There is a ‘generational gap’ in financial policy preferences, with older individuals focusing on state pension and personal allowance increase and younger people prioritising housing market access, according to Aegon UK.
Opinium’s consumer research for Aegon UK, conducted following the general election, highlights important policy priorities including state pensions, retirement income, social care, and property access.
Around 30 per cent of respondents want long-term clarity on the state pension and the triple lock. This was a major concern for 45 per cent of those over 60, 26 per cent of those in their fifties, and 21 per cent of those under 50.
Additionally, 24 per cent prioritised increasing the personal allowance for state pensioners, in line with the Conservatives’ ‘triple lock plus’ policy. This was a major concern for 45 per cent of those over 60, compared to 17 per cent of those in their fifties and 12 per cent of those under fifty.
Among those under 50, 29 per cent prioritised ‘new initiatives to help me / younger generations get on the property ladder. In comparison, only 14 per cent of those over 60 and 20 per cent of those in their fifties agreed on this goal.
Aegon pensions director Steven Cameron says: “This fresh research shows that the new Labour Government face a tricky balancing act in meeting financial priority expectations of different generations of people across the UK.
“It’s clear the over-60s have very different priorities for the new government compared to the under-50s’ wish list.
“The 60+ cohort prioritised long-term clarity around the state pension and the personal allowance for state pensioners to be raised to avoid those with no income other than the new state pension ending up with a tax bill. While the incoming government has announced a Pension Schemes Bill and a pensions review, neither focuses on the state pension.
“The under-50s top priority (29 per cent) was helping them or younger generations get on the property ladder, something Labour has highlighted as an important focus in their first days in government.
“Interestingly for the under-50s and those in the first decade (between 50-59) of their Second 50, ‘pension dashboards’ to find and view all pensions securely, in one place, was a policy priority.
“The industry has been working with government and regulators on this, and we hope the new government will endorse the current timeline, which would see dashboards become available to the public in 2026.
“Another priority concerns social care and what individuals may need to pay for this, which was an option that more than 20 per cent of all three age cohorts prioritised but is something the Labour Government has said little on so far.
“The new government has clearly stated their ambition to bring about real change. When it comes to individuals’ longer-term financial planning, it will be important to ‘mind the generation gap’ and examine policy choices through the lens of intergenerational fairness.
“Generation by generation, on average we’re living longer, so balancing short-term needs with longer-term savings has never been more important.”