The Nucleus Retirement Confidence Index 2024

Our survey says…

The Nucleus Retirement Confidence Index 2024 is an annual survey designed to give an overview of how people feel about their preparedness for retirement. Around 4,300 UK adults were surveyed, across all age groups.

This is only the second year that Nucleus have carried out the survey, with 2023 marking the inaugural attempt to gauge the sentiment of UK adults towards their retirement outlook.

The key findings of this survey include:

Low Confidence Levels:

The overall retirement confidence score dropped to 4.6 out of 10. This is down from a score of 6.9 out of 10 from the survey in 2023. Only 34% of respondents feel confident they have sufficient savings to live comfortably in retirement, while 60% expressed doubt about meeting their financial needs.

Saving Challenges:

• 39% of participants are not contributing to any pension
• A fifth of respondents have not saved anything for retirement
• Rising costs, such as housing and childcare, are major barriers to saving

Gender and Generational Disparities:

• Women remain less confident than men about retirement prospects.
• Confidence is highest among 18 – 24 year-olds and declines significantly among those aged 35 – 44

Perceived Income Needs vs. Reality:

• Most adults believe they need £20,000-30,000 annually for a comfortable retirement, but this falls far short of the £43,100 estimated by the Pensions & Lifetime Savings Association (PLSA) for a “comfortable lifestyle”

Impact of Economic Conditions:

• Public confidence has been affected by broader economic uncertainties, including the 2024 Autumn Budget. Over a quarter of respondents reported feeling less confident after its release

Calls for Systemic Change:

• The report advocates for enhanced financial education, early savings plans, and systemic reforms to improve retirement preparedness
• These findings underscore the urgency of early financial planning and seeking quality advice to secure a stable retirement future

Where do we come in?

Our aim is to give you the confidence that you need to enjoy retirement by planning ahead and helping you to put appropriate provisions in place, giving you the freedom to go ahead and live the lifestyle of your choosing once you ‘hang up your boots’.

As advisers, we are also keen that both parties in a couple are present and engaged in the planning process. This is just one way that we can help to bridge the gender gap, which the Nucleus Retirement Confidence Index unfortunately revealed remains present. This helps to provide the full picture, gives clarity to all involved and enables both members of a couple to educate themselves on the options that they have.

Lastly, we strive to look after families up and down the generations. As mentioned above, the 35 – 44 age group was found to have some of the lowest confidence levels when considering their retirement outlook. At that point in life, retirement may seem (and probably is) some way off. However, the earlier plans are put into place, the longer they have to cultivate and grow into something robust. If your child or grandchild is in this age group and you think that they would benefit from a conversation with us, please do get in touch.