UK adults are failing to safeguard their future with effective long-term financial planning, says Zurich.

Research from the life insurer suggests that 75 per cent of Britons are unaware that they are eligible for tax relief on pension contributions.

While the younger generation are unaware of the tax benefits of saving for a pension, with nine out of ten unaware of the tax advantages, it seems the older generation are also missing out.

Worryingly, the research shows that over 80 per cent of people aged 25 to 34 years are unaware of the tax relief on pensions. Furthermore, of those aged between 35 and 44 years, 77 per cent are unaware of the benefits available.

Tony Solomon, business development director at Zurich, says, ‘Our results indicate that there is still a lot of work to be done in getting across the message about making the most of the tax advantages from saving within a pension.

The UK, as a whole, is “undersaving” for retirement and this needs to be addressed. Providers, the government and advisers must work together to help people understand the importance of saving for a decent income in retirement. Increased confidence will, in part, come with increased understanding.’