‘Precarious’ | Are employers doing enough to tackle the threat of pension poverty?

Nearly one-third of UK adults are currently at risk of facing poverty in retirement, the Scottish Widows’ Retirement Report for 2026 has revealed.

It found that some 12.2 million individuals, 31% of the population, could lack the finances needed to meet minimum lifestyle retirements once they exit the workforce.

Although the number has decreased from the pension provider’s 2025 report, when the figure stood at 15.3 million adults (39% of the population), Scottish Widows described the state of the UK’s retirement savings as “precarious.”

Accordingly, the study has prompted warnings from experts that employers may not be doing enough to encourage and support employees to take advantage of workplace pension schemes.