Around 1.5 million people in the UK cannot afford to retire at the state's retirement age, according to new research.
Scottish Widows' findings also claim that 42 per cent of over-55s feel that the state pension is not enough to support the retirement they are hoping for.
The same age group also believes people should be forced to set aside some of their money in a pension or savings scheme.
Commenting on the results, Scottish Widows' head of pensions market development, Ian Naismith, said the decline in employer pension provision could lead to younger generations also losing out in the future.
"The next generation may be dominated by 'have-nots', who realise they might have to work until quite a late age but do not feel they can afford to put aside money now," he explained.
"Not only will they have to retire later but they are losing out on the significant tax relief benefits that pensions offer."
Scottish Widows' research was released after a survey by JP Morgan Asset Management found that around a fifth of parents in the UK use their pension savings to send their children to private schools.
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