November 22, 2007

UK pension worst in Europe

In a study produced by the consulting company Aon looking into the state pension, has shown that it will only cover a mere 17% of the average earnings for the pensioner! This is embarrassingly low compared to the rest of Europe where the average over all European countries is 57% of the average earnings. Even if the second lowest country is taken into to consideration, which is Holland their rate is still over twice as much as the UK level.

This is a serious problem that we are all heading into trouble for a long term futures, and for some people it is just far too late for them to even accumulate enough pension to get a decent living from it when they eventually retire.

The only way to guarantee a reasonable retirement is to have a private pension plan and it needs to be started early.

Source [This is Money]