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Britons expecting to save for 37 years to fund retirement

By Vicky Shaw

Working-age Britons typically expect to spend seven years more saving for their retirement than those who are already pensioners, a report has found.

On average UK workers predict they will spend 37 years saving for their retirement; only Australians believed they, too, would have to save for this length of time, the global survey by HSBC found.

The Future of Retirement research compared UK retirement trends with those in 16 other countries, including the United States, France, Hong Kong, Canada, Singapore, China and India.

People in the UK who have already retired said it took them around 30 years on average to save for their later years.

The typical working-age Briton's expectation that they will need to save for 37 years is also seven years longer than the average length of time their counterparts in other countries typically expect to have to save, the study found.

People in the UK and Australia were particularly likely to say that downsizing or selling a property would help fund their retirement, with 22% and 26% of pre-retirees respectively relying on this for an income.

The report said that fewer people of working age in the UK expected to rely on a State pension, cash savings or a defined benefit pension than those already retired. Instead, more were pinning their hopes on an inheritance.

Fortysomethings was a particularly squeezed age group, with 58% saying they were financially supporting other people. More than 18,200 people, including 2,000 in the UK, were questioned for the report.

Belfast Telegraph


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