Retirement isn’t what it used to be. The shift from Defined Benefit (DB) to Defined Contribution (DC) schemes and new pension freedoms are reshaping how millions fund their retirement. Our study with NMG Consulting reveals insights from consumers, advisers, and experts, highlighting key opportunities for enhancing guidance and product innovation. To learn more about this year’s retirement study, watch the overview or explore the key themes below.
“I'm delighted to be able to introduce Invesco’s Study on Retirement Income in the UK.
The concept of retirement has transformed over recent decades and so too is the approach to generating retirement income. We've seen this large transition from defined benefit to defined contribution schemes, and that, coupled with the introduction of pension freedoms, has fundamentally altered how millions of people now fund their retirement.
So to better understand these changes and their implications, Invesco has partnered with NMG consulting to conduct an extensive study of the UK retirement income space. Our research combined insights from a combination of consumers at various stages of their retirement journey with financial advisers who are active in retirement planning and senior industry experts.
As you read through the findings, you'll see that obviously challenges exist, but so do opportunities for positive change. And this ranges from facilitating access to guidance or advice, encouraging engagement to driving product innovation. We really are at a pivotal moment where industry efforts can shape a more secure retirement future for all.
At Invesco, we believe we have a responsibility to support the retirement sector as it evolves, whether that's developing innovative decumulation solutions, providing insights to advisors, or fostering industry wide discussions. Our goal is to contribute to a better retirement future.
We invite you to engage with our report and join us in shaping the future of retirement income in the UK.
Look, the challenges are significant, but so too are the opportunities to make a positive impact on the financial wellbeing of current and future retirees. The study highlights numerous insights, but we have grouped these into three high level themes.
So the first one explores how that shift to defined contribution pensions and the introduction of pension freedoms really has altered the retirement journey and the reality of retirement decision making.
The second theme examines how the advice landscape really needs to evolve to address how people access advice or guidance to navigate the retirement income challenges in a defined contribution dominated world.
And finally, theme three investigates how Decumulation solutions need to evolve and the innovation required to meet the changing needs of DC retirees.
Thank you so much for your interest in our retirement study. We hope you enjoy these valuable insights and really look forward to engaging with you to deliver better retirement outcomes in the defined contribution era.”
