Upto 3 million people will have to increase the amount they are saving for a pension fund by upto 6%. This is because of an impending review of the assumptions pension companies make by The Board for Actuarial Standards. They are expected to conclude that people will have to contribute more to their pension funds themselves due to a longer life expectancy. Those not in final salary pension schemes will have to foot the shortfall themselves, making saving for your pension more expensive.
Worryingly, the average pension pot in the UK is just £25,000 with saving ratio at a 47 year low.
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