Employees must save an hour’s pay a day for decent retirement

Britons need to save the equivalent of at least one hour’s pay each day towards their pension if they are to have a decent retirement income, research has shown.

Men who start saving when they are aged 25 will spend the equivalent of an hour and three minutes each day earning the money they need, according to asset management firm Insight Investment.

The group said someone on an average salary of £22,000 needs to save at least £10.34 for every day they work if they are to retire on a pension of £16,432 when they are 65.

But if men put off starting their retirement saving until they are 30 they need to work for one hour and 19 minutes each day to save what they need.

The situation is even worse for women, with those who start saving at 25 having to set aside the equivalent of one hour and nine minutes pay each day, the research said.

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