I'm running BG1 on a Windows 7 64 system and the game is not autosaving at all. Quicksave and manual saves all work fine. I've reinstalled twice and tried running as admin and under Win XP compatibility mode and still have the same problem.

Any suggestions?

I could be wrong but I can't recall BG 1 or 2 ever having an autosave.

Quick save works a lot better in that you can just tap Q when you want it to save and when it is SAFE to save, rather than relying on your autosaves and then having the game autosave at a point of no return.. ie, you trigger an event that you can't pass, but aren't able to leave until you do - like a tough battle that you walked in unprepared for.

Both games have a built-in autosave function (it saves just before you go through an area transition which requires your entire party to go through), however there is no in-game setting to toggle it off or on... I'm not sure what would prevent it from working.

Thanks for clearing that up. In that case yeah, sounds odd that it wouldn't work. Read/Write access problems to the autosave file itself perhaps?

I think my problem was the permission settings on the game directories - either that or the game doesn't autosave until after Gorion dies.

The game doesn't autosave until after Gorion dies. You don't get an autosave until you leave the area east of Candlekeep.