Discuss How Different Households Can Plan for the Future Characterised by High Unemployment and Low Provision of State Pensions

Discuss how different households can plan for the future characterised by high unemployment and low provision of state pensions
      According to the extract the future appears bleak for those hoping to retire comfortably with predictions of high unemployment, low government provisions and little expectation that many will actively plan and prepare for their future finances. This essay aims to look at the different households and the differing responses they can take in preparation of their future finances.
Vivienne Brown (2006) provides a useful definition of a household as   “ A person living alone or a group of people who have the address as their only or main residence and who share one meal a day or share the living accommodation”
VB 2006 Pg.22 Chapter 1 Personal Finance: setting the context
There are different types of household and with changes over the life-course a household can take on various sizes and compositions.

Table 1.1 Types of households in Great Britain1, 2010
      Type of household As a percentage of all
      One-person households 29
      One-family households 67
      Couple (no children) 28
      Couple (with children) 21
      Lone parent 7
      Two or more unrelated adults 3
      Multi-family households 1
      All households (24.2 million) 100
Source data from ONS Social Trends edition No 41 Households and families Jen Beaumont 2010
Table 1.1 shows data collected from the different types of households categorised in Great

This table provides an idea of the variety of different household compositions in Great Britain. These categories can be broken down even further by age, income, and ethnicity for example low income households will differ from higher income households. Older households with pensioner couples or single male or female pensioner households without children will differ from...