Two thirds of Generation X not on track for a comfortable retirement

Are you feeling uneasy about your retirement savings?

Written in line with our editorial policy.

New research from the Legal & General group reveals that Generation X—those born between 1965 and 1980—are the least confident about their financial future. 

According to the research, fewer than three in ten (28%) believe they’re on track for a comfortable retirement. That’s significantly lower than younger generations like Gen Z (50%) and Millennials (47%). It even falls behind the Baby Boomer generation (37%).

The findings highlight a growing concern: many Gen Xers are approaching retirement age without the same financial security that previous generations enjoyed.

A changing pension landscape

It seems that one major challenge for Generation X is the decline of final salary pension schemes. While nearly half (45%) of those surveyed said these were available when they first started working, 65% say they no longer have access to such schemes. This shift has left many people needing to rely more heavily on personal savings and defined contribution pensions.

Auto-enrolment has helped boost pension participation for younger workers, but for many Gen Xers, it came too late to make a real impact. Three in ten (30%) said they weren’t automatically enrolled in a workplace pension early enough in their careers, making it harder to build a substantial retirement fund.

Might some Gen Xers never fully retire?

Worries about never being able to retire are widespread according to the OnePoll survey of 2,000 people in December. It found that nearly one in six (17%) of Gen Xers in the UK fear they’ll need to keep working indefinitely. The rising cost of living is a major concern, cited by 66% of respondents, while 59% pointed to uncertainties around the State Pension.

Sarah Lloyd, spokesperson for the Legal & General group commented: “Brits across the board are feeling the pressure, with an alarming number of people worried they might never be able to retire.”

Read more here: “More people delaying retirement amid rising living costs.”

What can you do to boost your retirement income?

If you’re concerned about your retirement finances, there are steps you may choose to take now to improve your outlook:

• Check your State Pension forecast – Knowing how much income you’ll have from the state will help you work out how much extra income you’ll need to achieve the retirement lifestyle you want. Find out how much you’re set to receive by visiting gov.uk.
• Track down lost pensions – Use the government’s Pension Tracing Service to find old workplace pensions you may have forgotten about.
• Increase your workplace pension contributions – If you are still in work and can afford to, adding even a little more each month can make a big difference over time.
  
• Downsizing – Moving to a smaller home or to a less expensive area could free up cash while also reducing your living costs.
• Consider equity release – If you’re a homeowner, releasing equity from your property could help boost your retirement income. Although this is typically more attractive to older homeowners, it is available from age 55. 
• Retirement interest-only mortgages – Similar to equity release, these could provide a way to access extra funds while keeping your home.

Source

Less than three in ten (28%) Gex Xers believe they’re on track for a comfortable retirement: Generation X say they won’t meet their retirement savings goals. Independent. Accessed 10 March 2025.

About Clare Yates. With over a decade’s experience writing about later life financial planning, Clare offers a wealth of knowledge about equity release, pension annuities, wills, LPAs and more. When she isn’t writing, Clare likes to spend her time baking and going on walks with her husband, two children and their rescue dog. Follow Clare on LinkedIn