Isle of Man Pension Matters – What are Manx attitudes to pension planning?
The Isle of Man Financial Services Authority has published the results of the Pension Matters Consumer Survey which was conducted in July and August 2018. The report gives a snapshot insight into working age views on pensions planning. The survey had an excellent response of 801 Island residents (under 65 years of age who were not retired). Respondents were spread across age groups and different sectors of the economy and the results have been weighted to correspond to the Island’s demographic.
The full survey and info graphic of certain key results are attached to this release.
The report indicates that Manx residents are engaging in thinking about their futures and how they will plan for it. 72% of respondents are members of a private pension scheme. The figures were lower for females and those under 35.
74% of working age residents do not think their current savings plans will provide enough funds for them to retire when they want to and reasons for delaying retirement plans include:-
- Personal financial commitments (63%);
- Cost of supporting children (47%), and
- Contributing to the care costs of elderly parents (48%).
How does the Island compare to the UK?
The survey asked similar questions to a UK survey undertaken by the Chartered Institute for Securities and Investments in 2017 (details of which can be found here UK infographic UK full report) and this means that the results can be compared to the UK study.
Comparing the Isle of Man and UK results gives some interesting insights into differences in perception, knowledge and attitudes. For example:
|
Knowledge of Pensions |
UK |
Isle of Man |
|
Know what a pension is and how it works |
57% |
66% |
|
Know what a pension is but aren’t sure how it works |
40% |
31% |
|
The Isle of Man survey shows a greater base knowledge of pensions than in the UK. However, for both Isle of Man and UK surveys, a significantly lower proportion of women than men understood how a pension works. |
Women 49% Men 63% |
Women 58% Men 73% |
|
Would trust a financial adviser |
UK |
Isle of Man |
||
|
|
|
ALL |
Men |
Women |
|
The Isle of Man survey shows a greater level of trust in Qualified Financial Advisers as a person to discuss pension planning with than the UK. |
46% |
74% |
72% |
78% |
|
For 35 to 44 year olds this level of trust is even more pronounced |
48% |
82% |
- |
- |
|
Standard of living in retirement |
UK |
Isle of Man |
||
|
|
|
ALL |
Men |
Women |
|
Believe that their standard of living will be lower |
45% |
65% |
62% |
69% |
|
Believe their standard of living will be the same |
38% |
27% |
29% |
24% |
|
Believe their standard of living will rise |
8% |
8% |
8% |
8% |
|
Ethical Investing |
UK |
Isle of Man |
||
|
|
|
ALL |
Men |
Women |
|
Concerned if their pension was invested in military armaments or in countries with alleged “dubious” human rights |
69% |
74% |
66% |
83% |
|
Concerned if their pension was invested in the tobacco industry |
56% |
52% |
49% |
55% |
|
Concerned if their pension was invested in the gambling industry |
54% |
42% |
36% |
48% |
|
Concerned if their pension was invested in the alcohol industry |
35% |
34% |
28% |
41% |
Interestingly, Manx women are significantly more concerned about ethical investing than Manx men.
|
Social Investments |
UK |
Isle of Man |
||
|
|
|
ALL |
Men |
Women |
|
Would be interested in investing their pension pot in community projects |
56% |
47% |
42% |
51% |
|
Would be interested in investing their pension pot in environmental projects |
61% |
52% |
49% |
55% |
For more information, please contact: Claire Whitelegg - claire.whitelegg@iomfsa.im
The Pension Matters Survey was conducted by Island Global Research and the report was published on 2 October 2018 as part of the Isle of Man World Investor Week Initiative.
| Document Name | File Type | Size |
|---|---|---|
| IOMFSA Pension Matters Survey Full Report.pdf | 6.2MB | |
| IOMFSA Infographic.pdf | 789.4KB |