Generation VeXed: solving the retirement puzzle
As the UK’s largest life and pensions consolidator in Europe, the Phoenix Group serves 10 million policyholders. This is both a huge privilege and a great responsibility. It is our duty to nurture these savings and to help people to provide for their retirement and beyond
This responsibility is why we’ve sponsored the Pensions Policy Institute to undertake research into the long-term savings position of ‘Generation X’, encompassing those aged 39 to 53, totalling around 13 million people. The report considers the challenges facing this generation, who are less likely to have the levels of Defined Benefit provision enjoyed by those before them – the Baby Boomers. Generation X also has less time than younger savers – Millennials – to benefit from automatic enrolment.
The research concludes that one-third Generation X individuals are at risk of failing to achieve more than the minimum income levels in retirement without taking significant action. Whilst Millennials face similar challenges, the critical difference is that people in Generation X will retire in the next 12-28 years and must therefore respond more swiftly to address the financial shortfall.
Collaboration from government, industry, employers and individuals is needed to help ensure everyone achieves better retirement outcomes. At Phoenix, we will continue to play our part and explore further initiatives to help Generation X achieve adequacy, sustainability and flexibility in their retirement.
The Pensions Policy Institute Report
Press release: 'Generation VeXed' faces a grey retirement