Work longer and save more for your pension
Amid a growing debate as to whether the UK economy is back in recovery mode or still sluggish, many people have missed the growing concern regarding pension funds. A number of actuaries and pension advisers have come out to confirm that future pension arrangements will require a significant increase in funding with many people forced to work beyond their traditional retirement age.
We have also seen a forecast for the potential deficit in local government and UK government pension schemes which currently stands at £80 billion. This is a figure which the UK taxpayer will be expected to fund in due course to the detriment of personal pensions and non-public service corporate pension schemes. The rise and fall of the FTSE 100 has also impacted upon a number of blue-chip pension schemes and pension funds with many having shut the door for new entrants to their final salary schemes.
The UK pension industry has changed significantly over the last decade due to a number of taxation issues, the ever rising cost of living, the recent Credit Crunch and connected demise of investment markets. Ultimately many people will not be able to afford their own personal pension in the future which will in due course place more pressure on the state pension.
Share this..
Related stories
Should we be concerned about a double dip recession?
If the UK stock market does look around nine months ahead, as many analysts believe, should we be concerned about a double dip recession as the FTSE 100 falls below 5000 for the first time in seven months? There is a myth, or a reality according to many, that the UK stock market tends to look nine months ahead and can be a very interesting indicator for the future. As a consequence, the recent...
Read MoreWill your pension be hit by the BP collapse?
As problems at BP continue to grow there are fears that many people in the UK could be hit by the collapse in share price. This is a company which has for some time been one of the largest components of the FTSE 100 and therefore a main component of many tracker funds and pension arrangements. As a consequence, it is highly likely that any stock market-based pension arrangement will have some expo...
Read MoreKraft Foods looking to freeze US pension scheme
Kraft Foods has today revealed plans to freeze future payments towards its US pension scheme from 31 December 2019. While this date is obviously some way off into the future it has prompted concern amongst the Cadbury workforce and Cadbury pension fund trustees. So what plans does Kraft Foods have for the Cadbury pension scheme? At this point in time there is actually a deficit in the Cadbury p...
Read MoreHargreaves Lansdown forecasts pensions 'car crash'
The pensions sector is heading for a "car crash" - with an income of just £1,380 a year currently being derived from the average pot.Independent Financial Advisor (IFA) Hargreaves Lansdown made the finding in new analysis released yesterday, which also showed that the number of people paying in to plans had dropped from eight million to seven million over the past year.This is thought to be becau...
Read MoreToll roads not the answer to UK congestion
The environmental group, Campaign for Better Transport, has ridiculed the UK's first major toll road which was introduced to try and alleviate the massive congestion problems in and around Birmingham. The 27 mile stretch of the M6 sees motorist charged £5 a day and HGV's attractive a fee of £10 a day for the same length of road between 6 AM and 11 PM on weekdays. So how have traffic figures been...
Read More