A groundbreaking survey of 2,000 UK adults reveals concerns about future retirement standards.
- 54% of respondents anticipate a lower standard of living in retirement compared to earlier generations.
- 37% express worries about supporting the financial futures of their children or grandchildren.
- 23% are contemplating retiring abroad due to rising living costs in the UK.
- Financial challenges are prompting some to reconsider their pension contributions.
The survey, commissioned by SmartSave, a Chetwood Financial company, highlights a growing concern among UK adults about the prospect of enjoying a secure and comfortable retirement. A significant portion of the respondents, 54%, believe that their standard of living in retirement will fall short of that experienced by their parents or grandparents, reflecting a deep-seated anxiety about the future economic landscape.
Moreover, 37% of those surveyed are apprehensive about their ability to assist their children and grandchildren financially. This concern underscores the intergenerational impact of current financial hardships, with many feeling that they may not be able to provide the support that previous generations managed to extend.
In light of these challenges, nearly a quarter (23%) of participants are considering the option of retiring abroad. The escalating cost of living in the UK is a significant factor driving this consideration, as individuals seek more affordable living arrangements to sustain their retirement years.
The financial strain is evident, with 40% of respondents indicating that they are worse off now than they were two years ago. This financial pressure is even more pronounced among those aged 35-54, where the proportion rises to 46%. As a result, 22% of the survey participants are contemplating reducing or ceasing their pension contributions to manage their immediate financial needs.
Andy Mielczarek, the Founder and CEO of SmartSave, commented on these findings, stating that the notion of a ‘well-earned retirement’ is becoming increasingly elusive. He emphasised the importance of not only saving for one’s own retirement but also for the future prosperity of one’s family. He pointed out the unsustainability of halting pension contributions and called for improved education and awareness in the financial sector to help individuals make informed decisions.
The survey’s findings indicate a pressing need for enhanced financial strategies and education to secure the retirement futures of the current generation.
