Modernising the welfare state, notably the pensions environment, is a primary aim of the UK government. Policymakers and legislators well appreciate the need to encourage more people to make provision for their own retirement. While this objective represents a major opportunity for the pensions industry, it is highly problematic – especially given that consumer confidence and interest in pensions is at all time low.

This report looks at the reasons why more than half of the UK’s working population is not saving in a pension, and seeks to identify the factors which would encourage them to start saving. It assesses the level of consumer support for personal accounts and the process of auto-enrolment. Drawing on a range of primary and secondary data sources, the report also provides a thorough appraisal of the current state of the UKpensions market, and assesses its short-term prospects for growth.