Almost two thirds of young adults have no plans to save for their retirement, a survey has revealed.

Research found that 59% of 18- to 24-year-olds have no savings strategy in place for funding their post-employment years, with the majority of non-savers stating that they will worry about it “nearer the time”. This relaxed approach contrasts with the 27% of over-55s, who said their pension fund is so small they are unlikely to be able to support themselves in retirement.

The survey, conducted by post-retirement financial services firm Tomorrow, found that 39% of young adults are putting off thinking about how to fund their post-employment life until they are much older. A further 20% are banking on an inheritance as the main means of supporting themselves in the future.

Confronted with a more imminent shortfall in retirement money, almost one in five over-55s believe they will have to work part-time to boost their pensions. A quarter of those approaching retirement age stated that they will probably need to release equity from their homes as a means of financial support.

A lack of planning appears to be the barrier to pension provision, with almost a quarter of those aged over 55 revealing that they only began saving for their retirement between the ages of 41 and 50. Kirsty Macpherson, spokeswoman for Tomorrow, said, “Despite warnings from the Government over the pensions gap, and the plan to raise the state retirement age, the UK’s twenty-somethings are still not aware of the dangers of planning too late for their retirement.

“With the young not learning from the mistakes of the older generations and not making adequate preparations for their retirement, the current pensions crisis looks set to continue indefinitely.” The research was based on a survey of 2,000 UK adults.

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