Aegon UK CEO Otto Thoresen discusses new research which found people view pensions as "old-fashioned".
The provider carried out an in depth survey with 25 participants who were all long-term savers, currently working and with a household income of between £20,000 and £80,000.
It found people generally felt maintaining their current lifestyle was as important or a greater priority than long term savings such as pensions.
Aegon's research also noted anger and fear about retirement and long-term savings coupled with distrust in financial institutions and the government.
Pensions were seen as an "old fashioned" way to save and handing money over to an "invisible" financial institution. However, many people in the research group did have some form of pension provision - including a company pension.
Property, on the other hand, was seen as a "modern" way to save as people felt in control of the asset and believed it would yield a good return over the long term.
Aegon UK chief executive Otto Thoresen says: "All commentators agree that the UK faces a chronic level of under saving and that more needs to be done to help fund their retirement years.
"The current system is too complex, there's very low awareness of the benefits and current incentives aren't enough to overcome people's predilection for investing property."
Aegon warned people risk being left with significantly below par income in retirement unless there is a significant increase in private pension saving.
It said this will occur despite the introduction of auto-enrolment in 2012 because the current system of incentives is not working - and stressed the important role employers play in acting as a trigger to saving through employer contributions.
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