The proportion of 25 to 74 year olds saving for retirement has leapt up in the last two years, a report published this morning has suggested.

BlackRock’s Global Investor Pulse Survey of 4,000 respondents in the UK indicated that there has been a 28% increase in saving for life after work among this age range.

Report authors said this could, in part, be attributed to the implementation of compulsory workplace savings, with close to five and a half million people now automatically-enrolled in a workplace pension.

Over the past two years, there has also been an increase in the number of people who are more positive about their financial future, rising from by 13% to 54%.

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But Britons surveyed were less confident now than they were before when making savings and investment decisions (49%), slipping from more than half (52%) last year. Confidence was particularly low amongst women (42%) and those aged between 45 and 54 (40%).

The findings show that almost three out of four over 55s (72%) were familiar with the pension freedoms introduced in April 2015, but nearly four in five of these individuals (78%) have not yet taken any action.

Just 6% have bought an annuity, while 12% have taken some or all of it in cash. Of those with a DC pension looking to take action in the next 12 months, more than one in 10 (11%) plan to invest, with only 4% expecting to buy an annuity.

Of those yet to retire (with a DC pension), nearly two in five (38%) planned to take some or all of their money in cash at the point of retirement. More than a quarter (27%) expected to buy an annuity, whilst one in five (19%) planned to look at other retirement products, which can provide a reliable income.

Of those concerned about the pension freedoms (38%), one in five (19%) over 55s with a DC pension feel under pressure to buy the wrong product. An equal number were as worried about being scammed as they are about the tax man taking their money.

Some 17% were concerned about the tax implications of drawing too much income. Despite their concerns, only one in five (20%) over 55s who have heard of the changes have sought advice or guidance in order to make sense of the pension freedoms.

Tony Stenning, savings and investment expert at BlackRock, said: “Things are looking up. People are feeling more positive about their financial future compared to two years ago, and a record number of people are saving for retirement. Confidence in making financial decisions however, has decreased. Unfortunately, this means that people seek what they know and end up being over-reliant on cash.”