Workers in London and the East of England are saving 40% more than those in the Midlands and North, according to a new report.
Expectations and preparations for retirement vary widely across countries, according to a report by think tank Phoenix Insights.
Total pensions in the Midlands and North average less than £98,000, well below the £248,000 recommended by the Pensions and Life Savings Association for a reasonable standard of living after retirement.
In the North East, Greater London and Wales, 6 in 10 workers surveyed fear they will have to work past the current public pension age of 67. In the North West, Yorkshire and Humberside, just over half (52%) said yes. .
More than a quarter (28%) of savers in Wales, Scotland and the South East do not expect to have enough money for retirement.
This compares to just 1 in 5 in the East Midlands (21%) and South West (22%).
“People across the UK are outlived their parents and grandparents and have opportunities they never had before,” said Patrick Thomson, head of research, analysis and policy at Phoenix Insights. But the situation is not felt evenly across the country. Most people do not increase their savings to reflect the fact that retirement may be longer, and many do not increase their savings, often to meet their retirement income needs or to save money for loved ones. I’m starting to think that I might want or need to work longer than planned to help Economically too.
“The Phoenix Group recognizes that to enjoy a long and full life, we all need to think differently about our future and the future of those we care about. For many people, the path to retirement has already changed, with some working fewer hours toward retirement, others embarking on second careers later in life, and for various reasons leaving the public sector. Some actively choose to work beyond their retirement age, while others retire early because of illness or caregiving responsibilities.
“Our research shows that we cannot afford a one-size-fits-all approach to solving things. Our approach must reflect the needs across the UK to make a real difference to people’s longevity.”
Here are the top 5 regions with the most savings:
- Greater London (£144,000)
- East of England (£136.7k)
- South East (£121.5,000)
- Scotland (£118,000)
- Northern Ireland (£114,000)
Here are the top 5 regions with the lowest savings:
- North West (£91.4k)
- Yorkshire and Humberside (£97.6,000)
- East Midlands (£98.1k)
- West Midlands (£98.4k)
- South West (£101.7k)
Phoenix Insights surveyed 2,500 workers aged 45 and over across the UK.