More than a third of UK adults are not saving into a pension plan, finds Fairinvestment.co.uk.

In a survey of 2,000 adults, Fairinvestment.co.uk has found that 39 per cent do not have a pension plan in place, and 20 per cent of those with a pension have had to reduce their contributions or stop paying into it since the credit crunch began

Nearly half of the 39 per cent surveyed who admitted to not having a pension in place were under the age of 18.

According to the survey, the age group most likely to have a pension plan in place is 46-50, where 29 per cent admitted to not having a pension.

And, as the UK moves through the stages of recession, Fairinvestment.co.uk found that, of those who do have a pension in place, 11 per cent have stopped paying into their pension since the credit crunch began, while a further nine per cent of pension holders have reduced their payments.

A further six per cent of those with a pension have stopped paying into it and transferred their payments into a savings account, which they consider to be safer following the volatility of the stock market in recent weeks.

Nevertheless, almost three-quarters of those with a pension have changed nothing about their retirement funding since the UK economy started on its downward spiral, implying an underlying confidence.

Sharon Bratley, chartered financial planner at Fairinvestment.co.uk, is concerned about the results of the survey: ‘It is a fact that we are living longer, so the sooner people start saving for their retirement, the better placed they will be when they are no longer willing or able to work.

‘Markets may be unpredictable in the current climate, but as long as the investment is long term, there is nothing wrong with investing in a pension that is likely to offer higher returns than savings accounts are at the moment.’