Many pension savers remain underinformed when planning for retirement, with 52 per cent saying they lack enough information to make decisions and 58 per cent unsure how much they need to save to achieve their desired retirement lifestyle, according to TPT Retirement Solutions (TPT).

The research found that financial advice alone is unlikely to bridge the gap for members aged 50 and over, with just 22 per cent either currently paying for advice or planning to do so.

A further 34 per cent of pension scheme members aged 50 or over remained undecided whether they will pay for advice.

TPT said providers and policymakers have an important role to play in closing the retirement decision-making gap, with the government's proposed guided retirement reforms aimed at helping defined contribution (DC) savers convert their pension pots into a sustainable retirement income.

Despite these gaps, TPT's research found that the proportion of members who said they understood their pension access options increased from 45 per cent in 2024 to 53 per cent in 2026.

Awareness of support services such as Pension Wise and MoneyHelper also increased from 50 per cent in 2024 to 57 per cent in 2026, as did understanding of likely retirement outcomes, with 52 per cent of members saying they understood how much their pension savings would be worth at retirement, up from 47 per cent in 2024.

TPT Retirement Solutions head of DC, Georgie Edwards, said: “It is encouraging that members’ understanding of savings and retirement options is improving, but there is still work to be done.

“Our research reveals gaps in knowledge and support which the industry should target with improved education throughout the savings journey.

“Education must come alongside more effective solutions and tools that help remove the unnecessary burden placed on savers.

“The industry has an obligation to facilitate a smoother, more confident bridge from working life into retirement, helping members make informed decisions and ultimately achieve better pensions outcomes.”

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