Industry experts have stressed the importance of improving pension awareness and understanding, after research suggested that the cost-of-living crisis is starting to hit pension contribution rates.

Research from Hargreaves Lansdown revealed that 14 per cent of savers have stopped pension contributions as a result of rising costs, while 8 per cent have cut back on their contributions.

Younger people were more likely to have taken action than older people, as almost one-third (31 per cent) of the 18-34 group reduced or stopped contributions, compared to 20 per cent of the 35–54-year-olds.

However, Hargreaves Lansdown found that nearly two thirds (62 per cent) have not changed their approach to pension contributions.

In addition to this, research from the Pension Awareness campaign revealed that 62 per cent of people view saving for the future as a priority, which the campaign highlighted as evidence of the importance of straight-talking pension education.

“We’ve been living through some turbulent financial times, and have seen soaring costs in pretty much every aspect of our lives, but even in the face of the cost-of-living crisis, our recent findings show our viewers still find saving for their pension a priority," Pensions Awareness Campaign co-founder, Jonathan Bland, stated.

"We think that serves as a reminder that it’s so important to keep going. To keep delivering Pension Awareness.

"To be a place where we can provide straight answers to tough questions and topics. To help people. To inspire them to take control and make sure that their money is working as hard as it can for them.”

Adding to this, Association of British Insurers (ABI) long-term savings manager, Hetty Hughes, stated: “We’re proud to support the Pension Geeks as they pass the milestone of 10 brilliant years of Pension Awareness.

"By bringing experts to audiences of engaged savers in workplaces across the country, the geeks are playing an important role in lifting people’s confidence with their retirement savings and putting more attention on pensions.”

Pensions and Lifetime Savings Association (PLSA) deputy director of policy, Joe Dabrowski, added: “Pensions Awareness Week is fantastic opportunity to show people that understanding and managing your workplace pension doesn’t need to be difficult or confusing.”

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