Over seven in 10 (71%) UK adults believe the Government should set out a plan to increase the minimum auto-enrolment pension contribution rate, Phoenix Group research has found.

In a survey by the retirement savings group, when asked what an adequate income in retirement is, the top response from UK adults was an income level where "basic needs are covered with some money left over for non-essentials".

Additionally, many added that they believe it is the Government’s responsibility to ensure that people achieve this retirement standard, with over four in five (83%) supporting a Government review to see whether the current pension system is delivering this income.

Under the auto-enrolment system, employers and employees contribute a combined level of 8% of the employee’s wage.

However, Phoenix said that saving at this level is unlikely to provide enough funds for most people to meet their retirement expectations.

Modelling by the firm’s longevity think tank, Phoenix Insights, has suggested that around 14 million people, or half of defined contribution pension savers, are not on track for their expected retirement income, with over two thirds (68%) facing a savings gap of more than £100,000.

Director at Phoenix Insights, Catherine Foot, said: "Auto-enrolment has been successful in kick-starting pension saving for millions of people, but the current minimum contribution rate is too low for most savers to achieve an adequate retirement income and may be giving some a false sense of security. We need a government plan to increase contributions and help address the pension saving gap, as part of a wider review of the pension system to ensure it is helping people to save enough and be more financially secure over the long-term.

"Delays and inaction on this could leave generations of future retirees unable to enjoy the lifestyle they hoped for when they retire or struggling financially, with millions more relying on state support later in life."

The survey also revealed that over a quarter (27%) of non-retirees think the minimum contribution is too low, and of this group, half (51%) think the minimum contribution should increase to at least 12%, while a fifth (20%) think it should increase to at least 15%.

Phoenix has therefore called for a new pension adequacy review to support long-term financial security and has urged all political parties to commit to delivering this in the next parliament, adding that it should cover both private and state pensions.

Managing director for workplace pensions at Standard Life, Gail Izat, added: "More needs to be done to help people secure a decent standard of living in retirement, and raising minimum contributions is the single most powerful mechanism available. While it’s important that we move when the time’s right for both savers and employers, prolonged inaction risks continued under-saving and the UK sleepwalking into a retirement savings crisis.

"It’s clear that people support action on raising minimum contributions if the current rate isn’t adequate, and we urge the next Government to put a review in place."

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