A younger generation taking pensions seriously

When it comes to pensions, younger adults are often assumed to be less engaged than their older counterparts, but research suggests the opposite may be true.

Far from ignoring retirement planning, many younger savers appear to be taking an active interest in how their pension savings are invested and managed.

The research¹ found that 31% of people aged between 18 and 34 know what their pension is invested in, compared with 21% of those aged 35 to 54. Younger savers are also more likely to express preferences around investment choices. Around 22% say they are interested in investments supporting the domestic economy, even if this meant accepting lower returns, compared with 13% of older respondents.

Engagement extends beyond awareness alone. One in five younger savers report making changes to their pension investment selections, compared with just 12% of those in middle age. These findings suggest many younger adults are approaching retirement planning earlier and with greater curiosity than previous generations.

While increased engagement is encouraging, pensions remain a complex area and there is always more to learn regardless of age or experience. Understanding contribution levels, investment options and retirement objectives can play a significant role in improving long-term outcomes.

One of the greatest advantages younger savers possess is time. Small decisions made early in a career can compound into meaningful differences over the decades that follow. Whether you are just beginning your retirement journey or reviewing plans built up over many years, professional advice can help ensure your pension remains aligned with your wider financial goals.

¹Pensions UK 2026

It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored advice and is for guidance only. Some rules may vary in different parts of the UK.