Higher income earners three times more likely to seek advice

14% of people earning £40,001 to £50,000 expect to hit the pensions lifetime allowance limit, jumping to 63% for those earning £50,001 to £60,000, according to the research by Octopus Investments.

Those earning more than £50,000 are also more likely to consider alternative investments to support their retirement plans, such as Venture Capital Trusts.

The research found that pension reforms have made 1 in 4 people (26%) nearing retirement less confident that their pension will give them a decent retirement income.

Simon Rogerson, CEO of Octopus Investments, said:

“Financial advice is important for everyone, so it’s concerning that there is such a shift in behaviour when people hit an income of over £50,000. While one might expect that high net worth Individuals would plan differently for retirement than those on an average income, this significant jump in confidence, advice and action between those earning up to £50,000 and those earning a few thousand more in the next income bracket is deeply concerning.”