Royal London predicts 'death of retirement'

Steve Webb comments on auto-enrolment contributions

clock • 2 min read

People will be forced to work into their late 70s and beyond if they want to eventually achieve the same level of pension as their parents' generation, Royal London has said.

Its latest report, the Death of Retirement, looks at how long people will have to work to achieve a "good quality of life in retirement" if they only contribute 8% of salary as required by the government's auto-enrolment scheme. Royal London director of policy Steve Webb said: "Getting millions more people saving through automatic enrolment is a huge step forward, but many face a cruel disappointment if they think that current minimum contribution levels will deliver them the sort of retirement they are looking for. "Without significant increases in contributions, we could be witnessi...

To continue reading this article...

Join Professional Adviser

  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Members-only access to the editor’s weekly Friday commentary
  • 
 Be the first to hear about our events and awards programmes.

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Financial advisers seek certainty on pension taxation

Financial advisers seek certainty on pension taxation

Advisers place emphasis on obtaining clarity regarding pension taxation

Sahar Nazir
clock 19 September 2023 • 1 min read
A third of workers are reducing or stopping pension contributions

A third of workers are reducing or stopping pension contributions

This could mean losing out on £4,092 savings for those earning £35,000

Isabel Baxter
clock 18 September 2023 • 1 min read
AJ Bell's Laura Suter

What to do about pensions, divorce and the planning problem

Pensions are often forgotten in the divorce process...

Laura Suter
clock 18 September 2023 • 4 min read