Seven in 10 (70 per cent) people admit to feeling worried or anxious about what the government may announce in the autumn Budget, research from Skipton Building Society has revealed.
The research, which surveyed 2,000 UK adults, found 49 per cent of people speculate the budget will have a negative impact on their personal finances, compared to less than one in five (17 per cent) who are feeling more optimistic.
When it comes to the nation’s biggest financial fears ahead of next week’s Budget, 36 per cent are worried about a rise in the state pension age.
This is a worry that is particularly prevalent among women, with 43 per cent of women concerned about this compared to 29 per cent of men..
Almost a third of respondents (30 per cent) said their biggest financial concern would be if the state pension became means tested, and 28 per cent fear a removal of the triple lock on the state pension the most.
Skipton Building Society head of financial advice distribution, Helen McGinty, said: “With costs rising and savings getting stretched, those with one eye on their retirement are concerned as budget speculation around pensions and retirement continues to grow.
“The gender pensions gap in the UK remains a significant issue, so it’s no surprise this research has highlighted the biggest financial worries for many are related to retirement planning and pensions.
“Particularly for the women out there who could be looking towards a pension shortfall which sees them working for much longer than hoped.
“When Skipton investigated the Gender Pension Gap, we found the average man has a pot of £63,222 ready for their retirement.
“Staggeringly, that’s 46 per cent more than women, who on average have £43,117 to see them through their life after work.”
Meanwhile, Aegon pensions director, Steven Cameron, has called on people to remain calm before next week's Budget.
He said: “As the first Budget under the new Labour government fast approaches, the speculation over changes to how pensions are treated for tax purposes has reached boiling point.
"Most worryingly, the fear that some tax perks might be withdrawn immediately following the Budget is causing some individuals to rush into decisions that may be damaging to their long-term retirement plans."
Cameron advised that now is a time for "cool heads" rather than "heat of the moment decisions" that could have a negative impact for decades to come.
"The government is about to launch the second phase of its Pensions Review which provides an ideal opportunity to re-examine the true purpose of pensions and then to ensure tax rules and reliefs support this," he added.
“While no Chancellor will ever reveal exactly what will emerge from the red Budget box, it would be extremely helpful if all governments committed to some prudent principles when setting pensions tax policy.
"Cross-party support here would go a long way to help people plan ahead with confidence, across decades and changing parties in government, for a comfortable retirement.”
