One of the great hopes in life is that we will grow older and see the next generation flourish. Longer lives mean we will all live our lives very differently; not just as we reach retirement but throughout our working life. Our growing ageing population will not just mean putting in place the right support mechanisms to help the older age group but also supporting the wellbeing of the younger generations to lessen the pressures that will result from this demographic shift - please view Our Future Financial Lives video. These changes will have significant implications for our future financial lives.
In the next 20 years, there will be more comparatively older people than ever before. By 2041, 16.8 million people in the UK will be aged 65 years or older, of which 3.2 million will be more than 85 years old. In another 30 years from then, the over 65 years age group will have reached over 20 million, of which 5.1 million people will be over the age of 85 years.
While increased longevity will afford much opportunity, we know many will also be poorly prepared for the true cost of retirement, with people underestimating the level of savings they will need and being unable to make provision for the possibility of poorer health in later years, and the resulting long-term care needs.
This timely downloadable Our Future Financial Lives report from CMS,explores the hopes and perceptions of multiple generations – Current Retirees, Generation X+ and Millennials/Generation Z, revealing how each generation contemplates how their own needs, and the needs of their children and their parents, will change in light of our ageing population and the impact this will have on their financial wellbeing. The scale and importance of these issues are the subject of increasing debate, with the FCA opening in May 2019 its discussion on Intergenerational Differences and the House of Lords Select Committee on Intergenerational Fairness and Provision reporting in April 2019.
Explore the report below or download a copy from this page. If you would like further details of our findings, please contact us at future-financial-[email protected].