One in three rely on inheritance for future stability
A third of working Brits – 35%, are relying on their inheritance to secure their financial future according to research carried out by insurer LV=. It was revealed that the most common thing UK residents would do with an inheritance is to pay off their mortgage and clear other outstanding debts.
16% of those polled said that they would use inherited funds to boost their retirement savings. Sadly, this optimistic stance made by many may be an empty hope with the number of people leaving significant amounts to the younger generation falling to much less or nothing at all.
28% of retirees do not expect to leave much for their children.
A quarter of retirees say that they do not expect to be leaving much to their children, with a fifth saying that they intend to spend their money enjoying their retirement rather than leaving it behind. 4% of those questioned said that they would be leaving their cash to charity.
One in five will struggle to retire comfortably.
Without the safety net of inheritance, many working people admit that they would be unprepared for retirement and their later non-working years resulting in a quarter having to work for longer than they planned should they not receive a family windfall.
Managing Director of LV= Retirement Solutions – John Perks said: “People now spend almost as long in retirement as they do in the workplace, so it is worrying to see that many people say that they are reliant on something essentially out of their control to provide them with a comfortable retirement.”