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Retirement worries for three in four UK workers

Paloma Kubiak
Written By:
Paloma Kubiak
Posted:
Updated:
03/02/2016

Nearly three-quarters of UK workers think they will be worse off than their parents in retirement, according to a survey.

The poll of 1,900 UK-based employees by professional services firm, Willis Towers Watson, found the average age British workers predict they’ll retire is just over 65 but many are pessimistic about how long their retirement savings will last.

While 60% of people in their 50s are ‘unworried’ about their immediate or long-term finances, employees in their 30s are worried about both, with one in five seen as ‘struggling’.

The findings suggest 39% of workers think their money will run out 15 years into retirement, while 55% think it’ll be gone within 25 years.

A further 20% claim they have financial worries that are negatively affecting their life and of those, 39% admit that struggling with their finances stops them doing their best at work.

The research found people struggling financially take an average of seven days off per year, in comparison to the three days by those unworried about their finances.

Minh Tran, senior consultant at Willis Towers Watson, said: “Employees overwhelmingly anticipate less wealth in their retirement, compared to their parents’ generation. Younger employees are particularly concerned about their financial situation. The immediate financial priorities facing employees in their 20s and 30s – including student debt, housing deposits and childcare costs – can make it difficult to prioritise long-term issues such as retirement savings.”

Tran said employers can help their employees by offering flexibility and personal choice when it comes to tackling financial anxieties and priorities.