1. The better pension schemes based on years of employment and salary (called Final Salary schemes) are disappearing.
2. The State Pension Age is being increased for both men and women (Note: If you want to know how long you will have to wait for your State Pension, go on to the State Pension Age Calculator at www.direct.gov.uk.)
3. Existing Money Purchase pensions (These represent the majority of private pensions and consist of a pool of money that is built up through contribution and investment growth. The resulting fund is eventually used to purchase an income – hence Money Purchase.) rely on people putting a significant contribution into their pensions – which most people are unwilling to do.
4. The State Pension is insufficient on its own to provide an adequate income in retirement.
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