Pensions: hard times ahead for 'generation rent'?

New pension calculations from Royal London paint a worrying picture for those in the UK unable to get themselves on the property ladder. Based on the assumption that a retiree needs an income roughly two thirds that of their salary to maintain the same standard of living they had while working, the average home owner receiving a full state pension will also need a private pension pot of £260,000 to see them through their golden years in comfortable fashion. Even more daunting though, is the target figure for those still renting.

For the average person that is still renting their home (private tenant) when they turn 65, Royal London forecast that they will need to have built up a pot of £445,000 to maintain their standard of living. For members of the so-called 'generation rent' - mainly millennials stung and set back by the 2008 financial crisis - these figures are sure to make for unpleasant and worrying reading.