More than nine in ten defined contribution (DC) savers are at “high risk” of not achieving their expected retirement income, the Pensions Policy Institute (PPI) and Centre for Ageing Better warn.
While auto-enrolment (AE) has driven up contributions to pension schemes, those aged over 50 are most likely to face difficulties at retirement due to a combination of less time to save in AE schemes and heightened job losses during Covid-19. In a joint report, What is an adequate retirement income?, they warned up to 5 million people in their 50s and 60s were running out of time to prepare for their retirement - but that later generations also risk "being pushed into poverty" if action is not taken. It noted potential economic scarring of around 3% from the pandemic. Even those with ...
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