Last week we joined the Talk Money Talk Pensions campaign to encourage people to talk about their finances, improve their financial wellbeing and start planning for their future.

The annual week-long campaign is an initiative by the Money and Pensions Service, a government-backed body created under the Financial Guidance and Claims Act 2018. The service brings together three providers of financial guidance: Pension Wise, The Pensions Advisory Service and The Money Advice Service to offer arms-length guidance on pensions, debt, consumer protection and to encourage a general understanding of money.

The Talk Money Talk Pensions campaign, which took place between November 18 and 22, is designed to get the UK to talk openly about money and pensions. The event also gives businesses and organisations the chance to shine a light on the work they are doing to help improve the financial wellbeing of their customers, clients and employees.

We enjoyed taking part in Talk Money Talk Pensions Week 2019 and as our contribution to the campaign, we decided to focus on the current pension landscape and to communicate key findings to colleagues in the financial sector. Using data from the Money and Pensions Service we’ve been sharing key facts and figures, revealing some of the public's 'knowledge blind-spots' when it comes to pensions and retirement. 

1.) 11.5 million people have less than £100 in savings

The latest figures from the Money and Pensions Service show that approximately 11.5 million adults in the UK have less than £100 in savings and investments. There can be a host of reasons why someone has not started to save for their retirement, particularly those who are unemployed or self-employed as they will not benefit from auto-enrolment.

A SIPP (Self Invested Personal Pension) could be one answer for those who are not in a position to take advantage of a workplace pension. SIPPs are also an attractive option for those looking for greater range and control of their investment choices.

To discover our full range of SIPPs take a look at our products page.

2.) 22 million working age adults do not feel they understand pensions

22 million people. That’s a huge proportion of the population who feel that they don’t have the information they need to plan for their future.

There are plenty of opinions scattered across the internet but where can the uninitiated go for impartial advice?  The Money Advice Service’s guide to personal pensions is a good introduction to the different pension options available:https://moneyadviceservice.apsmos.com/ViewArticle.html?sp=Spersonalpensions-75

When looking for an Independent Financial Adviser, the Financial Conduct Authority’s website is a great starting point: https://www.fca.org.uk/firms/financial-advisers  

3.) Do enough people know that they can start a SIPP up to the age of 75?

How many people over the age of 55 know that it is not too late to open and contribute to a Self-Invested Personal Pension (SIPP)?

Spotting gaps in pension knowledge and educating the public on their choices is an important step in improving financial wellbeing.

That’s why we’re making it our job to support existing and potential members, as well as advisers with the information they need - even past the age of 55.

4.)  2 million people are part of the gig-economy in the UK

According to data from the Money and Pensions Service, the UK has an estimated 2 million people working within the ‘gig-economy’.

These temporary contractors and freelancers are from a variety of backgrounds and circumstances, often accessing this section of the labour market via big tech companies.

The reasons that people choose to enter the gig-economy are wide-ranging. Some use temporary contracted work as a side-hustle, some take up ‘gigs’ to give them freedom and flexibility in their lives - for others, it is their only income option.

Whatever the reason, some of the 2 million people working in the gig economy may not currently have a personal pension plan. Could this be the last big untapped market for the self-invested personal pension industry?

Talk Money Talk Pensions Week is a fantastic initiative and we have thoroughly enjoyed taking part in this year’s campaign. As highlighted throughout the last week, the key to financial wellbeing is to feel confident enough to talk openly about our finances and we hope that this year’s event has helped encourage people to think about their financial future and start planning for their retirement.

For more information on #TalkMoney #TalkPensions Week 2019 and the Money and Pensions Service visit: https://lnkd.in/d4tyjJv

The information contained within this article is not intended as financial advice.