Almost half of the working population aged 18 or over are failing to prepare financially for retirement by contributing towards a pension plan, new research has shown.
According to the new study, commissioned by the Society of Pension Consultants (SPC), a further 45% of people aged between 55 and 64 are also not paying into a pension, despite rapidly approaching retirement.
The research, based on a poll of 714 adults, also revealed a lack of engagement in retirement funding – a fifth of respondents admitted to reviewing their company or personal pension decisions no more than once a year.
The SPC said it was “worrying” that people were failing to make provisions for the retirement, despite the current downturn slashing the value of homes.
SPC president Duncan Howorth said the findings represent “bleak news for the nation’s ability to provide for itself in retirement.
“Our findings underscore why we must constantly examine and debate retirement and pension issues at the highest levels. The continued ageing of the UK's population means the government needs to put education about retirement planning higher on its agenda than ever before."
© Crimson Business Ltd. 2008