Pensions Anxiety For Retirees Following Divorce

Study Finds Divorcees Lose Average Of £2,100 On Expected Retirement Income

16.04.2015

Expert divorce lawyers have urged couples going through a divorce to plan for their retirement to avoid losing money after a survey found divorcees can lose an average of £1,200 in their expected income following a divorce.

According to the study published by Prudential, 35 per cent of those approaching retirement in 2015 have been through a divorce in their lives.

This year the research found that divorcees retiring in 2015 will have an average expected retirement income of £15,700, more than £2,000 less than the £17,800 for those who have never been through a marriage break-up.

It found 13 per cent of divorcees will delay their retirement, compared to 11 per cent of those who have never been divorced, with many fearing their income will not be enough following their retirement.

Sarah Balfour, an expert divorce lawyer at Irwin Mitchell, said: 

Expert Opinion
As the number of over 55s divorcing increases, the treatment of pensions in a divorce is an increasingly important matter.

“For those who have planned and provided for their retirement, the prospect of losing pension can cause a great deal of anxiety, but with careful advice, understanding and mediation it is often possible to find a favourable solution for both parties.

“The sharing of pensions can be a complex issue during a divorce, which makes it absolutely crucial to take appropriate legal action and take every possible step to ensure a favourable solution is found and both parties can move on with their lives without fear for their financial future.
Sarah Balfour, Associate