More than half (55%) of respondents take an active and regular interest in their pension savings, according to research by chartered accountant and business adviser Price Bailey.
Its Workplace pensions: the members’ perspective report, which surveyed 2,017 pension scheme members, also found that 42% of respondents do not know whether they contribute to a defined benefit (DB) or defined contribution (DC) scheme.
The research also found:
- 60% believe it is their employer’s responsibility to ensure employees understand workplace pensions.
- 28% of respondents do not know how long they will need a pension income for after they retire.
- 37% feel they lack the understanding and knowledge to be more actively engaged with their pension.
- Just over half (53%) of respondents would like to access financial education or advice through the web or interactive tools, and 44% would like one-to-one meetings with specialist financial advisers.
- 88% consider how their pension scheme is managed and run as either fairly or very important.
- 86% of respondents say that the overall investment return of their pension is important, and 43% would avoid investing in businesses that conflicted with their ethical views even if they offered a better investment performance.
Tom Freeman, head of pensions at Price Bailey, said: “This research has highlighted what pension scheme members are looking for from trustees and their employers, but also the lack of clarity which they have over how and where their money is being invested, and what the options are when they come to retire.
“There is a clear expectation on employers to provide scheme members and employees with the education, information and access to advice in a clear, easily accessible form. This is vital to enable members to make informed decisions about their pension and to plan appropriately for their retirement, before it is too late.”