Seven-in-ten consumers have a workplace pension
03 May 2022
67% of consumers own a workplace pension
While 67% of consumers own at least one type of workplace pension, seven in ten of workplace pension holders have a workplace pension with their current employer.
Affluent consumers, especially those in intermediate or senior managerial positions, who are working full time are the most likely to own a workplace pension. Working full time and being aged between 25-44 plays a key role in determining ownership of workplace pensions. This is no doubt related to the introduction of auto enrolment (AE) into the workplace pension market in 2012. Most consumers who are currently employed but do not have a workplace pension with their current employer, have voluntarily taken a decision not to be enrolled or to leave a workplace scheme.
These findings come from the IRN Research report Workplace Pensions 2022.
DC pensions the most common type of workplace pension
The most common arrangement is for workplace pension holders to only have a defined contribution (DC) pension (four-in-ten), with just under one-third only having a defined benefit (DB) pension. Around one-in-ten workplace pension holders own both types of pension. One-in-five workplace pension holders are not sure what type of pension they have. These consumers include a high percentage of part-time workers who seem detached from or lack interest in their workplace pensions.
About the workplace pensions report
This report considers the types of workplace pensions owned, how individuals contribute to their pensions, if individuals have taken money from any of their workplace pensions, their use of financial advice and their retirement goals.
For this report, IRN Research commissioned Maru/Blue to conduct a survey among its online panel, drawing on a nationally representative sample of 2,148 UK adults aged 18+. This generated a sample of 1,449 individuals who own any type of workplace pension.
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