Apathy is the biggest deterrent for UK workers aged under 34 when deciding about a pension, claims B&CE Benefit Schemes.
The firm, which is a not-for-profit provider of financial services to the construction industry, warns almost three-quarters of people under the age of 34 area are failing to save in a pension because they “haven’t got round to it”.
In the research, carried out by TNS on behalf of B&CE, 30% of those surveyed claim they don’t save for the future because of affordability issues, which include having too many financial commitments, or not earning enough.
But B&CE says apathy also appears to be a strong deterrent, as 21% say they haven’t got round to it yet, although this increases among those aged under 34 to 74%, while 13% of the 831 respondents claimed to be “too young” for a pension.
In addition the findings show the majority of UK workers are failing to save for the future despite 85% believing the State will not provide an adequate income for retirement by the time they reach State Pension Age, a figure which has increased from 79% in June last year.
John Jory, deputy chief executive of B&CE, says; “It is alarming to find that, even though a high percentage of the working population does not believe that they will be able to rely on the State when they retire, there are still millions who have failed to take a positive step towards starting to save for retirement.”
As a result he says the firm is continuing to emphasise the importance of taking appropriate action “sooner rather than later”, especially as many employers are already providing access to good pension schemes.
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Nyree Stewart on 020 7034 2681 or email [email protected]IFAonline
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