A stark warning has been delivered to state pensioners who depend on Department for Work and Pensions (DWP) state pension payments.

More than seven out of 10 UK savers are convinced the Labour Party government isn’t doing nearly enough to assist people preparing for their golden years following the Autumn Budget.

Research by Penfold, involving 340 participants, uncovered a dramatic plunge in saver confidence immediately after the Chancellor’s fiscal announcements.

The digital workplace pension provider found that 72% of savers believe the government is abandoning those planning for retirement.

Meanwhile, 58.5% admitted feeling less secure about their financial prospects following the Budget, reports Birmingham Live.

The results highlight mounting worry fuelled by confusion over future retirement regulations.

Savers expressed particular alarm about rising state pension ages, changing rules and genuine fears that the state pension might not survive in its present structure by the time they reach retirement.

The Budget’s proposal to limit National Insurance (NI) relief on salary sacrifice from 2029, coupled with establishing a fresh state pension commission, has further stoked uncertainty.

Over a third of those surveyed (36.3%) admitted they now feel uncertain whether to boost or cut their pension contributions, indicating a concerning reluctance that Penfold branded as “disruptive” to long-term financial planning.

Penfold CEO and co-founder, Chris Eastwood, expressed concern, stating: “When more than a third of savers can’t decide whether to increase or reduce their pension contributions, it’s a clear signal that confidence has been disrupted. Pension saving relies on stability and long-term decision making, and right now many people feel unable to move forward.”

Eastwood criticised the impending cap on salary sacrifice NI relief as “a backward step for boosting pension saving” and suggested that the consideration of a new commission for the state pension indicates the current system is “under pressure” and likely to change. “For today’s savers, it reinforces a simple truth: relying on the state pension alone won’t deliver the retirement most people hope for,” he cautioned.

“Sudden changes make it harder for people to plan and harder for the public to trust the system,” he commented. Eastwood further warned: “If contributions drop or planning is delayed, millions of savers could face a retirement far less secure than they expect.

“This Budget highlights why private pension planning has never been more important, and why uncertainty must be addressed immediately.”