Men are far more confident about their retirement plans than women according to research by Canada Life.
Its research found that almost two thirds (64 per cent) of men who had received financial advice were confident they would be able to retire at their planned retirement age. This compares to just one in two women (53 per cent).
When asked about financial worries, 45 per cent of women said they didn’t feel they would have any financial worries in retirement, in comparison to 58 per cent of men. Men are also more likely to think they will completely stop working when they retire when compared to women.
Fewer women (50 per cent) than men (60 per cent) feel likely that they will be able to support family members financially if needed, once they had themselves retired. Women also felt less confident being able to leave a financial legacy, with 46 per cent of women thinking they will be able to leave the desired amount to loved ones, compared to 54 per cent of men.
Sean Christian, MD and executive director of the wealth management division of Canada Life says: “A retirement gender divide is clearly revealed in this research, with men showing a greater confidence in almost every aspect of their retirement plans.
“This has no doubt been exacerbated by the gender pensions gap, currently estimated to be twice the size of the gender pay gap. This gap in earnings and savings often appears when women take time away from work to bring up a family or decide to return to work part-time.
“This inequality can only be addressed through decisive policy action to address the pension gender divide. Relatively simple changes to the way auto enrolment works today would benefit both men and women but would go a long way towards levelling the playing field. Changes such as removing the lower contributions limit would let more people benefit from every pound earned, while removing the £10,000 threshold would make auto enrolment more inclusive and begin to level up pensions for all.”
