Worrying trend

According to a Motley Fool survey a third of UK residents plan to use their homes to fund a pension, whether through a sale or equity release.

I find that distinctly worrying, for a number of reasons.

- It shows an obvious mistrust by consumers of the stock market and of pension schemes. That's something that needs addressing if the savings ratio is ever going to improve - and it's at very low levels right now (which I bet will decrease as interest rate hikes bite into disposable income).

- These people seem to be assuming that the housing market will continue to see price inflation at the same levels experienced in the past four or five years. Never a safe assumption.

- It suggests that one third of UK housing stock is now seen as investment property - and at some point will effectively be up for sale to fund a pension.

- And it also suggests that other than their houses, these respondents to the survey don't have any significant savings to support themselves.