Home Brand News One million UK savers embrace their freedoms

One million UK savers embrace their freedoms


HMRC have published their latest figures on the flexible withdrawals from pensions.Today’s figures report that the number of savers who have embraced their freedoms now exceeds one million (1.04 million).

A record-breaking sum of £7.83bn was withdrawn in 2018, up from £6.54bn in 2017. It is reported that there have been 5.49 million individual withdrawals since the pension freedoms were introduced in Q2 2015.

Commenting, Alistair McQueen, Head of Savings & Retirement at Aviva said:

“The pension freedoms show no sign of losing their popularity. More than one million savers have embraced their new freedoms since 2015, and a record £7.83bn of taxable payments were withdrawn in 2018.

“There is however no evidence of an uncontrolled “dash-for-cash”, as was feared by some when the freedoms were introduced. The 2018 figure of £7.83bn needs to be seen in the context of a total private pension wealth in the UK of approximately £5,000bn. Withdrawal payments have also consistently averaged less than £4,000 since summer 2017, showing little evidence of savers rushing to buy Lamborghinis!

“These freedoms are attractive to younger savers too, with Aviva research finding that one third (33%) of under-35s believe this flexible access encourages them to put more money towards their pension.” 


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