UK Workers Catch The Pension Saving Bug Again
20 July 2016
- Total annual pension contributions by UK workers have increased by nearly a fifth since 2010
- More than £9 billion paid into pensions by workers last year – but still below prefinancial crisis levels
- Number of individuals contributing to a pension is on the rise as auto-enrolment takes effect
The total amount contributed annually by UK individuals into their pensions has increased by nearly a fifth (17 per cent) in the last five years, according to analysis of newly released HMRC data by Prudential1.
According to the data, individual contributions to pensions for the tax year 2014-15 totalled £9.03 billion, an increase of more than £1.3 billion on the £7.71 billion contributed in 2010-11. The figures capture both contributions to personal pensions and voluntary contributions to occupational schemes.
Prudential’s analysis found that the value of total individual pension contributions for 2014-15 is the second highest ever publicly available figure, based on data which stretches back to the 1990-91 tax year. However, the levels of pension contributions still haven’t recovered to those seen in the year before the financial crisis struck. The £9.03 billion contributed last year is still over £1 billion short of the total for 2007-08, (£10.18 billion).
Radio interviews via ISDN or various smartphone apps can be arranged on request.