Minister warns over pension savings

The UK pensions minister has warned that young people must start saving for retirement to avoid facing a "meagre" future.

The comments from Liberal Democrat politician Steve Webb follow a report which shows that 14 million people are failing to put money aside for their future.

The figures were outlined in a report from the Workplace Retirement Income Commission.

Mr Webb said: "We need to get people saving younger. If they don't plan now it will be a pretty meagre existence."

From next year, employees will be automatically enrolled into company pension schemes, unless they choose not to join or are on low levels of pay.

According to commission chairman Lord McFall, those relying too heavily on the state pension could end up in poverty.

Copyright Press Association 2011