Just one in three young people saving for retirement

Only one in three people aged between 18 and 29 (30%) are saving anything towards retirement and only 47% aged 30 to 49 are doing so, according to research published today.

People are pinning hopes of fulfilling their dreams on their retirement years, as the current climate makes them financially unreachable today - but without planning ahead, that will not happen, warned retirement and protection specialist LV.

More than half of people (55%) say they have not yet been on their idea of a perfect holiday, and 78% of those still hope to do so later in life or in retirement.

However of today's retirees (aged 60 or more), only 52% have had their dream holiday, with one in five (20%) giving up hope of ever doing so.

As for people who have not yet achieved their dream home, 41% hope to do so in the future.

Ray Chinn, head of pensions at LV , said: "From a young age, we have aspirations for our future lives.

"For most of us, it can take many years of hard work and a disciplined approach to saving to get anywhere near achieving these dreams.

"For many people, our golden years in retirement is when we see ourselves relaxing in a perfect home, and jetting off on dream holidays, but unless we start saving for retirement early, and put enough aside, these dreams will not become a reality."