Pensioners 'using up savings too quickly'
Fidelity International has warned that with increasing life expectancy, many retirees are at risk of using up all their savings before they die.
The investment management group's study, entitled Improving Britain's Retirement Income, found that 70 per cent of people who were not retired aged over-55 were unaware of how much they might need to take from their savings in their retirement, with others planning on using their funds at a rate that is unsustainable.
According to the survey, 45 per cent of those nearing retirement intend to use money from property, mutual funds and investment savings accounts (Isas) to add to their pension income.
Simon Fraser, president of institutional business at Fidelity International, noted that 65 year olds now had a 50 per cent chance of living to 87, with one in six living to 100.
"This has huge implications for savings," he said.
"People need to be much more informed about the rate at which they dip into their capital, otherwise they are in danger of burning through their savings before they die," he added.
In July this year, Scott Dolfi of GE Life noted that male life-expectancy had increased by more than eight years to nearly 88 in the last 45 years.
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