Pension savers 'may be losing out' on tax relief

People should ensure that they are taking advantage of any pension tax relief that is available to them, it has been suggested.

Unbiased.co.uk has highlighted the potential benefits offered by Additional Voluntary Contributions, with the website noting that consumers might lose out on tax relief totalling £742 million in 2010 by not making the most of these.

The site's Chief Executive Karen Barrett has noted the impact that the recent economic turmoil may have had on people's retirement finances.

She commented: "Failing to save for retirement has become an increasing problem for the UK population.

"The financial meltdown ... further compounded this problem, as the value of people's pension funds has decreased."

Ms Barrett went on to point out that people might be able to improve their retirement saving plans by seeking guidance from an independent financial adviser (IFA).

Unbiased.co.uk recently claimed that retirement planning advice is still being sought by a large number of consumers who are looking for IFAs.

Posted by David Shuker.