Pensioners Hold 'Surprisingly Large' Assets

Retired couples in Britain hold an average savings and other assets total of around £270,000, analysis from Prudential has revealed.

According to the insurance firm, the total amount held in savings accounts combined with property owned and other assets also averages out at £135,000 for single pensioners - with equity held in property forming the bulk of the total in both cases. However, around 35 per cent of all assets were found by Prudential to be "tied up" in cash savings and stocks and shares investments.

This is equivalent to savings of £95,000 for each retired couple in the UK, and £49,000 for singletons.

The apparently high total assets average was termed "surprising" by Gary Shaughnessy, a managing director at the insurer. "The average pensioner could [also] substantially boost their retirement income simply by using their savings and assets in different ways and exploring other options such as equity release to deliver an income," he added.

In addition, Mr Shaughnessy recommended that pensioners visit an independent financial advisor in order to make the most of their money.

Currently, savers in the UK have the option of investing £3,600 in cash and a further £3,600 in stocks and shares within their annual tax-free ISA allocations. Other savings vehicles geared towards retirement include private pensions plans, which are offered by most insurers.