Almost half of pensions industry professionals believe pensions will become a less important part of benefits in the future

Hayley Kirton
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People walk along the beach on March 27,
It's not all bad - 28 per cent believe pensions will be more significant in the future (Source: Getty)

Today's businesses might be able to use a generous pension package as a key selling point for top talent, but will that ring true in the future?

A survey released today by Aon Hewitt has discovered that 42 per cent of pensions professionals believe pensions will form a less integral part of benefits in the future.

When the doubters were asked why they felt this way, 21 per cent said they believed the future would hold greater awareness and perception in the value of alternative retirement savings.

Meanwhile, 18 per cent said that increased pensions legislation would trigger the shift away, while 17 per cent said a loss in trust or confidence in pensions while cause them to be dropped in future years.

However, it's not all doom and gloom. Around a quarter (26 per cent) believed that pensions would be just as significant in the future as they are now, while 28 per cent had faith that they would be even more significant.

The report also highlighted some quite interesting perceptions surrounding pensions freedoms. Although three in five believed that the pensions freedoms rules, which allow those aged over 55 to access their pension pot without purchasing an annuity, would fundamentally change the decisions members need to make, almost a third (31 per cent) also revealed they had no idea what proportion of their active scheme members would be 55 next year.

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