"The financial challenges facing the younger generation are well reported – including rocketing property prices, student debt and job insecurity. It is therefore hugely to their credit that they are leading the way in Britain’s pension revival."
This is the biggest percentage of all age groups. 35-to-44 year olds represent 24%; 45-to-54 year olds represent 26%; and over 55s year olds represent 16%.
2.7 million under 35s are reported to be contributing to a personal pension. This is the highest number since records began in 2001, and up a staggering 35% on the previous year.
Today’s figures also show that more individuals are now contributing to personal pensions than since records began in 2001. In 2014-15 7.9 million individuals contributed to a personal pension. The previous high was 7.8 million in 2002-03. The total amount contributed to personal pensions in 2014-15 was £20.3 billion. This is nearing the peak of £20.9 billion contributed in 2007-08 ahead of the financial crisis.
However the number of self-employed people saving in a personal pension has fallen to 380,000 in 2014-15. This is lowest number since records began in 2001, and down from a peak of 1.2 million in 2002-03.
Alistair McQueen, Savings and Retirement Manager at Aviva, said: “This is a good news story for pensions. The number of people saving in personal pensions is up and the amount being saved is nearing an all-time high.
“The financial challenges facing the younger generation are well reported – including rocketing property prices, student debt and job insecurity. It is therefore hugely to their credit that they are leading the way in Britain’s pension revival.
“As the number of people who are self-employed continues to increase – reaching 4.7 million in the latest official statistics – it is concerning to see the number of savers in this community continues to fall.
“Automatic enrolment has played a big part in this pensions revival. In 2017, the government will review the future of automatic enrolment. Aviva is committed to its continued success and has launched its own Pre-Review ahead of the government’s formal review. We will present our findings at a summit in London on 15 November. This will be led by Aviva’s UK Life Chief Executive, Andy Briggs, and will be joined by leading stakeholders from across the industry, including Pensions Minister Richard Harrington MP.”
