Advertisement
Singapore markets closed
  • Straits Times Index

    3,224.01
    -27.70 (-0.85%)
     
  • Nikkei

    40,369.44
    +201.37 (+0.50%)
     
  • Hang Seng

    16,541.42
    +148.58 (+0.91%)
     
  • FTSE 100

    7,952.62
    +20.64 (+0.26%)
     
  • Bitcoin USD

    70,460.86
    +151.64 (+0.22%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • S&P 500

    5,254.35
    +5.86 (+0.11%)
     
  • Dow

    39,807.37
    +47.29 (+0.12%)
     
  • Nasdaq

    16,379.46
    -20.06 (-0.12%)
     
  • Gold

    2,254.80
    +16.40 (+0.73%)
     
  • Crude Oil

    83.11
    -0.06 (-0.07%)
     
  • 10-Yr Bond

    4.2060
    +0.0100 (+0.24%)
     
  • FTSE Bursa Malaysia

    1,541.00
    +10.40 (+0.68%)
     
  • Jakarta Composite Index

    7,288.81
    -21.28 (-0.29%)
     
  • PSE Index

    6,903.53
    +5.36 (+0.08%)
     

UK pensioners get worse deal than those in Chile and Colombia

British pensioners are worse off than their counterparts in a host of countries
British pensioners are worse off than their counterparts in a host of countries

British pensioners are worse off than their counterparts in Colombia, Chile, Australia, Germany and a host of other countries because of the quality of provision offered to the poorest retirees and the self-employed.

The UK ranks 15th in the world, just behind Colombia and far behind the Netherlands, which took first place, and Denmark, with both offering A-grade retirement income systems with good benefits, according to pension consultancy Mercer. 

However, British pensioners enjoy better benefits than their counterparts in France, Italy, Spain and the US.

The Melbourne Mercer Global Pension Index examines 34 countries and their “preparedness to address issues surrounding their ageing population”.

ADVERTISEMENT

It measures both state and private pension systems against more than 40 indicators, gauging their adequacy, sustainability and integrity. 

“Adequacy” assesses the income and savings of current pensioners, as well as the design of the pensions systems, while “sustainability” looks at whether current levels of pension benefits can be maintained for future generations. 

“Integrity” rates the governance of each country’s pension system. This year the index expanded to include Hong Kong, Peru, Saudi Arabia and Spain.

The UK languished in the middle of the table, with integrity and sustainability measures just above average, offset by failing levels of adequacy.

“The UK scored well on the integrity of its pension system, with a sound approach to regulation and governance, but must take action now to increase provision for low earners and the ­self-employed,” said Brian Henderson, the director of consulting at Mercer.

“Measures are under way to improve the UK’s global standing, but this alone will not be sufficient.”

The UK’s overall score marginally improved to 62.5, up from 61.4 the previous year, primarily as a result of the increase in the level of auto-enrolment contributions.