Two-fifths (42%) of global employees aged 50 and over have been found to be underprepared for retirement by 10 years against the average life expectancy, according to new research from Fidelity International and National Innovation Centre for Ageing (NICA).
The report, The longevity revolution: preparing for a new reality, draws on surveys of more than 11,800 participants aged 50 and above. It discovered the 10-year savings gap by comparing how long people expected their retirement savings to last against the average life expectancy in their location.
Globally, 42% of global respondents were under-planning by 10 years or more, while in the UK, this figure is 35%. When measured against a potential 100-year lifespan, 81% are underprepared by at least a decade. This figure stands at 74% in the UK.
Two in three (68%) of global retirees described their outlook as positive, compared to 56% of those yet to retire. In the UK, 74% of retirees described their outlook as positive, compared to 56% of pre-retirees.
Seven in 10 (70%) pre-retirees said they are likely to work at least in some capacity, whether voluntary or paid, in their retirement. This is primarily to stay mentally and physically active (38%), rather than as a financial necessity (26%).
Stuart Warner, global head of platform solutions at Fidelity International, said: “This mismatch between life expectancy and savings horizons risks leaving many underprepared. With the right planning, longer lives can be a positive reality, but it requires a new mindset and earlier action. When finances are secure, people can invest in their health, maintain social connections, and approach retirement with confidence.
“When they’re not, the entire structure is weakened. A longer life should be something to look forward to, not fear. Organisations and policymakers who embrace longevity wisely will not only support individuals in achieving security and purpose, but also establish a society that is wealthier, healthier and more cohesive than the one before it.”
