{"id":102978,"date":"2025-01-28T12:45:00","date_gmt":"2025-01-28T12:45:00","guid":{"rendered":"https:\/\/en.econostrum.info\/uk\/?p=102978"},"modified":"2025-01-28T11:27:07","modified_gmt":"2025-01-28T11:27:07","slug":"state-pension-struggles-alarming-disparities","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/uk\/state-pension-struggles-alarming-disparities\/","title":{"rendered":"State Pension Struggles: Alarming Disparities in Retirement Planning Revealed"},"content":{"rendered":"\n<p>A recent study warns that millions of people born before 1970 may face financial insecurity during retirement. With concerns over state pensions and private savings falling short, experts highlight the importance of planning and additional income sources.<\/p>\n\n\n\n<p>An Oxford Risk study reveals that more than half of Britons aged 55 and over fear their retirement funds will not last a lifetime. The findings point to widespread confusion around savings and significant financial disparities between men and women, underlining the urgency for tailored advice and informed strategies.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">State Pensions and Savings Under Scrutiny<\/h2>\n\n\n\n<p>The state pension, a cornerstone of retirement income in the UK, is increasingly viewed as insufficient to meet the needs of <a href=\"https:\/\/en.econostrum.info\/uk\/updates-state-pension-payments-uk-retirees\/\" data-type=\"post\" data-id=\"100765\">retirees<\/a>. The Oxford Risk research shows that over<strong> 10.5 million people<\/strong> aged 55 and older\u2014more than half of this age group\u2014worry about running out of money during retirement. Additionally, <strong>86%<\/strong> of respondents believe they will need supplementary income sources to sustain their desired lifestyle.<\/p>\n\n\n\n<p>Experts emphasise that the rising <strong>cost of living<\/strong>, coupled with gaps in private savings, exacerbates financial pressure. Those nearing <a href=\"https:\/\/en.econostrum.info\/uk\/dwp-fears-over-state-pension-means-testing\/\" data-type=\"post\" data-id=\"102055\">state pension<\/a> age are especially vulnerable, with many lacking clarity about their savings or the full scope of their financial needs. Dr <strong>Greg B Davies<\/strong>, Head of Behavioural Finance at Oxford Risk, explained, \u201cOur research highlights significant <strong>disparities <\/strong>between women\u2019s and men\u2019s financial security in retirement. Despite planning to spend less, many women face substantial financial gaps, with lower savings and less certainty about their retirement income.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Gender Disparities in Retirement Planning<\/h2>\n\n\n\n<p>Notable distinctions between the ways that men and women approach retirement funding are also highlighted by the study. With <strong>41%<\/strong> of women wanting to work part-time compared to <strong>30%<\/strong> of men, women are more likely than men to consider part-time employment or property income as alternate sources of funding, with <strong>21%<\/strong> of women planning to rely on property income compared to 18% of men.&nbsp;<\/p>\n\n\n\n<p>On the other hand, men are more likely than women to rely on investment portfolios and <strong>self-invested personal pensions<\/strong> (<a href=\"https:\/\/www.moneyhelper.org.uk\/en\/pensions-and-retirement\/pensions-basics\/self-invested-personal-pensions\" target=\"_blank\" rel=\"noopener\">SIPP<\/a>s), with their respective percentages being<strong> 23%<\/strong> and <strong>25%<\/strong>, compared to <strong>10%<\/strong> and <strong>16%<\/strong> for women. Additionally, <strong>53%<\/strong> of men and <strong>50%<\/strong> of women plan to use cash surpluses as a primary retirement funding source, further highlighting differing strategies between the genders.<\/p>\n\n\n\n<p>These findings underline the need for tailored financial planning to address gender-based <strong>disparities<\/strong>. Financial advisers and behavioural finance tools are seen as key to empowering individuals, helping them make informed decisions that reflect their unique circumstances and goals. Dr Davies added that <strong>advisers <\/strong>play a vital role in bridging these gaps and providing practical solutions.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A recent study has revealed alarming concerns for those born before 1970, as millions worry about running out of funds during retirement. State pensions, once considered reliable, are falling short for many. The research highlights financial gaps and stark gender differences in retirement strategies. Discover the challenges and potential solutions shaping the future of retirement.<\/p>\n","protected":false},"author":10,"featured_media":102981,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[],"class_list":["post-102978","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-social-welfare","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/102978","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/comments?post=102978"}],"version-history":[{"count":3,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/102978\/revisions"}],"predecessor-version":[{"id":103012,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/102978\/revisions\/103012"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media\/102981"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media?parent=102978"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/categories?post=102978"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/tags?post=102978"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}