Millions of Brits may be able to boost pension savings by £9,470 – check now | Personal Finance | Finance

Millions of Britons may be able to boost their retirement savings by as much as £9,470 on average by tracking down a lost pension.

A study carried out by the Pensions Policy Institute (PPI) shows that savers across the UK are in danger of missing out on large sums of money and are being encouraged to act. As many as 3.3 million pensions are currently considered “lost”. Chris Blackwood, spokesperson for the Pension Attention campaign, said: “If you can do one thing today, use the pension tracing tools to find any lost pension pots. It only takes a few clicks, and you could substantially add to your pot.”

The data found that the value of lost pension pots in the UK has increased by 60%, or nearly £12 billion, since 2018.

The combination of people switching jobs more often and auto-enrolment becoming more commonplace is likely to be responsible for the increasing number of unclaimed pension pots.

These lost pensions are now worth an average of £9,470, rising to £13,620 among the 55- to 75-year-old cohort.

To source lost pensions, people can use tracing services, such as Pension Attention or Gretel, within minutes.

The Government also offers a free online Pension Tracing Service. You’ll need either the name of the employer or the pension provider. The helpline will then be able to provide contact details so you can get in touch.

Helen Morrissey, head of retirement analysis at Hargreaves Lansdown, highlighted the urgency of tracking down a lost pot sooner rather than later, as the money could have a “major impact” on your retirement planning.

She noted that even the smallest pensions can grow over time, and that the pension you paid into a decade or more ago could well have grown a “decent amount.”

For example, a £10,000 pension pot would be worth more than £16,400 after 10 years if it grew at 5% per year.

Ms Morrissey said: “This could play an important role in your retirement income. With 21% of people admitting to having lost track of a pension and a further 18% being unsure if they have, it’s a major issue. The good news is that you can do something about it.”