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Media coverage pushes a fifth of young Brits to start saving for retirement

Thursday 20th March 2014

A study has revealed that 21% of young adults have already began setting money aside to use in their retirement; with 52% of these admitting that media coverage of pension trouble has inspired them to plan ahead. 
The study, conducted by www.vouchercloud.com, polled 2,014 UK adults aged between 18 and 30 as part of ongoing research into personal finances. 
For those who claimed to have started saving, paying into a 'tax free ISA' was the number one method, with 41% of the relevant respondents claiming to have done so. A further 37% said that they had 'taken steps to reduce debts' with retirement in mind, whilst 22% said that they had already 'signed up to the company pension scheme'. 
The study then investigated the reasons behind the preparations, revealing the main answer to be 'adverse media coverage about the issue' as 52% claimed that they had been motivated by negative press reporting surrounding pension issues. 23% simply believed that it was 'wise to plan ahead' and 17% said that they had been 'encouraged by their parents' to start looking to the future in the financial sense.  
Matthew Wood of vouchercloud.com, commented on the results: "Over the last few years there's been a lot made of the fact that the generation of today are going to struggle financially once they reach retirement. The golden age of pensions has passed and the majority of people can no longer sign up to lucrative company schemes offering final salary pensions." 
"Media coverage of the issue has been fairly widespread and it certainly seems to be having an effect. The fact that over half of the respondents are fearful about what their future retirement holds should help to try and address the issue. Starting to plan when as young as possible is certainly the way to go if you want to live comfortably in old age," he added. 

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