Outside of the capital, regional confidence in ever retiring ‘evaporates.’
RETIREMENT appears to be a distant dream for many, with workers outside of the capital believing they will never be able to retire.
According to recent statistics from Hargreaves Lansdown, the percentage of North-Easters and East Midlanders who are confident in their ability to fund retirement is barely half that of London.
Only 26% of people in the two regions stated they were sure on the question, compared to 50% in London.
Outside of London, Britain’s retirement confidence is at an all-time low, and even the London stats aren’t encouraging.
“While London was a relative hotspot of retirement confidence, this swiftly disappears beyond the capital,” said Helen Morrissey, senior pensions and retirement analyst at Hargreaves Lansdown.
The data also revealed significant knowledge gaps, according to Ms Morrissey, which put “people’s chances of a comfortable retirement in real jeopardy.”
There was a striking lack of knowledge across Britain when it came to having a clear idea of how much income people will receive in retirement, how much they had accumulated in their pension pot, and people understanding the options available to them, with the North-East and East Midlands consistently ranking among the worst.
“People may have other financial priorities or believe their retirement is too far away to consider [or]they may not know where to go to obtain additional information,” Ms Morrissey explained.
The regional average for financial confidence ahead of retirement in the United Kingdom (of the 12 regions tested) was found to be below 34%.
When it comes to people comprehending their retirement options, the average awareness of the accumulated value of one’s pension fund is just over 35 percent and slightly under 35 percent.
Furthermore, just about 31% of people have any idea how much money they’ll need in retirement.
Hargreaves Lansdown provided five suggestions for boosting pension confidence.
First and foremost, they claim, knowing how much money one has in their pension pool is critical. If a person has worked for multiple companies, their pension savings may be spread out among them.
Second, people should evaluate what kind of retirement lifestyle they want, as well as whether or not they want to migrate and where they want to relocate.
Finally, they emphasize that it is never too late to begin saving and that if people set their minds to it, they may greatly increase their pension in a short period of time. “Brinkwire News in Condensed Form.”