The proposed National Pension Saving Scheme could cost the travel industry twice as much as other sectors, a pensions expert has warned.

Deloitte and Touche LLP partner in consulting David Robbins said travel companies of all sizes stand to pay more in time and money.

Robbins said problems will arise as staff who don’t currently make contributions due to low wages are forced to do so for the first time, saddling employers with extra payments.

Although there are no clear figures on how much the proposals will cost the travel industry, it is expected to cost UK employers £4 billion a year.

Robbins predicted companies will be reluctant to increase pay because it will mean paying more in pension contributions too while extra administration costs will be incurred to cover part-time and temporary staff for the first time.

But the proposals have won support from the Transport Salaried Staff’s Association, which believes it will leave employees, particularly the lowest paid, better prepared for their future.

Sheen-based Clive Green Travel owner and managing director Clive Green warned anything costing businesses more could result in job losses. He said: “For me it is an additional cost and I’m not looking to incur any additional costs.”