INTRODUCTION

WHAT IS THE AVERAGE UK RETIREMENT INCOME?

It can be difficult to consider how much money you’ll need to retire, but it’s crucial to have a savings goal in mind that will support your preferred lifestyle in retirement. This week we will be looking at the factors that are important when planning your retirement income.

The average retired couple in the United Kingdom gets a pension income of £284 per week, comprised of occupational and private pension income and excludes State Pension income, according to a new government analysis[1].

To purchase a “level” annuity that would guarantee a similar weekly income for life, but may not preserve purchasing power over time, persons nearing retirement with a similar weekly income goal would require £267,000 in retirement savings.

Please contact us for more information on how we can help protect your future financial well-being and the options available to you.

Source data: [1] According to Pensioner Income Series Data –https://www.gov.uk/government/statistics/pensioners-incomes-series-financial-year-2020-to-2021/
pensioners-incomes-series-financial-year-2020-to-2021

[2] Figure is based on Standard Life internal analysis of market annuity rates as at July 2022

A PENSION IS A LONG-TERM INVESTMENT NOT NORMALLY ACCESSIBLE UNTIL AGE 55 (57 FROM APRIL 2028 UNLESS PLAN HAS A PROTECTED PENSION AGE). THE VALUE OF YOUR INVESTMENTS (AND ANY INCOME FROM THEM) CAN GO DOWN AS WELL AS UP WHICH WOULD HAVE AN IMPACT ON THE
LEVEL OF PENSION BENEFITS AVAILABLE. YOUR PENSION INCOME COULD ALSO BE AFFECTED BY THE INTEREST RATES AT THE TIME YOU TAKE YOUR BENEFITS.