UK population ignorant on tax and savings

An expert has called for more awareness on tax and savings, saying that almost half of the UK working population was ignorant on the issue.

According to research conducted by B&CE Benefit Schemes, 45% of workers in the UK are unaware that the government provides tax incentives for pension saving.

Deputy chief executive John Jory termed the findings - which also showed 28% use general deposit savings while 18% of full time workers do not contribute to a pension - worrying.

He said: "There is a lack of awareness about the benefits of pension saving, which may mean that people are making ill-informed decisions."

"As an industry, we need to do more to educate workers on the benefits of pension saving and look at more innovative ways of enabling workers to retain control of their investment."

He called for more accessibility to pension education for workers at all levels.

A similar study from National Savings and Investments (NS&I) also said British savers are largely ignorant about the effects of inflation and tax and how these things affect them.