Divorcees retiring in 2018 can expect £3,800 less than those who have never divorced
The expected annual income for divorcees retiring in 2018 is £17,600 compared to £21,400 for those who have never been divorced, Prudential has found.
Divorce rates are on the rise, with the greatest increase being in those over the age of 55, according to the firm's research.
Charles Russell Speechlys family law partner Richard Collins commented: “We are beginning to see many more people divorcing just prior to or during retirement. Couples now seem to be less wary about divorcing in their retirement years”.
Prudential also found that 23% of people who have been divorced are more likely to retire in debt, compared to 16% of those that have never. Also, 15% of divorcees are expected to have no pension savings at all when they retire, compared to 11% of those who have not experienced a marriage break-up.
Prudential pensions specialist Clare Moffat said: “The stress of getting through a divorce can mean people understandably focus on the immediate priorities like living arrangements and childcare but a pension fund and income in retirement should also be a priority”.
