Britons born in '60s, '70s have poorer earnings, savings than parents: report
Compared with people in their 30s and 40s a decade ago, today's middle-aged also face pension squeeze and must depend on inheritances
Britons born in the 1960s and 1970s are no better off than their predecessors and are relying on inherited wealth, according to analysis by the Institute for Fiscal Studies.
Compared with those born a decade earlier at the same age, people now in their mid-30s and 40s are no better off in terms of take-home pay and savings, the London-based research group said in a report published on Tuesday.
They are also likely to have less generous pensions and be less likely to own a home.
“The incomes and wealth of those born in the 1960s and 1970s look no higher than the cohorts who came before them,” said Andrew Hood, a research economist at IFS and an author of the report.
They “are likely to have to rely on inheritances to be better off in retirement than their predecessors”.
“But inheritances are unequally distributed, with households that are already relatively wealthy far more likely to benefit,” he added in a press release.