What is the average pension pot in the UK?

We look at pension statistics, including average pension pot by age group and on retirement.

Have you ever thought about what you’ll do with your life when you’re done working? It’s never too early to start thinking about saving for retirement or comparing pension options. We commissioned some research to see how much Brits have saved in their pension pots.

Quick overview

  • The average pension pot in the UK is £35,357. This makes up 12% of the recommended total of £285,000 for those retiring at 66.
  • The average pension pot for a retired person is £69,481, which is just a quarter (24%) of the recommended retirement total of £285,000.
  • Almost 1 in 5 UK adults (18.4%) either do not have a pension or have nothing saved in their pension, which equates to over 9.7 million people.
  • Almost half (47%) of UK adults have stopped paying into their pension at some point.
  • Men have approximately 1.6 times more in average pension savings than women, with £42,892 compared to £26,691.

What is the average pension pot in the UK?

The average pension savings in the UK stand at just £35,357 per person in 2023, including both retired and non-retired adults. This is down from an average pension pot of £42,651 in 2021, a decrease of 17%.

To enjoy a moderate standard of living on retirement at age 66 in 2023, it is recommended to have £285,000 saved in total. However, the average UK adult has only 12.4% of this saved in their pension pot.

How many people have a pension?

Less than two-thirds of adults (58%) stated that they had pension savings in our survey. Almost 1 in 5 adults (18.4%) either do not have a pension of any kind or have nothing saved into their pension, which is estimated to be 9.7 million people. A further 16% of people are unsure how much they have saved in their pension.

What is the average UK pension pot at retirement?

According to our survey results, retired people have £69,481 saved in their pension pot on average. This is approximately a quarter (24.4%) of the recommended UK retirement income for a moderate standard of living, which is £285,000.

What is the average pension pot by age?

As you would expect, the average amount in a pension pot increases with age because those saving regularly accumulate more savings over time, as well as earning interest. 18-24 year-olds have just £10,303 saved, while those aged 55 and over have £64,354 saved.

Age group Average pension pot (£)
18-24 £10,303
25-34 £18,025
35-44 £22,925
45-54 £35,326
55+ £64,354

The gender pension gap

Our survey found that men have far more saved in their pension on average than women, at £42,892 compared to £26,691. This means that men have over 1.6 times more in their pension.

The gender pay gap is likely to have something to do with this, as it currently stands at 14.9% among all employees. Other possible reasons for the gender pension gap include time taken away from work for childcare and other caring duties and more women undertaking part-time work.

What is the average pension pot by region?

The area with the biggest average pension is Northern Ireland, with an impressive £47,455, which is over £12,000 higher than the UK average. Meanwhile, Scotland residents have an average pension pot of just £25,052, which is over £10,000 less than the UK average.

Region Average pension pot (£)
East of England £27,331
Greater London £38,259
East Midlands £32,794
West Midlands £28,877
North East £33,835
North West £41,199
Northern Ireland £47,455
Scotland £25,052
South East £35,636
South West £28,111
Wales £43,190
Yorkshire and the Humber £46,880
UK average £35,357

What is the average pension pot by generation?

As with different age groups, the average pension pot increases as the generations get older. While generation Z has just £11,291 in its pension pot on average, the silent generation, who are aged 74 and over, have a far more significant £97,008.

The effect of compound interest if you continue to pay into your pension means that the savings will increase more significantly between older generations as a larger amount of interest is earned on a bigger pension pot.

Generation Average pension pot (£)
Gen Z 11291.48
Millennials 18998.78
Gen X 34775.52
Baby Boomers 61690.21
Silent Gen 97008.45

How many people stop pension contributions?

Almost half (47%) of UK adults have stopped paying into their pensions at some point, and a further 11% of adults are considering doing so at some point, meaning a total of 58% have stopped or intend to stop pension payments.

Why do people stop pension contributions?

The most common reason among those who have stopped paying is due to the rising cost of daily expenses and bills, followed by the rising cost of rent or mortgage payments.

Other common reasons for stopping pension payments include paying off debt, having money for a holiday or other big purchases, or having money to give to your children or other important people in your life. Some people also stop paying into their pension due to illness or changing jobs.

Reason for stopping pension payments Percentage
Rising cost of daily expenses and bills 13.29%
Rising cost of rent or mortgage payments 9.62%
To have more money to pay off debts 7.34%
To give money to children or other dependent(s) 5.23%
To have money to put towards a holiday or other big non-essential purchase 6.78%

Why is it important to continue paying into your pension?

It should be noted that the long-term effects of stopping pension payments can be grave if you do so for a long period. Considering the effects of compound interest, any amount paid into a pension pot today could be worth thousands more in just a few decades.

As an example, £10,000 paid into a pension pot now, earning an interest rate of 5% per year, would be worth £25,330 in 20 years, £41,259 in 30 years and £67,207 in 40 years. The graph below demonstrates this increase over 70 years.

Years Pension payment
1 £10,500
2 £10,525
3 £11,051
4 £11,604
5 £12,184
6 £12,793
7 £13,433
8 £14,105
9 £14,810
10 £15,550
11 £16,328
12 £17,144
13 £18,001
14 £18,901
15 £19,846
16 £20,839
17 £21,881
18 £22,975
19 £24,123
20 £25,330
21 £26,596
22 £27,926
23 £29,322
24 £30,788
25 £32,328
26 £33,944
27 £35,641
28 £37,423
29 £39,295
30 £41,259
31 £43,322
32 £45,488
33 £47,763
34 £50,151
35 £52,659
36 £55,291
37 £58,056
38 £60,959
39 £64,007
40 £67,207
41 £70,568
42 £74,096
43 £77,801
44 £81,691
45 £85,775
46 £90,064
47 £94,567
48 £99,296
49 £104,260
50 £109,473
51 £114,947
52 £120,694
53 £126,729
54 £133,066
55 £139,719
56 £146,705
57 £154,040
58 £161,742
59 £169,829
60 £178,321
61 £187,237
62 £196,598
63 £206,428
64 £216,750
65 £227,587
66 £238,967
67 £250,915
68 £263,461
69 £276,634
70 £290,465

Sources and methodology

  • Finder commissioned Censuswide to carry out a nationally representative sample of 2,000 people throughout Great Britain in July 2023, with representative quotas for gender, age and region.
  • The moderate savings needed for retirement are taken from calculations by Retirement Living Standards and Standard Life.
  • UK population figures used were taken from ONS.
  • The future projections were calculated by taking the amount of £10,000 and applying 5% interest each year
  • Click here for more research. For all media enquiries, please contact:

    Matt Mckenna
    UK Communications Manager
    T: +44 20 8191 8806
    matt.mckenna@finder.com@MichHutchison/in/matthewmckenna2

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