It’s no secret that the UK’s economy is not at its most stable, and as a result many people currently under 30 could end up facing a retirement of living in poverty. With the cost of living rocketing, many are struggling to save at all let alone think about retirement funds and the government pension just isn’t enough to live on.
Young people are struggling to get on the property ladder because house prices are so high, and renting and saving for some is just not feasible. There is a significant lack of disposable income, and for many it is almost impossible to rent, save for a mortgage and put money away for a pension. Of course many under 30’s also have a student loan to think about, and it’s unlikely a pension will be top of their list for savings when the loan is still hanging over them.
Many young people do not even think about saving for a pension, as it is too far in the future and there is too much to pay out for now. Alongside this, many do not seem to trust pension schemes, and feel by the time they retire the government will likely not pay out a pension anyway! With this outlook in mind, for the under 30’s there seems to be more of a focus on saving for a mortgage as opposed to putting money aside for a pension. People have so little money as it is, it’s almost impossible to put anything away into savings of any kind.