Question to the Department for Work and Pensions:

To ask His Majesty's Government what estimate they have made of the number of pensioners whose incomes will be below the minimum retirement living standard in 2040.

This Government is committed to delivering greater security in retirement for future retirees. The Pensions Scheme Bill will put in place bigger, better pension schemes that have the scale to deliver better returns, a strong Value for Money framework to ensure schemes are delivering these returns, and new Guided Retirements to support people to turn their savings into an income in retirement.

The Government has also revived the Pensions Commission, which is reviewing our pensions system as a whole and the retirement outcomes it delivers, with a focus on adequacy, fairness and sustainability.

DWP’s latest estimate, in July 2025, found around 13% of current working-age individuals were on track to have an income level in retirement below the Pensions UK Minimum Retirement Living Standard.

For those becoming a pensioner in the 2040s, it is estimated that 15% will fall below the Pensions UK Minimum Standard, the equivalent of around 1 million individuals.

For further detail please see:

Analysis of Future Pension Incomes 2025 - GOV.UK

analysis_of_future_pensions_incomes_data.xlsx – See table 4