A large minority of savers believe that their pension fund will fall in value as a result of Brexit despite a 30 percent rise in the worth of an average pot since the UK voted to leave the EU in 2016.

Analysis by Aegon has shown that the average pension pot — worth £50,000 and with its dividends reinvested — would have risen to £65,500 if invested in the FTSE 100 for the last two years.

However, the insurer has also found that 42 per cent of savers think that Brexit will have a negative impact on the value of their pension savings. Those aged 18-34 are the most negative about the impact of Brexit on the value of their pensions funds, with just under half (49 per cent) saying that they think their pension funds will fall in value.

In contrast, only 5 per cent of people believe their pension savings will grow in value as a result of Brexit.

Aegon pensions director Steven Cameron said, that the high proportion of individuals drawing a link between Brexit and how their pension fund investments may perform was not surprising given the ongoing uncertainty over Brexit negotiations.

“Many anticipate a negative impact,” he said. “However, the reality is that someone who invested in the FTSE 100 just after the referendum in 2016 would have seen substantial growth in their fund.

"Pensions are particularly long term investments and those in their 20s, 30s and 40s won’t be turning their pension pot into a retirement income until many years after Brexit is done and dusted. This means most people shouldn’t be overly concerned if there are short to medium term movements in fund values.”

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