26 February 2019

Pensions inequality generates huge gap between high income and low income pensioners

3 min read

 
Helen Morrissey, Personal Finance Specialist

Helen Morrissey

Corporate PR Specialist – Long Term Savings

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Commenting on the publication today of “The effects of taxes and benefits on household income, disposable income estimate: 2018”, Helen Morrissey, pensions specialist at Royal London, said:

“Today’s statistics show how pensions inequality is generating a huge gap between high income and low income pensioners. While disposable income is made up from a range of areas such as investment income the real differentiator between those at the top and those at the bottom of the income scale is that of pensions which contribute more than £30,000 of disposable income to the richest households. This compares to just over £2,300 for those at the bottom. As pensions form the bedrock of people’s retirement planning these figures show the importance of contributing as much as possible for as long as possible to build a sustainable retirement income.”

Source: Table 24

For further information please contact:

Helen Morrissey, Corporate PR Specialist – Long Term Savings

About Royal London:

Royal London is the largest mutual life, pensions and investment company in the UK, with funds under management of £117 billion, 8.8 million policies in force and 3,745 employees. Figures quoted are as at 30 June 2018.