Pension ignorance 'widespread'

UK workers are worried about not having enough to live on in retirement but are largely ignorant about pensions, according to a survey commissioned by the Department of Work and Pensions (DWP).

When interviewed, most workers said they hoped to retire at 60 or 65, but had no idea how much they would have to save to enjoy a comfortable old age.

The survey found that only 13% of interviewees claimed they had a good knowledge of pensions.

A far larger proportion, 47%, admitted that they knew very little about pensions.

Stakeholder pensions, introduced in 2001 with government backing in order to encourage more people on low and middle incomes to save, are being largely ignored by the public.

Although more members of the public knew what a stakeholder pension was than two years ago, only 3% said they had invested in one.