More than 12 million working people are not saving enough for their retirement, a major report into pensions has found. The Pensions Commission was asked in 2002 to look into the state of UK retirement provision and has recently reported that a combination of higher taxes, increased saving and a higher average retirement age is required in the light of the UK’s pensions crisis.
The UK’s ageing population means that, in future years, taxpayers will have to support an increasing number of over 65s through the state pension. Coupled with this, many personal pension scheme providers have come under criticism from their members, rightly or wrongly depending on the particular facts of the case, as they have seen their pensions diminish as a result of a number of factors including falls in equity values.
