According to a new study, people in ethnic minorities are far less likely than other Britons to make savings in a private pension scheme. As a result, millions of UK citizens are now at risk of experiencing financial hardship in the future, new research reveals today.
The recent research conducted by the Social Market Foundation (SMF) uncovered that only 25% of people who come from ethnic minorities possess a workplace pension. This figure is well below the current national rate currently standing at 38%.
The SMF study reinforced by Which? noted that people of an ethnic minority are often more sceptical regarding the value that private pension savings offer. Additionally, the study finds that there is a greater chance of them believing that the UK state pension is sufficient to deliver a good retirement as compared to other groups.
It was the report’s assessment that this combination of faith in government provision and scepticism regarding private pensions could potentially put the majority of ethnic minorities in Britain at greater risk of suffering tough times in old age, as their savings and state pension may prove insufficient for their requirements.
The SMF believes that UK ministers must overhaul rules for the auto-enrolment of pensions to protect more people financially in the future. To ensure adequate provision when they stop working, many people consult experts in retirement planning in Shropshire, Cheshire, and other counties. Wealth managers help their clients both before and after they retire to form plans that help them enjoy security and peace of mind in later life.
