Thursday 13th April 2006
Income from private pensions has risen three times faster than state benefits, according to a new report.
Figures from Clerical Medical show that private pension payouts rose in real terms by 121 per cent between 1979 and 2004 compared with state pension income which increased by 41 per cent in the same period.
Over the quarter century time span the average pensioner income improved from £47 to £306 a week and half the average pensioners income now comes from a private fund, up from 38 per cent in 1979.
John Hiew, managing director of Clerical Medical Financial Services, commented: "There has been a significant shift in the balance between pension income sourced from the state and private pensions over the last 25 years.
"Almost 70 per cent of retired households now rely on their private pension arrangements to supplement the cost of living in retirement, compared with 40 per cent in 1979."
However, single female pensioners are still losing out; receiving on average £46 less a week than single males drawing their pension. 
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