Small increase in expected retirement living standards

Complex situation for different age groups

Martin Richmond
clock • 2 min read

The Aon defined contributions (DC) pension tracker has released its Q1 2022 update, which it said suggested a better-than-expected end of 2021.

The tracker rose from 58.4 to 59.7 during the Q4 2021, which keeps it level with the number that was seen at the start of 2021. While this suggests the expected living standards in retirement provided by DC pensions will be higher than previously thought, the situation is a complex one for different age categories. For savers with the largest DC pots that have already been built up over time, specifically the model 40- and 50-year-old members, they saw the biggest increase in expected benefits, seeing an increase in £400 and £500 per annum respectively. Meanwhile, the youngest model s...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Retirement

How advisers can play a role in boosting wellbeing in retirement

How advisers can play a role in boosting wellbeing in retirement

A happy retirement is the 'north star'

Cecilia Furner
clock 08 November 2024 • 3 min read
Partner Insight: Embracing the future of retirement planning

Partner Insight: Embracing the future of retirement planning

Brooks Macdonald
clock 31 October 2024 • 2 min read
Pension tax rules uncertainty shows 'need to shift retirement planning'

Pension tax rules uncertainty shows 'need to shift retirement planning'

Needs to include wider considerations of capital drawdown beyond pensions

Isabel Baxter
clock 24 October 2024 • 2 min read