More than two thirds (68 per cent) of UK small and medium-sized enterprises (SMEs) believe they lack the expertise or resources to support employees' retirement outcomes, despite 51 per cent saying employers are primarily responsible for doing so, research from People's Pension has shown.

The research, based on a survey of 500 SME decision-makers, found that 70 per cent said businesses faced growing expectations to help employees achieve better retirement outcomes, while 67 per cent pointed to increasing expectations around retirement decision-making and wider financial wellbeing.

People’s Pension said the findings showed employers increasingly see retirement outcomes as part of their responsibility, highlighting the need for support from providers and advisers.

The findings come as the Pension Schemes Act 2026 introduces workplace pension reforms, including the value for money (VFM) framework and requirements for schemes to offer default retirement income options.

Commenting on the research, People's Pension distribution director, Stuart Reid, said: “It’s encouraging that so many employers recognise the role they can play in helping their employees retire well and with confidence.

“But many also feel they’re being asked to do more without necessarily having the expertise or resources to do it, and that’s where providers need to step up – with better products, simpler member journeys, and support that looks beyond just the financial side of retirement.”

He continued: “The numbers are obviously important, and good tools and guidance can make it much easier for people to understand what they can afford. But there’s much more to a good retirement than working out the maths.

“People need to think about what they’re actually going to do with their time, what will give them a sense of purpose, and what responsibilities they might still have to others. Employers can help people start thinking about those questions, but they can’t do it all – providers and other specialists have an important role to play too.”

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