Employer pension schemes are viewed as the safest way to save for the future, however according to the latest national figures, many believe property investment is the best option for a prosperous retirement.
A survey conducted in 2016 by the Office for National Statistics and Assets Survey of UK adults, discovered that 38% of people perceive company pensions as the most secure investment choice.
This is a 2% fall from 2014 revealing that opinions on employer pension schemes, which are of course compulsory, are now faltering.
The most popular option was property investment which was chosen by over 49% of those surveyed, a figure that has continued to increase since 2010 suggesting growing confidence in property prices.
Nathan Long, senior pension analyst at Hargreaves Lansdown, suggested the figures pointed to confusion with pension planning being worryingly on the rise.
“Investing in property is seen as the best way of making most of your money despite it being one of the least tax efficient ways to invest.
“More people are now citing a lack of understanding as the reason they are not in their workplace pension, even though auto-enrolment means most will not make any decisions whatsoever to join.
“The tail end of the retirement journey also is starting to show signs of people expecting to work longer, but with more than a quarter of older people not properly planning their retirement the reality could be even more severe. As people live longer and the cost of social care rises, the likelihood of inheritances acting as additional income in retirement falls.”