PENSION savers are ignoring EU referendum scare tactics and pumping more money into their retirement funds in the run up to June 23.
They are brazenly ignoring Project Fear warnings of a financial slowdown if Britons vote to leave the European Union – because they do not think they are true.
Sixty per cent of investors expect no negative effects on their pensions in the aftermath of a Brexit and are investing more cash.
With under two months left until the EU vote, they say fears that pension values could tumble if the UK votes to leave are overblown.
Doom-mongers have warned of an economic freefall if Britain votes Leave, with David Cameron highlighting a series of worst-case scenarios, dubbed Project Fear by the Leave camp.
However, analysis of investors’ behaviour shows no signs of nervousness, with money placed into pensions and other investments so far in 2016 up 128 per cent on last year.
A survey of 20,000 customers by online investment firm True Potential Investor found that, in the first four months of 2016, investors ploughed almost 2.3 times as much into funds as they did in the whole of 2015.
David Andrews, of financial PR consultancy David Andrews Media, said: “It’s clear that pension savers are not spooked by Project Fear – money is still pouring into pension funds, which reinforces the wider undercurrent of opinion that it will be business as usual should we vote to leave the EU.
It’s clear that pension savers are not spooked by Project Fear
“If anything, pension funds which are not shackled to the harsh investment parameters set out by the EU are likely to perform far better.”
The research found 60 per cent of those aged 35 and over expect no negative effects if Britain exits the EU.
More than half of women (55 per cent) and 53 per cent of men say their saving will be unaffected by Brexit.
Last week, economists for Brexit predicted the UK would enjoy an economic boost amounting to four per cent of national income.
Their report claimed that, by being free of EU tariffs, prices in the UK would fall by eight per cent.
David Harrison, of TPI, said that while there may be short-term uncertainty “investing should always be viewed over the long term”.
He added: “The evidence shows savers expect to be able to ride out any immediate volatility and experience no lasting negative side effects if Britain opts for independence from the EU.”