With just over a month to go until the day that new regulations for the UK pension system come into effect, the majority of British employees remain the dark about the implications of A-Day, research suggests.
Financial services firm JP Morgan Invest found that only a third of workers in the UK understand how the new pension rules will affect them – meaning that 3.3 million people could suffer financially in retirement.
The research shows that the two-thirds of employees who do not understand what the new rules mean for them could lose out on 66 per cent of their pension funds because of this.
Some 12 per cent of the 1,000 workers surveyed by the firm thought that A-Day was a new bank holiday, while some suggested it may be a day to raise awareness of alcohol abuse.
"Ignorance is costing the British public its security in old age," comments the firm's director, Jonathan Watts-Lay.
He says the study emphasises the need for employers to take responsibility for their workers by ensuring employees understand their financial futures.
"A-Day is a fantastic opportunity for the nation to re-address its investment plans, but the benefits can only be achieved by clear and timely education in the workplace," Mr Watts-Lay added.
While only three per cent of those participating in the research say they have received financial education from employers, eight in ten of them claim they would welcome such instruction.
Employee confusion over UK pension system remains, survey finds
Pensions Quote Line
0845 108 0505
Employee confusion over UK pension system remains, survey finds
Fri, 03 Mar 2006
Recommended links
Retirement pension help sought, survey showsA-Day awareness on the rise, financial advisers say
A-Day changes to your pension Aril 2006
Confused about your retirement pension? - fill in our quick enquiry form
Pensions.co.uk is part of a large network of financial sites created to help advise you on life events, such as buying a house, Mortgages.co.uk; insuring your car - CarInsurances.co.uk; your life - LifeInsurance.co.uk; and your home - HomeInsurance.co.uk.
1998 - 2008 UK Pensions - Planning before, at the onset and during retirement.
| pensions news |
|---|
| Government will protect pension holders - Tue, 06 Jan 2009 |
| Pension investors told to consider hotel rooms - Wed, 24 Dec 2008 |
| Pensioners will see a boost to their income - Mon, 15 Dec 2008 |
| More News |
Pensions Newsletter
Please enter your email below and subscribe to our monthly newsletter
Save on Your Mortgage
Would you like to save money on your mortgage? Fill out our quick mortgage enquiry form.
Protect Your Health
Find Critical illness, Life and Private Medical Insurance PMI policies.