One in Three Will Rely on State Pension in the UK

At PWS Dubai, we are passionate in helping our UK clients manage their pension pots and secure a financial future for their retirement years. These days people are living until an older age, but this means that your pension has to stretch out for much longer. As you can imagine this is a serious concern for us, as the State Pension starts to dwindle.

A recent study has shown that approximately fifteen million people in the United Kingdom don't have a pension plan, which means that they will be relying solely on the state pension, which is a bleak state of affairs.

FCA Survey

The FCA conducted a survey called The Financial Lives survey, which took a close look at thirteen thousand consumers and found a scary statistic that only thirty one percent of UK adults have no private pension and will be relying only on the state pension that they will receive, which is currently sitting at £159.55 per week, barely enough to pay rent, utilities and eat.

The main concern that this survey brought to light was the age group of fifty year and older who have not been paying into a private pension and don't have much time until they are sixty. The reasoning behind not paying into a pension scheme ranged from thirty two percent who thought it was too late to twenty six percent who advised that it wasn't affordable in their budget. Twelve percent stated that they are relying on their partners pension payments.

Pension Auto-Enrollment

The good news in the UK was pensions auto enrollment which got millions of residents to start saving into pension schemes, but those who are self-employed and part time workers were still left in the dark and forced to make their own arrangements or rely on the state pension in the long run.

What we found interesting at PWS Dubai is the there is a significant difference when it comes to men and women with thirty three percent of men expected to retire n the state pension while fifty three percent of women were also relying on the state pension alone, that's a twenty percent difference.

Seek Professional Financial Advise

In addition to many workers having to work for longer before they can claim their state pension, having your own private pension in place can ensure a comfortable lifestyle in your older years. We recommend you seek independent financial advise to help you save for your retirement, no matter what your current age.


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