The popularity of additional retirement funding schemes could be set to rise, one industry body has suggested.
According to the Pensions Policy Institute (PPI), many pensioners will need to have additional sources of income as pensions alone will not provide enough money to fund the "desired standard of living".
The comment could see an increase in the number of people looking to realise the potential of the value of their home through an equity release scheme.
Chris Curry, PPI research director, said: "Many median earners who contribute to DC [defined contribution] pensions at average levels of 10 per cent of salary are unlikely to have sufficient state and private pension income to achieve a desired standard of living in retirement."
Mr Curry claimed that workers would need to increase their contributions to around 15 per cent of their salary to a private pension in order to have adequate funding by 2030.
"Many people will need to contribute more to their pension during working life, work longer, or run down savings, investments or housing wealth to achieve a standard of living in retirement they might consider acceptable," he added.
