Described as an economic time bomb, the declining fertility rates have been hitting the headlines again.

TThe definition of ‘declining fertility rates’ means a decrease in the number of births per woman or per 1000 women in a population, indicating a trend towards fewer children being born. 

There are several reasons we are seeing such a dramatic drop, including a sea change in the number of women not to have children. 

 

Net migration is still having a positive impact on the population growth of the UK. However, without growth in the birth rate, those of us drawing on our pensions in the future will feel the definite impact of the lack of younger people contributing into the economy. 

 

A recent article in Pensions Age focused on these changing dynamics, including increasing ill health, and changing intergenerational financial relationships. It also suggested that the relatively low pension contributions by employers, won’t sustain an increasing longevity. 

 

The Get Britain Pension Ready campaign suggests that less than a third of Gen X are saving enough for their retirement. With many of these 45-60-year-olds possibly not being able to retire at state retirement age, forecasting they will need to work into later life. 

 

Don’t leave it too late, start doing something now!