Retirement & SIPPs
Jan 28 2009

Rising lifestyle expectations and savings shortfalls 'to cause issues'

People's rising expectations concerning lifestyle combined with failures to begin saving for retirement early enough are to cause issues for UK workers, it has been claimed.

According to Padraig Floyd, editor of Pensions Management magazine, there are "very few" people today who are saving sufficiently for their post-work years.

He made his comments in the wake of research from Lincoln Financial Group which suggested that 41 per cent of the UK's population will run out of retirement income by the time they reach the age of 85.

Mr Floyd said: "Clearly people do not start saving for retirement until they are quite elderly, where as if they did it from a young age they would be far better off by having taken account of compound interest."

As of 2012, new government rules will mean that everyone that is not in an occupational pension scheme will be compelled to join one.
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