Workers in Northern Ireland are saving less money for retirement that any other region of the UK, according to a new study published today.

Even though their retirement income expectations are lower than any other region of the country – at £21,443 (€27,050) – on current behaviour, their pension pot will last them just 3½ years in retirement.

The average for the UK as a whole, according to financial and technology services group True Potential, is for a fully funded retirement of five years on current income expectations, with the southeast of England faring best, at 5.9 years.

The year-long project following the savings habits of 8,000 people across the UK, shows that Northern Irish savers put aside just £1,653 towards their pensions last year. Over a working lifetime of 45 years, that would deliver a pension pot of £74,403.

That compares with the £428,860 necessary to fund an annual income of £21,443 over the average 20-year life expectancy for pensioners, meaning workers will either have to dramatically increase savings or accept a much lower income in retirement.