A new study has revealed the amount of money people might need to save to secure a comfortable life after work.
If you are retirement planning in Cheshire or Oswestry, Pensions UK has recently released its findings in a study published in conjunction with Loughborough University’s Centre for Research in Social Policy. The Pensions UK Retirement Living Standards report is produced annually as a guide for people planning their retirement savings.
The study compared the minimum, moderate and comfortable amounts people might expect to live on in retirement. A minimum lifestyle typically costs approximately £13,900 a year for one person living alone and £22,500 for a co-habiting couple. These figures rise to £32,700 and £45,400 respectively for a moderate lifestyle, and £45,400 and £62,700 at the comfortable end of the scale.
On current calculations, 82% of the working population might fall into the minimum category, 23% the moderate category, and 9% the comfortable category. The figures factor in likely spending on consumer items such as food, clothing, transport and holidays after retirement, adjusted for inflation, whilst excluding housing costs.
The government is keen to get more people saving for the future and to address the gender gap, with men on average holding 50% more in pensions than women. It announced in 2025 that it would be reviving the Turner Pension Commission, whose findings in 2006 resulted in the roll-out of automatic enrolment in pension saving schemes. Pension providers also send out annual statements that give an indication of how much annual income a household’s savings will generate for retirees.
