BU Research Blog

The findings from current research conducted by Dr Julie Robson and Samreen Ashraf from the Faculty of Management were presented at the Academy of Marketing conference, Northumbria University recently.

The research, funded by the Academy of Marketing, uses concepts from behavioural economics to help understand how people perceive their pension and how they are likely to use their pension money in retirement. The study focuses on people originally from South Asia (India, Pakistan, Bangladesh etc.) but who are now living and working in the UK. A key question therefore is the role that culture has on the perception and use of pensions.

Given the pension reforms last year this research is timely as UK pension-holders aged 55 and over now have the freedom to use their pensions as they wish. Not surprisingly there has been much media speculation on how this money will be used – will it be blown on luxury goods (e.g. an expensive holiday or sports car?), used to pay off existing debt, given to children to help them get onto the property ladder or invested for later life?

As many retirees are known to have insufficient money for their retirement this research will be of interest to policymakers as many first generation South Asians living in the UK are now coming up to retirement age.

This research project runs to September 2016 when a final report will be issued to the Academy of Marketing.