Survey reveals that Britons are not saving enough for retirement

According to a survey carried out by GE Money in 2008, just one in four Britons were confident that their savings will be sufficient for them to enjoy retirement in the level of comfort they are currently living in.

In a 2008 poll from the financial experts, figures showed that 59 percent of the adults surveyed currently have either some form of pension provision including high interest savings accounts. The worrying stats are that in 18 to 24 year olds this went down to just 17 percent. In fact over half the 18 to 24 year olds surveyed admitted to had ‘never thought' about attempting to save towards a pension.

The fact is however that with an ageing population in the UK the personal pension that currently keeps many retired people out of poverty will simply not be available to the younger generation.

Martyn Beauchamp, chief marketing officer at the firm, commented: "Unsurprisingly young people have made the least provision for retirement, but escalating living costs, difficulties getting on the property ladder and often crippling student debts mean they may be unable to build the securities that previous generations have, and be at even greater risk of a retirement shortfall."

He added: "Retirement is a key life stage that requires early financial planning. Good financial management and being able to plan and save for the future is an important part of maintaining the family finances. The message is clear - it is never too early to start planning for your retirement and how to fund it."

The government is doing all it can to encourage saving from an early age. For example, the introduction of tax free savings accounts or cash ISAs, with an allowance of £5,100, in an attempt to encourage people least save that amount each year. This limit was increased from £3,600 in April 2010 (October 2009 for those aged 50 and above). Those looking to invest in stocks and shares ISAs will be interested to hear the maximum limit was also increased, allowing tax free investments of up to £10,200 per year (or a mixture or cash and investment ISAs).

They have also introduced very favourable laws on personal pension plans that can allow you to deposit funds into your Self administered personal pension without paying any income tax, which immediately puts you 22-40% better off! These savings vehicles should be used to their upmost potential because they the governments way of saying we will all need them in the future!