Almost half (47 per cent) of carers between the ages of 60 and 65 have no private pension savings, analysis by Phoenix Insights has revealed.

It also found that carers aged 60 to 65 with private pension savings had 17 per cent less than the UK average—a shortfall of nearly £37,000.

With half of the population becoming a carer by the time they reach the age of 50, many are at risk of becoming "financially vulnerable" in later life, according to the analysis.

Phoenix Insights head of research analysis and policy, Patrick Thomson, argued that "large numbers" of economically inactive people who were not in work for caring, health, or other reasons were hampering their ability to save for retirement.

"As our population ages, a rapidly growing number are, often unexpectedly and earlier than they anticipated, caring for loved ones across multiple generations. This can put them at particular risk of falling out of paid work and becoming financially vulnerable in later life," he added.

Indeed, nearly nine million savers in the UK remain "significantly underpensioned" compared to the broader population, with research from Now Pensions revealing that private pension incomes for under-pensioned groups were around 43 per cent to 80 per cent of the population average.

"People shouldn't have to choose between caring for a loved one or going to work, but many have to do so, with an estimated 2.6 million people leaving the workplace to care for a relative or loved one, which is hurting their ability to save for their private pension," Phoenix Group chief people officer, Sara Thompson, argued.

"It's important for businesses to retain valuable employees and do what they can to support colleagues with caring responsibilities to stay in work for as long as they need or want to, through offering flexible working arrangements and providing paid carers leave," she
continued.

"This allows workers to care for a loved one but not at the expense of their own financial futures."

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