Alongside your traditional pension, there are other ways you can boost your savings and put away some money for a rainy day.

“Pensions are designed to help people invest for their retirement and, better yet, it’s a tax-efficient way of doing so,” Francis explains. “The government offers tax relief at the basic rate of 20% on contributions made to personal and workplace pensions. So for every £80 you pay in, the government will top it up to £100. If you’re a higher or additional rate taxpayer, you can claim back up to an additional 20% or 25% through your self-assessment tax return.

“However, one potential downside is that you can’t access any money in a pension until you’re 55, which is increasing to 57 in 2028. Current circumstances have left people cautious about the amount they invest in their pension, in case their financial situation changes.”

She continues: “The good news is, you don’t have to rely solely on pensions to fund retirement. ISAs (individual savings accounts) are another good option and you can put up to £20,000 in an ISA in the current tax year. Any returns you make on money invested within an ISA are tax-free, making them another efficient way of saving for the future.

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