Employer contributions have a significant impact on encouraging pension savings. Policy-makers seeking ways to increase contribution rates and take-up should focus on this lever

With an ageing population, the question of how we will pay for our retirement is a pressing one. Using new survey data, James Lloyd of the Strategic Society Centre finds that just over half of the workforce is saving a pension, and that employer contributions are by far the largest influence on pension savings. Policy makers should focus on this ‘policy lever’ if they wish to increase the amount that we save.