Half the UK not saving for retirement, Moneyfacts finds

13 May 2005
The latest survey from independent financial information provider Moneyfacts has revealed that a massive 50 per cent of the population is not currently saving towards their retirement.

The April Moneyfacts survey of consumer attitudes to their finances adds to the already pessimistic outlook for pensions.

"With all the scandal surrounding income at retirement and the fact that many of us may face poverty in our old age, it is worrying that half of the people completing the poll are not setting aside any money for this period in their life," comments Emma Butler, web editor at Moneyfacts.

The problem is so severe that David Blunkett, the new secretary for work and pensions, told BBC Radio Four's Today programme today that something concrete has to be done about the pensions situation.

"Within 50 years if we don't do something fairly dramatic there will only be two compared with one in retirement. We can't sustain that and everybody understands it," Mr Blunkett said.

The work and pensions secretary hinted that a rise in the retirement age and the imposition of compulsory pensions contributions could be two ways to address the problem.

Click here to find out more about planning for your retirement.

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