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Become a landlord to provide for the future

Date: Thu, 17 Nov 2005

Becoming a landlord may be one way of ensuring an income once people reach retirement age.

A new survey shows that next year the state will cease to become the main provider during people's retirement, instead investments in property and private pensions are set to play key roles.

The report complied by Prudential and Datamonitor shows that, in 1979, state benefits accounted for almost two thirds of the average pensioner's income, however, by 2013/4 they will account for around 44 pence in every pensioner pound

As people approach retirement age they are considering alternative plans for long-term income and property is seen as an ideal investment way of providing financial support for those later years.

Ali Crossley, director for lifetime mortgages at Pru UK, said: "This is a significant moment for retirement provision in the UK.

"We need to make a sensible judgement about how much to save and what other assets we can rely on. I think property will become increasingly important."


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