Pension asset growth over the last decade has been stronger in the UK than anywhere else in the world, according to a study from consultants Towers Watson.
Analysis from the firm, which covered the world’s 13 largest pension markets, shows total UK pension savings rose 64 per cent to reach 131 per cent of GDP.
That is followed by the Netherlands, which increased 56 per cent to 170 per cent and the US, up by 27 per cent to 113 per cent of GDP.
In the year to 2013, the UK saw a 13 per cent rise in pension assets, overtaking Japan as the second largest pensions market globally. Towers Watson says the UK now represents 10 per cent of the global retirement savings market.
The US still holds more than half (59 per cent) of total pension savings globally.
Towers’ global head of investment Carl Hess says: “During 2013 equities enjoyed their best calendar year of risk-adjusted return since the financial crisis and as a result pension funds in most markets are in the best shape they have been for many years.
“The global economic recovery continued to gain momentum throughout 2013, thanks to the absence of major negative events and a stream of positive economic news and after such a long period of financial retrenchment and uncertainty, this is all genuinely encouraging.”