Raindrop, the pension-finding platform, has published new research revealing the UK public’s attitude towards their pension is concerning as many do not feel they have saved enough to live comfortably once they retire.
Worries about a potential future pension savings crisis continue to grow as in its research, Raindrop found that 81 per cent of working-age adults admit they aren’t sure where all their pension pots are. Meanwhile, 19 per cent are concerned they don’t have enough saved. This jumps to 25 per cent for those aged 35-54, who previously focused on saving for a mortgage or children.
As this age group focuses on retirement savings, 28 per cent are worried they won’t be able to afford the lifestyle they want in retirement. While the national average across all age groups is lower, an alarming 23 per cent of respondents feel the same.
Nearly one in five (16 per cent) of non-retirees now believe that they will have to work for longer than they want to as I can’t afford to retire when I planned. Across the UK, this equates to almost seven million people who will be forced to delay their retirement plans, according to ONS data.
Locating pension pots to ensure financial security
Recent research from the Pensions Policy Institute (PPI) revealed that £31.1billion is estimated to be sitting in lost pension pots. There are almost 3.3 million lost pots in the UK, with an average value of nearly £9,500.
In order to boost their retirement savings, people need additional support to ensure they have located all previous pots and gain more control over their savings. This is what Raindrop has set out to achieve by partnering with banks, pension providers and financial advisers including AJ Bell, Monzo and Standard Life.
Vivan Shridharani, co-founder and CCO at Raindrop
Vivan Shridharani, co-founder and CCO at Raindrop said: “Millions of savers have lost pension pots putting their retirements at risk.
“Due to financial pressures, people are forced to either delay their retirements or significantly alter the lifestyle they had planned yet there are still millions of pension pots sitting unclaimed. Locating all previous pension pots should be the first step savers take to boost their retirement incomes and maximise the value of the pots they’ve already built up.
“However, tracking down old pots is often incredibly complicated and time-consuming. Savers desperately need a simple pension-finding solution that locates lost pots, puts them in control of their retirement savings and boosts their future financial security.”
Since its launch, Raindrop has located over £350million in lost pension savings across more than 32,000 pots.
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