Don't rely on an inheritance

17 August 2012

Britain may be basking in a post-Olympic glow, but the nation's personal financial legacies are in need of a boost, according to a new survey by Nationwide Building Society.

The research shows almost a third of Britons (31%) expect to struggle to leave their families money once they are gone, leaving those behind without an inheritance to help pay their way.

A total of 44% surveyed said they think they will struggle to fund their retirement, while a fifth (20%) said they would find it difficult to leave a mortgage-free home to their loved ones.

Despite knowing they will struggle to leave a financial legacy, more than half of Britons have not yet thought about and planned their financial legacy.

John Wilkinson, head of protection and investments at Nationwide Building Society, said:
"While the Olympic legacy has yet to be determined, there will only be one disastrous outcome for people's finances if they don't start putting things in place now

"The reality with financial planning is not to expect to rely on an inheritance because it may be that your parents cannot afford to leave you one that you would like.

"People don't always get financial planning right, which is why we launched the annuity service earlier this year, which can boost your retirement income by up to 25%."

Notes to editors:

Source : All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 1298 adults. Fieldwork was undertaken between 15th-16th August 2012. The survey was carried out online. The figures have been weighted and are representative of all GB adults (aged 18+).

About Nationwide's Annuity Service

The Nationwide Annuity Service takes the hard work out of choosing the right annuity by outlining customers' financial options in retirement and supporting them throughout the application process. It provides access through The Open Market Annuity Service to a panel of six leading annuity providers, carefully chosen and regularly reviewed by Nationwide on the basis of their financial strength, customer service and competitive rates. They are currently Aviva, Canada Life, Just Retirement, Legal & General, LV=, and Partnership.

About Nationwide Building Society

Nationwide is the world's largest building society as well as the second largest savings provider and a top-three provider of mortgages in the UK. It is also a major provider of current accounts, credit cards, ISAs and personal loans. Nationwide has around 15 million customers.

Customers can manage their finances in branch, on the telephone, internet and post. The Society has around 15,000 employees. Nationwide's head office is in Swindon with administration centres based in Northampton, Bournemouth and Dunfermline. The Society also has a number of call centres across the UK.

Since the credit crunch began in 2007, Nationwide has remained profitable against a very difficult economic environment. In the year ending April 2012 Nationwide made a strong underlying profit of £304 million – up 10% from the previous year.

Please note: If you are a customer looking for information on our products and services, please visit the main website.