Brits braced for poor retirement

More than two thirds of Britons expect to be worse off when they are retired, a new survey has revealed.

11:59 20 April 2005

More than two thirds of Britons expect to be worse off when they are retired, a new survey has revealed.

Research by insurer Friends Provident found that 68 per cent of respondents feel they will face harder times in retirement.

However, 27 per cent put nothing aside, even though they are conscious that the shortfall in their pensions will leave them unable to live the life they really want.

"These findings are a wake-up call to warn people to start putting enough money into a pension, sooner rather than later, in order to enjoy a more financially secure retirement," said Jeremy Ward, head of pensions marketing for Friends Provident.

The survey results suggest that financial pressure such as credit card repayments and mortgages were stopping people putting money aside for retirement.

More than half (54 per cent) said a mortgage was their biggest outgoing and a similar proportion admitted they simply did not have enough money to save for the future.

Although others blamed children and credit cards for spending, many also revealed they spent less on pensions so they could fund holidays, going out and cars instead.

A total of 2,000 adults were questioned for the online study, which was carried out by YouGov for Friends Provident.