New incentives need to be introduced to curb the 'pensions crisis' as the cost of securing a pension...
New incentives need to be introduced to curb the 'pensions crisis' as the cost of securing a pension has risen by 20% over the past 18 years, says Legal & General.
Figures calculated by L&G released today shows that the current amount of monthly saving required to secure £100 in a pension pot is £78.
This is a 20% increase compared to 1975 when the amount an individual would have needed to put away to secure a pension was £65.
Pension strategy director at L&G Adrian Boulding says the difficulty people have trying to find disposable funds to put towards their pension is the main threat facing pensions saving today.
He urges the government to find new ways to deal with this problem "in order to make pension provision easier for people".
"Over the past 28 years Chancellors have progressively eroded the attractiveness of pension savings making it increasingly more difficult to find the extra funds required for pension funding."
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