1 00:00:00,040 --> 00:00:03,320 Speaker 1: You're report into our retirement readiness. There's a concern out 2 00:00:03,320 --> 00:00:05,519 Speaker 1: of the growing gap between the self employed and the employee. 3 00:00:05,600 --> 00:00:07,560 Speaker 1: So what we got is forty four percent of the 4 00:00:07,560 --> 00:00:09,560 Speaker 1: self employed contribute to Key. We say, but not many, 5 00:00:10,119 --> 00:00:12,200 Speaker 1: especially when you compare it to the seventy eight percent 6 00:00:12,240 --> 00:00:15,200 Speaker 1: of employees. Jane Wrightson is, of course the Retirement Commissioner 7 00:00:15,200 --> 00:00:16,560 Speaker 1: anders with us, Jane morning to. 8 00:00:16,520 --> 00:00:18,239 Speaker 2: You, good morning man. 9 00:00:18,480 --> 00:00:20,080 Speaker 1: That do we have good data on this? Is that 10 00:00:20,120 --> 00:00:21,440 Speaker 1: gap widening? What do we know? 11 00:00:22,600 --> 00:00:24,279 Speaker 2: This is the first time we've managed to pull it 12 00:00:24,280 --> 00:00:27,320 Speaker 2: all together because it takes it hasn't been any data before. 13 00:00:27,320 --> 00:00:31,600 Speaker 2: So we've pulled together some information from the Henry people, 14 00:00:31,640 --> 00:00:35,160 Speaker 2: who have a really large database of course for sole 15 00:00:35,280 --> 00:00:40,560 Speaker 2: traders and single earner people, plus some stuff from stats 16 00:00:40,560 --> 00:00:42,159 Speaker 2: and the rest of it. It's taken quite a while, 17 00:00:42,400 --> 00:00:44,640 Speaker 2: but it's given us a really interesting picture which we 18 00:00:44,680 --> 00:00:47,720 Speaker 2: didn't have before. And as you say, four hundred and 19 00:00:47,720 --> 00:00:50,240 Speaker 2: twenty thousand at minimum, because I think there'll be more now. 20 00:00:51,040 --> 00:00:54,200 Speaker 2: Our people identify as self employed and their retirement planning 21 00:00:54,280 --> 00:00:54,880 Speaker 2: isn't great. 22 00:00:55,160 --> 00:00:57,360 Speaker 1: Well, when you say that just because they're not in Key, 23 00:00:57,400 --> 00:00:59,240 Speaker 1: we say, it doesn't mean it isn't great, they'll have 24 00:00:59,280 --> 00:00:59,720 Speaker 1: an asset. 25 00:00:59,720 --> 00:01:00,160 Speaker 2: That are you. 26 00:01:00,240 --> 00:01:01,800 Speaker 1: We've got an asset. I've got a business, I've got 27 00:01:01,800 --> 00:01:03,120 Speaker 1: good will, I'll sell it. I'm rich. 28 00:01:04,400 --> 00:01:07,520 Speaker 2: Yeah, it's a really good point. And some people, indeed, 29 00:01:07,520 --> 00:01:09,959 Speaker 2: I'm sure we'll be saying exactly that they're investing in 30 00:01:09,959 --> 00:01:12,600 Speaker 2: their business and they're investing in themselves. But what we 31 00:01:12,720 --> 00:01:15,400 Speaker 2: know is that nearly half of the respondents in this 32 00:01:15,560 --> 00:01:18,320 Speaker 2: survey are saying that the reason is the lack of 33 00:01:18,400 --> 00:01:22,480 Speaker 2: spare income and nineteen percent of saving nothing at all. 34 00:01:22,560 --> 00:01:24,560 Speaker 2: So it's still a reasonable chunk. Do you reckon? 35 00:01:24,600 --> 00:01:27,160 Speaker 1: That's real? Because I go back to the Singapore story 36 00:01:27,200 --> 00:01:29,240 Speaker 1: and though were a third world country when League one 37 00:01:29,319 --> 00:01:30,920 Speaker 1: you came along and said you've got a twenty eight 38 00:01:30,920 --> 00:01:32,600 Speaker 1: percent or whatever it was, And when what are you 39 00:01:32,600 --> 00:01:34,679 Speaker 1: talking about? We've got no money. You've got no money. 40 00:01:34,680 --> 00:01:36,480 Speaker 1: If you think you've got no money, isn't that really 41 00:01:36,520 --> 00:01:37,760 Speaker 1: the problem? 42 00:01:38,440 --> 00:01:41,080 Speaker 2: Possibly it's I mean it's pretty tight out there as 43 00:01:41,120 --> 00:01:44,280 Speaker 2: you know. So again I think the self employed and 44 00:01:44,280 --> 00:01:46,520 Speaker 2: sole traders have always got this trade off. Haven't they 45 00:01:46,560 --> 00:01:48,480 Speaker 2: to go sho invest in the business or have I 46 00:01:48,640 --> 00:01:51,400 Speaker 2: justing enough to cover my overheads? I'm not really sure 47 00:01:51,920 --> 00:01:54,400 Speaker 2: what employee is have got, of course, is the employer contribution, 48 00:01:55,560 --> 00:01:57,600 Speaker 2: and there's nothing there for self employed, so they've got 49 00:01:57,600 --> 00:01:59,480 Speaker 2: to kind of pay themselves if you like, and they 50 00:01:59,480 --> 00:02:01,680 Speaker 2: could pay them sells through their business. But they also 51 00:02:01,840 --> 00:02:03,600 Speaker 2: need to think a bit more about the future because 52 00:02:03,640 --> 00:02:05,680 Speaker 2: don't we all yes, and it's going to be a 53 00:02:05,680 --> 00:02:07,640 Speaker 2: bit tricky for them. And the reason this is important 54 00:02:07,720 --> 00:02:09,880 Speaker 2: is you don't want them rocking up to pension age 55 00:02:10,200 --> 00:02:13,280 Speaker 2: and having basically nothing put away, particularly if the business 56 00:02:13,280 --> 00:02:15,959 Speaker 2: has failed or something else has happened, because then you 57 00:02:16,040 --> 00:02:18,400 Speaker 2: start talking about what they need in terms of additional 58 00:02:18,440 --> 00:02:21,560 Speaker 2: government assistance. So it starts getting an important conversation. 59 00:02:21,960 --> 00:02:23,840 Speaker 1: So well done for doing the work for the first time. 60 00:02:23,880 --> 00:02:26,320 Speaker 1: That's surprise world. Does anything surprise me in this country anymore? 61 00:02:26,320 --> 00:02:27,880 Speaker 1: But they've done that work for the first time. Jane 62 00:02:27,880 --> 00:02:29,240 Speaker 1: Wrts and Retirement Commissioner. 63 00:02:29,680 --> 00:02:32,600 Speaker 2: For more from the Mic Asking Breakfast, listen live to 64 00:02:32,680 --> 00:02:35,760 Speaker 2: news talks that'd be from six am weekdays, or follow 65 00:02:35,800 --> 00:02:37,320 Speaker 2: the podcast on iHeartRadio.