rate of 2% of earnings. This means the decline in the average is probably attributable to the diluting effect of these new members, rather than a cutting of contributions for existing scheme members."
It was vital contributions increased above the 8% minimum they would reach in 2018 he added.
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