Prudential Research Finds Many 2011 Retirees Unable to Leave InheritanceBy Prudential, PRNE
Monday, June 6, 2011
LONDON, June 7, 2011 -
According to new research from Prudential, only half of those retiring
this year will be able to afford to leave an inheritance. Just 52% of those
questioned are confident they have enough income and assets to fund their
retirement and still be able to leave money to relatives and dependents.
Prudential's Class of 2011 research questioned people planning to retire
this year and found that 26% have already ruled out being able to leave any
inheritance while another 22% were unsure whether their personal savings
(www.pru.co.uk/investments/guide/tips/) would be sufficient to fund
their retirement. The results also show that 9% of those planning to retire
this year will cancel their inheritance planning (
www.pru.co.uk/investments/) in order to boost their own retirement
Gerry Brown, a tax and trusts expert from Prudential said: "Obviously the
focus for retired people has to be on their own retirement income and so
leaving a financial legacy can become a secondary consideration. Our research
shows that inheritances are increasingly in the 'nice to do' rather than the
'need to do' box because of uncertainty around being able to afford a
"For those who do hope to leave a financial legacy there is a risk of
assets that increase in value being left exposed to tax as the threshold for
inheritance tax (www.pru.co.uk/investments/guide/estate_planning/) is
frozen until 2015.
"It is therefore imperative for people looking to leave an inheritance
and secure a comfortable retirement income to seek professional financial
advice in the run up to retirement and to save as much as possible, as early
Men are more confident of leaving a financial legacy - the research
results show that 56% of male retirees plan to leave an inheritance compared
with 48% of women.
The Class of 2011 research has previously found that this year's average
expected retirement income (
) is GBP16,600 with just 39% confident they have saved enough for a
Across the UK those planning to retire (
Scotland this year are the most positive about their ability to leave an
inheritance - 67% of them believe they will be able to leave a financial
legacy for their families, compared with only 43% of retirees in Wales.
The information contained in Prudential UK's press releases is intended
solely for journalists and should not be used by consumers to make financial
decisions. Full consumer product information can be found at
Notes to editors:
*Survey conducted by Research Plus between 6 and 14 December 2010 using
an online methodology among 10,143 UK non-retired adults aged 45+ including
1,005 planning to retire in 2011.
'Prudential' is a trading name of The Prudential Assurance Company
Limited, which is registered in England and Wales. This name is also used
by other companies within the Prudential Group, which between them provide
a range of financial products including annuities, life assurance, bond
investment, pension funds, a tax calculator and retirement plans.
Prudential offers customers pensions and annuities, pensions retirement
income, insurance and investment opportunities.
For further media enquiries, please contact:
Ben Davies 3 Sheldon Square London W2 6PR +44(0)20-7150-3017 www.pru.co.uk
Tags: June 7, London, Prudential, United Kingdom