Samantha Gould, Head of Campaigns, NOW: Pensions, comments on how people from underpensioned groups have private pension incomes that range from 18% to 64% lower than the UK average.

A new report identifying the private pension savings of underpensioned groups in the UK has been published by NOW: Pensions. It has found a number of common factors within these groups which are presenting barriers to saving, including non-traditional work patterns, a lower percentage of homeownership, and being impacted by inequalities in the labour market.

Of the 14.6 million employed women in the UK, around 2.5 million (17%) do not meet the qualifying criteria for automatic enrolment, compared to 8% of male employees. 1.9 million women earn below the earnings threshold of £10,000, making up 79% of the workers who do not meet this qualifying criterion.

Private pension incomes of divorced women, people from ethnic minority backgrounds and people with disabilities have all declined compared to the population average since 2012. Single mothers’ private pension incomes have remained at 50% of the population average, while for women in general and carers the gap has narrowed, but not greatly.

Samantha Gould, Head of Campaigns at NOW: Pensions and report author: 

"There are a total of 8.6 million people in underpensioned groups that are locked out of automatic enrolment, missing out on potentially billions of pounds of pension saving annually. We have been campaigning on behalf of underpensioned groups since 2019. Our latest report has revealed that private pension incomes were less than 85% of the population average, with some groups experiencing significant declines compared to our 2020 index."

Full release: Some underpensioned groups in the UK are reaching retirement with private pension incomes of just £2,850

✉️ Samantha Gould, NOW: Pensions, 07827 355 518, samantha.gould@nowpensions.com