Finnish pension confidence has dropped sharply, revealing growing uncertainty among citizens. According to the latest Eläkebarometri survey published by the Finnish Centre for Pensions (ETK), confidence in the adequacy of pensions in Finland has fallen dramatically. The survey shows a significant decline in the number of people who believe they will manage well on their pension income.
Only 5 percent of respondents now feel confident about their pension income, a steep decline from 20 percent just last year. Meanwhile, about one quarter of those surveyed expect their retirement income to be poor or quite poor. This shift shows a clear drop in pension confidence among Finns.
The survey’s change in methodology from phone interviews to an online panel means that direct comparisons with previous years should be treated with caution. Nevertheless, the results highlight some important demographic differences. Women tend to feel more worried about their pension outlook than men. Younger people under 30 show higher levels of pessimism than older groups.
Susan Kuivalainen, head of research at ETK, explains that uncertainty now overshadows strong opinions. She said in a press release that global political and economic instability combined with ongoing public debates on pension reform have likely influenced how people assess their future pensions.
Despite the decline in overall confidence, roughly half of the respondents still express trust in the Finnish pension system. However, there is a noticeable increase in the number of people who do not hold a clear opinion on the pension system’s reliability.
This year’s Eläkebarometri survey also included questions about the pension reform agreed upon in January. The reform allows pension funds to take on more risk by increasing investments in equities. This shift aims at securing higher returns for the pension system.
The reform was met with generally positive feedback. More than half of those surveyed rated the changes at least somewhat positively, while fewer than 10 percent responded with criticism. Sanna Tenhunen, economist at ETK, noted that older respondents were more supportive of the reform. Even among people younger than 35, 45 percent gave positive ratings to the reform.
