The Majority of pension contributions made by Gen X
FT Adviser reports “people aged 43 to 54 – dubbed ‘Generation X’ – account for a large amount of UK personal pension contributions but are still not saving enough for their retirement, according to research.
Data from Salisbury House Wealth, obtained from HMRC through a Freedom of Information request, showed this age group made 43 per cent (£3.7bn) of total contributions in the 2015/16 tax year – the latest for which figures are available.
Salisbury House stated the figure was remarkably high considering the relatively small size of the age group of 3.2m people, but it was still only 37 per cent of what they need in their private pension, the adviser warned.
Baby boomers contributed the second largest amount to personal pensions at £3.2bn, or 37 per cent of all personal pension contributions made in the year. Millennials contributed £1.6bn, or 19 per cent of the UK total over the same period, according to the data. The £3.7bn contributed by Gen X represented an increase of 14 per cent on the previous year.”