The majority (82 per cent) of UK retirement savers do not appear to have made any changes to their pension, despite the fact more than four in ten workers (45 per cent) have been impacted by the coronavirus pandemic in some way, a new survey has indicated.
According to research from leading workplace pension provider The People’s Pension1, conducted by YouGov, only three per cent2 of those questioned who have a pension said they had stopped their pension contributions altogether during the past seven months, while just two per cent said that they had withdrawn money from their pension, even though the country has experienced its biggest slump since records began and the recent rise in unemployment was the biggest in 11 years3.
The survey also reveals that:
- Two per cent have cut back pension contributions since the UK went into lockdown in March 2020
- A further two per cent had increased their contributions
- Approximately one in seven (14 per cent) have checked the value of their pensions savings in the past seven months
The same research also reveals that 45 per cent of UK workers’ jobs have been affected by coronavirus in some way, with 15 per cent of those taking part in the survey having been furloughed at some point during 2020. Eight per cent of those questioned said their hours had been reduced, with five per cent saying that they had to take a pay cut 2.
Phil Brown, director of policy at The People’s Pension, said: “This has been the most difficult year that most of us can remember, with the fallout from the pandemic having an impact on almost everything that we do. Despite the financial hardship that coronavirus has caused, this national survey confirms what our data has shown us throughout; that it has had very little impact on pension saving.
“Even though there were early fears to the contrary, workplace pension saving through automatic enrolment has held up very well during 2020, confirming its status as one of the most successful Government policies of the 21st Century. This research serves as a timely reminder of how much value millions of workers place on saving for their retirement.”
The survey also revealed that the pandemic had prompted one per cent to delay their retirement plans, while one per cent of all UK adults with a pension retired earlier than they had anticipated.
Notes to editors
- The People’s Pension is a leading workplace pension scheme from the not-for-profit B&CE Group, with more than five million pension savers from over 90,000 employers and £11 billion assets under management.
- All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 2,084 adults, of which 1,554 adults have a pension or 1,305 adults who are not retired or full-time students. Fieldwork was undertaken between 14th – 15th October 2020. The survey was carried out online. The figures have been weighted and are representative of all UK adults (aged 18+).