Brits still under-prepared for retirement

Published on

The latest Scottish Widows annual Pensions Report has revealed that retirement provision in the UK remains consistently low.

It found that 49% of those who should be saving for retirement are failing to do so adequately. This has never been below 46% or over 52% over the last five years.

Meanwhile, a fifth of people are failing to make any provision at all for their retirement.

The Scottish Widows Pensions Index – looking at those between 30 years-old and state pension age who earn more than £10,000 per year – shows that only 51% of the current generation of potential savers are making sufficient provisions for their retirement. This drops to around 25% when those with a final salary pension are excluded.

This comes despite the fact that 73% of people recognise the need to take personal responsibility for their retirement planning.

Scottish Widows’ Average Savings Ratio – which tracks the percentage of income being saved for retirement by UK workers not expecting to get their main retirement income from a final salary pension – remains at just over 9%. This is a 3% shortfall from the 12% Scottish Widows believe people should be saving to achieve a comfortable retirement.

Ian Naismith, head of pensions market development for Scottish Widows, said: “This year’s report clearly illustrates the stark difficulty we face in helping people to recognise the urgent need to take personal responsibility for their future. We need a step-change to overcome this ingrained inertia and help people prepare for their retirement.””

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Nigel Robbins joins MT Finance as national account manager

MT Finance has appointed Nigel Robbins as its new national account manager and coincides...

Southern buyers gain most from easing mortgage rates and static prices

Buyers in London and the south of England are seeing the greatest improvements in...

Prime London market stalls over summer

The prime London housing market slowed over the summer, with sales volumes and achieved...

Conveyancing Alliance rebrands as CAL

Conveyancing Alliance has unveiled a major rebrand as CAL, bringing its offering under a...

Rugby World Cup legend to host MIMHC Charity Ball 2025

Rugby World Cup winner and sporting icon Will Greenwood MBE has been confirmed as...

Latest publication

Other news

Nigel Robbins joins MT Finance as national account manager

MT Finance has appointed Nigel Robbins as its new national account manager and coincides...

Southern buyers gain most from easing mortgage rates and static prices

Buyers in London and the south of England are seeing the greatest improvements in...

Prime London market stalls over summer

The prime London housing market slowed over the summer, with sales volumes and achieved...