In light of the wage stagnation and rising living costs deepening the UK’s retirement income crisis, the average earner in their thirties is set to see their pension pot reduce by £15,000 by the time they retire, according to recent research from Scottish Widows.
The firm's latest retirement report revealed that average earners in their 30s who were auto-enrolled in a company pension scheme in 2012 will have potentially contributed £7,000 less by 2024. These ‘lost contributions' resulted in an overall £15,000 reduction to the individual's total pension pot at retirement due to lost compound interest, the research found. The annual survey showed that four out of five adults (81%) were worried about making ends meet in the current cost of living climate, with three-quarters (76%) saying they needed to take action to cope with the financial pressure...
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