Less than one in four (17 per cent) are calculating and making the right provisions for a pension. Women were slightly worse off than men with just over 50 per cent (51%) admitting they didn’t have a pension. Most people were relying on their employer to provide their pension provision.

Almost half of those surveyed knew nothing about the new work based pension reforms or the changes in the recent budget. Furthermore only a half of those that did know about the changes knew how much of a contribution they would be or are already making.

The majority of respondents expected an annual pension income of between £20,001 and £35,000, but did not realise they would need to start putting aside at least 12% of their salary each year from the age of 22. 18 per cent in their twenties say they are too young to even think about a pension.

Lindsay Melvin, CEO of the CIPP commented: “With pensions at the forefront of the government agenda due to the new work based pension regulations coming into force, these findings are extremely worrying.

“The extreme lack of awareness surrounding the new system coupled with the fact that such a significant amount of people don’t have any form of pension what so ever, private or work, will have a huge ripple effect later down the line when many start to reach pension age. Some people may even find that they can never fully retire if they carry on without giving their pension provision serious consideration.

“However it’s not all bad news with 41 per cent saying they would like the opportunity to save not only for their pension but also for a rainy day through their payroll. This is something many employers can offer through their local credit unions, and the CIPP is actively encouraging and supporting through activities such as National Payroll Week.”