Higher earners feel most positive about Lifetime ISA

Almost half (46%) of those with household earnings of more than £35,000 say that the Lifetime ISA will make it easier for under-40s to save for the lifestyle they want in retirement.

Meanwhile, those with a household income of less than £20,000 are most likely to believe that the new product will make no difference (45% of respondents).

Among those under 40, middle and high earners are also the most likely to take advantage of the new savings programme. Half (49%) of under-40s earning over £35,000 said they were likely to consider opening a Lifetime ISA, compared to 35% of those with a household income of less than £35,000.

Jacqui Bateson, Retirement Specialist at Skipton Building Society, said:

“There have been numerous significant changes to the pensions system in recent years with the introduction of new products, programmes and freedoms. It’s important to stop and listen to the impact that these changes are having on the way people view retirement.

“Whether you feel optimistic or pessimistic, confused or clear, can have a significant effect on how you approach your retirement savings and the financial decisions you make.”