Together, building more financially secure futures
07 Apr 2021
It seems barely believable that we’re already more than a quarter of the way through 2021. After what has been a particularly tough winter for many, spring is upon us and it feels like there is an increasing air of optimism across the country as the light at the end of the Covid tunnel draws closer.
While Covid-19 has inflicted widespread personal hardships, with the loss of loved ones and the various struggles of adapting to life in lockdown, it has also undoubtedly damaged the overall financial security of the nation. And this was already a cause for concern before any of us had even heard of Covid-19.
Financial security will mean different things to different people – whether it’s having a savings cushion, paying enough into a pension or having adequate protection insurance in place. We know the oft-cited JAM acronym – just about managing – applies so widely, particularly with the added financial pressures that Covid has brought for many. And numerous research studies highlight that financial worries are one of the top drivers of stress and anxiety in the UK.
Now more than ever, individuals bear the responsibility, and therefore the risk, of managing their finances and saving for an adequate retirement. But evidence shows that many individuals just aren’t engaging with or managing their finances effectively. Almost 10m households have no savings whatsoever1, well over half aren’t saving adequately for retirement2, and 70%3 of people in the UK have no form of financial protection. All this at a time when the advice gap, in terms of availability and affordability, has never been wider - current figures suggest just 8% are seeking financial advice to help them plan for a better future4.
So what can be done to tackle the poor levels of financial security we’re witnessing? We believe that as an industry, we have the ability, and so the responsibility, to help all ages and wages get access to the right education and advice. Whether that’s helping young people get into good savings habits early on or helping people kickstart taking control of saving for their retirement - we need to seek better solutions to these problems.
We believe that as an industry, we have the ability, and so the responsibility, to help all ages and wages get access to the right education and advice.
Our purpose at Hymans Robertson is ‘Together, building better futures’, and a key element of our work is building more secure financial futures for pension scheme members and individual savers. Through The Hymans Robertson Foundation we provide funding and support for projects aimed at improving the lives of young people and communities facing hardship or disadvantage, with a focus on financial education.
We know that big problems require collective effort. Which is why, over the coming few months, we’ll be inviting other key industry leaders and experts to explore the barriers to financial security and how we can collectively overcome them; so look out for the various publications, events and podcasts we have planned.
Find out what else we're up to for our 100th birthday.