Most British households would fail to last out on the current state pension allowance even if they tried to economise, a new experiment has shown.
Axa got more than 20 households to take the challenge of living on what would be their corresponding state pension allowance and nearly all of them failed to make it last, with an average overspend of 158 per cent.
Single men proved relatively thrifty, lasting for four days on average, but single women barely made it past two days while couples lasted for three days on average, illustrating the insufficiency of a state pension to meet their needs.
Financial advisor Saran Allot Davey commented: "The living on a state pension experiment has produced startling results.
"The majority of those that took part have had a real wake up call and are much more aware of the need to plan. More of them are considering professional advice to help them understand the benefits of saving for retirement and to help them get to grips with the options open to them."
Despite the difficulties illustrated by Axa's study, many Brits have no plans to change their lifestyle once they retire, with most still expecting to take regularly holidays and breaks, go out frequently and also run a car.
However, after the study only one of the households that took part still plans to try and live on just a state pension when they have finished working, while the majority resolved to take immediate action to improve their provisions for retirement.To read more about pensions, click here.
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