Most young people know they will be working longer into old age than their grandparents’ and parents’ generation. They also know that when they do finally retire, their state pension will be less generous.
The recent review of the state pension by John Cridland, former Director General of the Confederation of British Industry, was a blow to workers who are in their mid-40s and younger.
It recommended the state pension age be lifted to 68 between 2037 and 2039 – seven years earlier than planned.
Reports now suggest the Government is considering bringing this forward to 2030, which would affect those in their mid-50s. All this means that young people will need to save earlier – and harder – to ensure financial comfort in retirement.
The good news is that starting sooner can take the sting out of saving. But where? Here, we look at some of the options available to young savers.
