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Small employers are rejecting the offer of pensions advice in the workplace, according to DWP research published last week.

The 130-page document released last week evaluates the success of the Pensions Education Fund, which was set up in 2006 to increase awareness of types of retirement provision.

But its findings showed many companies approached by bodies representing the PEF became suspicious fearing a sales pitch.

And this effect was less pronounced in large businesses with well established human resource departments, meaning smaller firms could be missing out on help and advice.

One anonymous provider told researchers: "As soon as they hear the word pension some employers will not listen to you because they are so used to people trying to sell pensions.

"We purposely did not include the word pension in any of our literature from the start, because it just makes you think of a salesman. We talk about financial planning, not pensions."

And the report states: "Providers found employers to be unexpectedly wary of schemes offering to deliver retirement planning information in the workplace.

"As a result, a large amount of effort was required firstly to establish interest and then to convert interest into definite delivery plans.

"Providers also found larger employers [those with at least 100 staff] easiest to engage because they were generally able to release a reasonable number to attend PEF events.

"With all providers independently establishing these as the most productive employers to approach, there is a perhaps a risk that, unless specifically targeted or catered for, those working for smaller firms could be excluded from initiatives of this type."