Women told to act now or face pension poverty - Pensions - News - Moneyfacts

News

Women told to act now or face pension poverty

Women told to act now or face pension poverty

Category: Pensions

Updated: 20/10/2010
First Published: 20/10/2010

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Women have been urged to change their attitude towards pension saving or risk a retirement in poverty.

The warning comes after a report from Scottish Widows uncovered a disparity between pension provision and attitudes to long-term savings amongst both older and younger women compared to men of the same ages.

More than half of women under the age of 50 admitted that they are not preparing adequately for retirement.

Younger women were found to be saving just over half of that achieved by young men, while one in three young women are without a private pension and have never thought seriously about saving into one.

A significantly larger number of women over the age of 51 were also found to be saving inadequately compared to their male counterparts.

Currently two-thirds of pensioners living in poverty are women, with the report suggesting that this imbalance could worsen.

Ian Naismith, head of pensions market development at Scottish Widows, said the findings painted a worrying picture.

"Women are saving less than they were a year ago and younger women are saving the least, which is especially worrying as savers tend to stick to habits developed when they are young," he added.

"In previous years we have seen younger women becoming more financially independent, but as that group moves into their 30s it appears that those coming behind are not continuing the good work.

"Attitudes need to change and the major disparity between male and female saving habits needs to be resolved or even more women will face poverty in their old age."

If you want to know what income your pension pot could provide you in retirement, a good starting place is to take a look at our annuity best buy charts or use an online annuity planner service such as that offered by Premier Retirement Services.

Find the best pension for you - Compare pensions

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Savers more worried about looks than pension

When you think of getting older, what’s the first thing that comes to mind? For many, it’ll be fears about their looks – but they should really be concerned about their financial situation.

Pension funds defy uncertainty with strong returns

Economic uncertainty has been a persistent theme in recent months, but happily, not every area has been negatively impacted. Indeed, our latest figures show that the pension sector has bucked the trend and posted unexpectedly strong returns.

Do you know what a pension is?

Pensions are something we all need to get our heads round, and we’re continually told that it’s important to start saving into one from as early as possible. Yet new research suggests that this advice could be falling on deaf ears.
 
Close