A survey indicates growing concerns about future retirement standards among UK adults.
- 54% of respondents believe retirement living standards will be inferior to previous generations.
- 37% express unease about supporting their descendants financially.
- 23% are contemplating relocating abroad due to UK’s living costs.
- The challenge of maintaining pension contributions amid rising costs is evident.
More than half of UK adults foresee a decline in their standard of living upon retirement compared to their parents or grandparents. This sentiment, highlighted in a recent survey commissioned by SmartSave, reflects concerns over financial security in later life. The survey included 2,000 participants, providing a substantial insight into the current mindset regarding retirement.
A notable 37% of respondents expressed anxieties about their inability to financially support their children and grandchildren. This anxiety suggests a broader concern about intergenerational financial stability, with many feeling unprepared to provide the same support their elders offered them.
The prospect of retiring abroad appears increasingly attractive, with 23% of those surveyed considering this option due to the escalating cost of living in the UK. This trend underscores a growing consideration among retirees to seek more affordable living conditions elsewhere, potentially altering traditional retirement plans.
Financial pressures are further exacerbated by the fact that 40% of respondents feel worse off now than they did two years ago, with this figure rising to 46% among individuals aged 35-54. For some, this has led to the difficult decision to reduce or even halt pension contributions—a move seen by many as unsustainable in the long term.
Andy Mielczarek, CEO of SmartSave, articulated the gravity of the situation, noting that the ideal of a comfortable retirement is becoming increasingly elusive. “Saving not only for your own retirement but for the future prosperity of your family is one of the great motivators of success,” Mielczarek stated. He emphasised the need for better public education on financial planning, advocating for increased awareness of the various savings and investment options available.
The findings underscore the critical need for improved financial planning and education to ensure future generations secure a stable retirement.
