Over two in every five firms plans to improve their employee benefits scheme this year, it has been claimed.

Research by trade body Group Risk Development (GRiD) found 41 per cent of companies are looking to up the amount of perks they provide for their staff.

At the moment, the average employee benefits package costs around 2.19 per cent of payroll, excluding pensions.

If the value of these packages is increased by all the firms claiming they intend to improve it this year, it will represent a significant surge in interest among employers in providing such bonuses.

GRiD explained that last year only 16 per cent of businesses raised their employee benefits packages.

Furthermore, the extras being offered to staff may increasingly include group risk benefits like insurance cover.

As many as 78 per cent of firms questioned by GRiD said they were prepared to provide these types of perks alongside pensions when auto-enrolment legislation is brought in.

Of businesses that do not currently offer cover products, as many as 78 per cent said they would think about offering critical illness protection, 68 per cent would consider introducing income protection and 53 per cent were look into life insurance.

As many as 19 per cent of employers claimed they wanted to help staff cope while government cuts were ongoing and 12 per cent said they would probably increase employee benefits to counter the slashes.

Spokesman for GRiD Katharine Moxham said: “It is very positive to see that employers are considering further investment in their benefits package alongside auto-enrolment and specifically that they are acknowledging the major role protection benefits can play in managing absence and fostering employee wellbeing.”

Auto-enrolment regulations were published on February 1st following the announcement that small businesses will be given extra time to prepare for the changes.