Employees across the UK feel more positive about nearly every part of their lives than at any time over the past five years. Retirement stands out as the stark exception, according to Fidelity International’s latest Global Sentiment Survey.

The poll, marking its fifth year, gathered responses from over 38,000 working adults in 35 markets worldwide. In the UK, 1,000 employees shared their views. Optimism hit 54% this year, climbing from 52% in 2024 and 48% in 2023. Respondents rated their finances, jobs and health as ‘good’ more often than in prior years.

That upbeat trend breaks down when it comes to retirement. Workers expressed far less confidence in long-term goals. Only 29% felt positive about retiring financially comfortable. A similar 31% were upbeat on preparing for later life. Shorter-term aims drew stronger support: 36% for paying off debts, 42% for keeping their current lifestyle and income steady.

Stress factors paint a fuller picture. Over the past six months, 69% of UK employees cited cost of living and inflation as top worries. The economy troubled 66%, global politics 56%. On personal finances, saving for retirement stressed 50%, long-term goals 47%. Short-term concerns lagged behind at 40% for priorities and 29% for debt repayment.

Daniel Smith, head of workplace investing distribution at Fidelity International, pointed to a clear gap. ‘Many feel comfortable with short-term commitments,’ he said. ‘Longer-term planning, especially retirement, stays tough to handle. Employees want their full financial picture in one spot and to see how today’s choices shape tomorrow.’

Employer support makes a difference. Workers with financial wellness programs from their jobs reported 46% job satisfaction. Those without came in at 30%.

Smith stressed workplaces as key players. Employers, as trusted guides, can offer tools, education and resources. That includes digital platforms pulling together savings, pensions and investments. In-person coaching helps too. ‘When equipped for the long haul, employees boost business with more engagement, productivity and resilience,’ he added.

Fidelity plans heavy investments this year. New digital tools will use AI for personalized planning before and during retirement. The firm also aims to expand investment options for steadier income in later years.

The survey highlights a split mindset among UK workers. Daily life looks brighter amid economic pressures. Retirement looms as the persistent cloud.