Pension Survey Highlights a Need for Personal Provision

by Gill Montia

Story link: Pension Survey Highlights a Need for Personal Provision

Birmingham Midshires, part of the Halifax Group, has published the results of a pension survey indicating that under a fifth of those who are approaching retirement, and reliant solely on the UK state pension, are optimistic about being able to make ends meet.

In the over 55 age range, only 15% of those with no personal pension savings expected their retirement income to pay for their basic requirements, whereas 55% of those who have both a personal and a state pension expect to be living comfortably.

The Pensions Policy Institute estimates that around 20 million people in the UK are not currently accruing any rights in a private pension.

Their situation is cause for concern because recent inflation levels have meant that the state pension provision has failed to keep pace with living costs.

The survey, in which YouGov questioned over 2,200 people, also found that many of today’s over-55s considered themselves to be living life to the full, with 10% saying that they could afford luxuries.

Whilst that percentage is not high, it compares with 2% of 18 to 24-year-olds, and goes some way to challenge the stereo type of the impoverished pensioner.