(by Mark Riley)

Tuesday’s report is expected to show retirement savings to be reduced within prior estimations, analysts say.
``Individuals have to realize that if they want to retire at 60 or 65 they’ll probably have to save rather a lot. If they’re willing to retire at 70, the savings rate they require will be very significantly less,’’ Adair Turner, European vice-chairman of Merrill Lynch & Co. and the author the report.

``Pension savings -- on a measure he’s come up with -- has been falling for several years, while all the previous analyses showed it was rising,’’ said Stephen Yeo, a partner at Watson Wyatt LLP. ``We knew there had been a lot of problems and he’s actually going to show there’s been even more than we first thought.’’

Pension plans’ fall is estimated to cause at least 100,000 workers to be left aside of pensions. That will have a negative impact on Prime Minister Tony Blair before elections.

Mr. Yeo also sees a deficit of 580 billion pounds ($1 trillion) to fund future state pensions, which is no small trouble for the government.

``Voluntarism has failed,’’ said Brendan Barber, general secretary of the Trades Union Congress, which groups 70 unions. ``Left to their own devices individuals do not save enough for a decent pension, and most cannot afford to put enough away each month.’’