More than half of British pre-retirees haven't saved for retirement

British pre-retirees are in even worse shape than their American counterparts when it comes to saving enough for retirement. According to new research from J.P. Morgan Asset Management, British retirees are counting on state benefits and part-time work to fund their retirement, and almost half of pre-retirees admit they currently save nothing for retirement, despite two-thirds expecting to rely on a pension for income.

When asked what their expected sources of income will be, 64 percent said they expect to use a pension for income in retirement, while almost half (47 percent) will use state benefits (up from 29 percent in 2006), and a quarter say they will work part-time. Only one in five (21 percent) expect to use other investments as a source of income in retirement (down from 41 percent in 2006), while others will rely on inheritance or downsizing their home (14 percent apiece) and one in 20 (5 percent) will depend on equity release.