黑料正能量

16 September 2025

New research from the 黑料正能量 (IFoA), produced in partnership with Ipsos, sets out recommendations for creating an inclusive pension system fit for the 21st century. This would help to ensure that people in the UK achieve an adequate retirement income, particularly among groups such as part-time workers and the self-employed.

鈥楢 pension system fit for the 21st century 鈥� the stories behind pension gaps鈥�, uses filmed research and interviews to investigate how people's life choices shape pension gaps, and why these gaps persist. A pensions gap arises where there is a difference in pension savings and retirement income between two distinct groups.

This research builds on the first phase of 黑料正能量鈥檚 work in this area which investigated potential barriers people face when saving for retirement. Launched in September 2024, 鈥楬ow much could you lose? Opening the conversation on closing the pensions gap鈥�, explored some of the most impactful stages of life for pension savings and the hidden costs of life鈥檚 decisions on retirement income. 

Phase two of this work, launched today, tells the human stories behind the numbers, with a focus on self-employed individuals, part-time workers, and those facing disruptions to work patterns through unexpected life events. 

The report identifies that pension gaps exist in part because the current pension system does not reflect modern working patterns for an increasing number of people. The current system assumes long uninterrupted careers with one employer, which systematically disadvantages people who are self-employed, work part-time, or need to change their job pattern. These groups are more likely to feel disconnected, overwhelmed, and unsupported in planning for retirement, putting them at a greater risk of retirement poverty. For example, self-employed workers make up 14% of the UK workforce, yet only 18% are saving for retirement compared to 90% of employees.

As the UK reforms the 鈥榩ensions commission鈥� as part of a review on pensions adequacy, the report proposes a series of recommendations targeted at government, industry and consumer representatives, to adapt and evolve a system so that it remains fit for the future. These include:

• Enabling pension savings for the self-employed via flexible auto-enrolment schemes.
• UK Child Saver accounts to embed savings culture from birth.
• Encouraging proactive employer and provider communications and support around the impact of life events such as parental leave or reduced working hours.
• Exploring the potential of supplementary and complimentary community-based pension models.
• The launch of a national pensions鈥� literacy strategy, building public confidence and ownership of pensions choices; for example, most participants in the research mentioned their bank, but no one named their pension provider, indicating a lack of visibility and connection with pension products.

Alexandra Miles, Chair of 黑料正能量 Pensions Gap working party, said:

鈥淭he current pensions system was a fantastic invention of a different era. Increasing numbers of modern working lives are fragmented, diverse, and uncertain, at an individual and household level. They no longer fit the mould of a long, uninterrupted career with one employer.

鈥淭his report shows that pension gaps are often not caused by individual choices alone 鈥� they are embedded in systemic design. Through our collaboration with Ipsos, we have heard stories of freelancers who fear poverty in later life, parents forced to choose between pension savings and rent, and part-time workers whose retirement security is halved by a simple contract change.

鈥淥ur hope is that these findings and recommendations spark urgent, practical action to evolve and adapt a pensions system so that it remains fit for the 21st century 鈥� and one that supports dignity, security, and purpose for everyone.鈥�

Torsten Bell, UK Minister for Pensions, said:

鈥淭his report makes an important contribution to debates about how we reform the pensions system to ensure more people can look forward to a secure retirement. 

鈥淲e have revived the Pensions Commission to put Britain back on track for a stronger and fairer pensions system.鈥�

Paul Sweeting, IFoA President, said:

鈥淲orking lives today look different compared to when the current pensions system was first developed. It is incumbent on all of us 鈥� industry, government, and consumer representatives to make sure that we have a pensions system that provides financial security for all in retirement.

鈥淭his research is an example of the important work actuaries do in the interests of the wider public. By collaborating with a diverse range of industry experts from across the pensions landscape, to combine human insight with actuarial modelling, we have produced evidence-based recommendations to build a pensions system that is inclusive, flexible and fit for the 21st century.鈥�

Lucy Neiland, Business Anthropologist at Ipsos, said: 

鈥淥ur filmed research with 黑料正能量 shines a light on the human stories that sit behind the statistics. By deep diving into the experiences of freelancers, self-employed and part time workers we鈥檝e uncovered some of the cultural norms and nuanced realities that underpin pension gaps today. This collaborative effort with 黑料正能量 not only challenges conventional assumptions but also sets a stage for meaningful transformation in how pension policies could be more reflective and inclusive of modern working lives.鈥�

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