UK pensions are stuck ‘in a time warp'

 

The UK needs more honesty and transparency about its public sector pensions as they are currently stuck in a "time warp", according to one expert.

This could inspire a number of people aged over 55 years to use an equity release calculator to see how the value of their home could boost their retirement finances.

Independent policy advisor Dr Ros Altmann said taxpayers are shelling out for public sector workers to enjoy a better quality of life in retirement.

"Taxpayers are giving public sector workers a first class air ticket to retirement and charging them just for an economy fare, while the taxpayers themselves have to wait for the bus" she said.

The expert added that in order to achieve the £10,000 per year that the average public sector retiree receives, private sector workers would need to save around £400,000, when in fact they are more likely to save around £30,000.

Expats who still own a UK propererty, and are concerned that their savings will not be enough to see them through their retirement can find out how the value of their investment could provide them with a tax-free cash lump sum by seeking advice from an experienced scheme provider.