Barnett Waddingham's Malcolm Mclean comments on ONS Population Ageing Report
Malcolm McLean, a consultant at Barnett Waddingham, the UK's largest independent firm of actuaries and administration consultants, commenting on the ONS report published today entitled ‘An overview of population ageing in the UK, its constituent countries and the European Union’, said:
“The report confirms that ageing of the UK population is continuing apace and that by 2035 it is projected that those aged 65 and over will account for as much as 23% of the total population.
This poses some major challenges for the future and makes it ever more important to address the growing savings gap with less than half the working population now contributing to a private pension and confidence in pensions seemingly being at a very low ebb.
The present government is placing a lot of store in the new auto-enrolment arrangements which begin with the largest employers in October this year but seems oblivious to the possibility that this may all be too little too late. Indeed by now protracting the full take-on period over 6 years and phasing in the contribution rates at a similarly leisurely rate this belies the importance and urgency of the problem we are all facing.
There is also no absolute guarantee that auto-enrolment will deliver the desired results and while it might be the best game in town at the present other measures to stimulate and encourage greater saving by a sometimes sceptical public must be sought before it is too late.”
To view a copy of the report please click here.
For more information please email Malcolm McLean or Steph Gold.