{"id":1425,"date":"2013-01-10T11:59:19","date_gmt":"2013-01-10T11:59:19","guid":{"rendered":"https:\/\/silver-stage.precision.co.uk\/?p=1425"},"modified":"2013-01-10T11:59:19","modified_gmt":"2013-01-10T11:59:19","slug":"uk-expected-retirement-income-hits-six-year-low","status":"publish","type":"post","link":"https:\/\/silvermarque.co.uk\/?p=1425","title":{"rendered":"UK expected retirement income hits six year low"},"content":{"rendered":"

Pensioners\u2019 expected retirement incomes have fallen for the second consecutive year, according to new research from Prudential<\/a>.<\/p>\n

The insurer\u2019s sixth annual \u2018Class of\u2019 study, which tracks the future plans and aspirations of people entering retirement, found that those retiring in 2013 expect average incomes of \u00a315,300 per year \u2013 \u00a3200 less than the Class of 2012\u2019s expectations.<\/p>\n

According to the research, expected retirement incomes have fallen in four of the past five years, and are now \u00a33,400 lower than they were in 2008, when a typical person entering retirement anticipated an annual income of \u00a318,700.<\/p>\n

Yet, the real-term fall in incomes is even higher due to rises in living costs. Since 2008, inflation has caused prices to rise by 14.7 per cent. Someone who retired last year would therefore need an annual income of \u00a321,400, to have the same buying power as an average person entering retirement in 2008.<\/p>\n

Despite expected retirement incomes falling nationally overall, they actually increased in certain areas of the UK. The most significant year-on-year increases were in Scotland, where they increased by \u00a3800 to \u00a315,000. Notable increases also occurred in the South
\nWest, where an average 2013 retiree\u2019s estimate was \u00a3500 more than that of their 2012 counterpart \u2013 \u00a315,600 compared with \u00a315,100. Yorkshire & Humberside, the North West and London also saw increases in expected retirement incomes.<\/p>\n

Vince Smith Hughes, retirement expert at Prudential, said: \u201cPeople entering retirement this year are continuing to feel the squeeze as their expected incomes have fallen for the fourth time in five years, to a new low.<\/p>\n

\u201cThe continuing trend is even more concerning, when you consider that rising inflation is eroding pensioners\u2019 spending power in real-terms.<\/p>\n

\u201cIt can be tempting to go for whatever product offers the highest initial income, but this might not be the best value in the long-run as it could leave dependents at risk, or fail to protect you against rising living costs.<\/p>\n

\u201cThose who are still working should think about saving as much as possible as early as possible, to give themselves the best chance of building up a decent pension pot to help to ensure a comfortable retirement.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Pensioners\u2019 expected retirement incomes have fallen for the second consecutive year, according to new research from Prudential. The insurer\u2019s sixth annual \u2018Class of\u2019 study, which tracks the future plans and aspirations of people entering retirement, found that those retiring in 2013 expect average incomes of \u00a315,300 per year \u2013 \u00a3200 less than the Class of […]<\/p>\n","protected":false},"author":35,"featured_media":1428,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,1,32],"tags":[390,388,384,387,170,282,382,389,385,386,383],"class_list":["post-1425","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","category-latest","category-personal","tag-annual-income","tag-comfortable-retirement","tag-expected-incomes","tag-pension-pot","tag-pensioners","tag-research","tag-retirement-incomes","tag-rising-inflation","tag-rising-living-costs","tag-saving","tag-spending-power"],"_links":{"self":[{"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/1425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/users\/35"}],"replies":[{"embeddable":true,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1425"}],"version-history":[{"count":4,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/1425\/revisions"}],"predecessor-version":[{"id":1430,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/1425\/revisions\/1430"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=\/wp\/v2\/media\/1428"}],"wp:attachment":[{"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/silvermarque.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}