Savers under the age of 40 have the same number of pensions pots on average as those over the age of 40, according to PensionBee research of its customers.

Young savers have an average of two pension pots but are still behind on the amount saved, with older pension holders having three times as much saved as their younger counterparts on average.

PensionBee reported that their customers over the age of 40 have, on average, £37,100 saved for retirement, whilst those customers under the age of 40 had saved £11,200, despite both cohorts having two pension pots.

The provider said that whilst this inequality in pension wealth was “to be expected”, it noted that the identical number of pots held by these age groups highlighted the growing trend for younger workers to move more quickly between jobs than previous generations.

PensionBee chief engagement officer, Clare Reilly, commented: “Our latest analysis reveals that younger savers are, as predicted, on track to accumulate a greater number of pension pots than older workers over their lifetime.”

The Department for Work and Pensions estimated that today’s average workers will have 11 different jobs in their lifetime and, as a result of greater mobility in the workforce alongside the introduction of auto-enrolment in 2012, it’s expected that younger workers will exceed the number of pension pots held by their predecessors.

“While it’s evident that a significant number of saver, across all ages, are taking advantage of the benefits of consolidation, there’s still more work to be done to improve consumers’ understanding,” Reilly added.

“Demystifying the pension consolidation process is essential to ensuring all savers are well-prepared for their future retirement.

“This is most important for our youngest workers who will have more pots than ever to manage and keep track of.”

PensionBee also highlighted the confusion that has arisen from the consolidation of multiple pension pots with many savers voicing a preference for bring their pots together.

PensionBee reported that 66 per cent of savers did not know how much they had saved in total across all their pension pots, whilst the same proportion responded that they would like to bring all their pensions together into one pot, but the complicated nature was off-putting.

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