The majority of Millennials (56%) and Gen Z (62%) see a mixture of pension and property as their main retirement asset, according to new research.

That’s roughly double the amount of Gen X and Baby Boomers who say the same (29% and 25% respectively).

According to Standard Life’s Retirement Voice research Baby Boomers (40%) are the generation that is most likely to rely on pensions alone while Gen X are the only generation favouring property (38%).

Pensions remain a crucial part of retirement funding, with a quarter (26%) of Millennials and a third (34%) of Gen Z expecting pensions to be their main retirement asset.

In contrast, far fewer are expecting to rely just on property as their main retirement income (15% among Millennials and just 4% among Gen Z).

The study showed that younger generations face significant challenges in getting onto the property ladder, with a third (33%) of Millennials, and more than half (56%) of Gen Z currently either renting or living with loved ones.

Mike Ambery, retirement savings director at Standard Life, said: “Younger generations seem to be taking a more flexible approach to retirement, seeing both pensions and property as key parts of their financial future.

“It’s smart to build a well-rounded plan, with as many bases covered as possible. While pensions offer tax perks and employer contributions, property provides long-term security and, crucially, a roof over your head.”

He pointed out those who are unable to or who choose not to get on the property ladder through their working lives and rent in retirement will need additional savings to cover housing costs alongside day-to-day expenses.

He said: “The key for everyone is to plan ahead and keep all options open.”

• Ipsos Mori conducted research among 6,000 UK adults. Fieldwork was conducted between July and August 2024. Data was weighted post-fieldwork to ensure the data remained nationally representative on key demographics.