The latest Pension Landscape 2025 report from online pension provider PensionBee reveals stark divides in how much Britons are saving for retirement, with gender, age and region all playing a decisive role.
Based on more than 285,000 customers, the study shows the average UK pension pot has climbed 9% to £21,875, outpacing inflation. While women’s pots grew faster than men’s, up nearly 11% compared with 9%, the overall gender gap remains significant at 37%. Men now hold an average of £25,652, compared with £16,169 for women.
Age plays the biggest role in pension size. Savers under 30 typically hold just £3,745, despite a narrowing gender gap of 13%. The 30-39 group has built an average of £10,660, while those in their 40s hold £23,312. The largest pots sit with the over-50s, who average £42,578, but among this group the gender divide is the widest, with men’s pots almost double women’s.
Geography adds another layer of inequality. London (£25,838) and the South East (£27,727) continue to lead the way, while savers in Northern Ireland average just £15,118, 70% less than their London counterparts. The North West also lags, with an average pot of £17,082. PensionBee notes that these gaps reflect wider economic disparities across the UK.
The gender pension gap also varies sharply by region. London’s 29% gap is narrower than the national average, but Wales and Northern Ireland have the widest divides at 43%. In the South East, the gap stands at 38%, meaning men hold average pots of £32,787 compared to £20,415 for women.
Looking ahead, projections show mixed fortunes. Those in their 30s and 40s are on track for larger retirement savings, with expected pots of £178,439 and £130,140 respectively. However, under-30s face a concerning trend: projected pots have fallen by nearly £14,000 to £181,165, largely due to shrinking incomes.
Lisa Picardo, Chief Business Officer UK at PensionBee, warned:
“It’s encouraging to see both pot growth and a slight narrowing of the gender gap. But progress remains frustratingly slow and the regional disparities are stark. Even more concerning is that under-30s are seeing their projected retirement pots shrink due to falling incomes. This is a worrying warning sign for future generations who may end up heavily reliant on the State Pension.”
PensionBee has called for reforms such as lowering the auto-enrolment age threshold, arguing that earlier contributions could be key to reducing tomorrow’s retirement inequality.
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