GROWING NUMBERS 'WILL NEVER BE ABLE TO AFFORD TO RETIRE' | Jonathan Watts-Lay
Manage episode 425139584 series 3459875
Jonathan Watts-Lay, of WEALTH at work speaks to Clayton M. Coke of Podcast Radio Business to discuss WHY GROWING NUMBERS 'WILL NEVER BE ABLE TO AFFORD TO RETIRE'.
The number of people in full-time employment who believe they will never be able to afford to retire because of the impact of the rising cost of living is on the rise, with two fifths (39%) of workers claiming they will never be able to afford to stop working, up from one in three (33%) twelve months ago.
Those aged 35-44 years old are the age group most likely to believe they will be able to afford to retire, with almost half of workers (46%) thinking this.
Whilst rising costs have affected every generation, this age group have had less time to build up savings and could be feeling particularly squeezed with managing high childcare and property costs. Not only this, many of them may not have benefited from a full working life of automatic enrolment, and are less likely to reach retirement with generous defined benefit (or final salary) pensions than some older generations.
The figures from WEALTH at work also show that rising costs also mean that almost a third (32%) will look to delay retirement, up from a fifth (21%) this time last year.
Eight in ten (81%) are also concerned that it means they will be less comfortable in retirement due to a shortfall in savings, with the same amount (81%) saying they are concerned they will have to work longer to make up for the shortfall.
With the International Monetary Fund (IMF) recommending interest rates in the UK should be cut to 3.5% by the end of next year, down from their current level at 5.25%, and with the British Retail Consortium last month announcing the rate of prices in UK shops is returning to ‘normal levels’, the affordability outlook is at least looking a little brighter for people.
Jonathan Watts-Lay, from financial wellbeing and retirement specialists, WEALTH shares his thoughts on how to balance your finances to make retirement both realistic and comfortable. Also, with 41% feeling unsupported by the workplace, he will discuss the valuable ways many employers are helping staff gain control of their financial future.
RESEARCH INFORMATION:
This year’s research was conducted by Opinion Matters between 22/05/24 and 23/05/24. 2,019 UK adults aged 22+ in full-time employment were surveyed.
Last year’s research was also carried out by Opinion Matters between 13/4/23 and 17/04/23. 2,025 UK adults aged 22+ in full time employment were surveyed.
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