More than £26bn in pension pots is ‘missing’ because savers have lost track of their retirement pots, according to new analysis.

The figures have been released for National Pensions Tracing Day which takes place this week (Sunday 29 Oct).

There are an estimated 2.8m lost or forgotten pension pots worth an average of around £9,500, according to Punter Southall and Aegon which devised the idea of the day.

The aim of the day is to focus national attention on the issue and to encourage more people to track down any missing pension pots.

Aegon calls the figures “a scandal” and has urged the government to bring forward the much-delayed Pensions Dashboard project so that more people can keep track of their pensions.

Aegon UK is calling on the Government to use National Pensions Tracing Day to redouble its efforts to move forward the Pensions Dashboards plans.

Pension schemes were due to start connecting to the Pension Dashboard digital architecture this year on a phased basis but technical problems have delayed this plan. Schemes now have to connect by 31 October 2026 but guidance is still unclear.

Kate Smith, head of pensions at Aegon, said: “National Pensions Tracing Day is a vital initiative to help people find their lost or forgotten pension pots. We are calling on the UK Government to deliver the guidance needed by pension providers to help deliver the long-promised UK Pensions Dashboards. The Pensions Dashboard will enable people to see all their pensions online, securely, in one place. Once up and running, people should never again lose track of their old pensions.

“The £26.6 billion scandal of lost pensions must become a thing of the past, every penny saved counts, particularly as families struggle through the cost-of-living crisis.

“In the meantime, the industry can look to further help workers get into the habit of taking their pension to their new employer’s workplace scheme as they move jobs. It’s all too easy to undervalue or lose track of small pension pots, combining them into a workplace pension scheme not only makes them easier to manage, but also shines the light on how much has been saved.”

Separately, a Freedom of Information request by platform Hargreaves Lansdown has revealed that the Pension Tracing Service received 251,733 phone calls between July 2018 and August 2023, suggesting many thousands of people have lost track of one or all of their pensions.

Research carried out by Opinium on behalf of HL, found that 23% of people said they believed they had lost track of a pension and a further 18% were unsure. Research of 2,000 people was carried out by Opinium on behalf of HL in September.

Helen Morrissey, head of retirement analysis at Hargreaves Lansdown, said: “This potentially has major implications for our retirement income. The pension may only be small but over time it will grow, and savers could be missing out on thousands of pounds that could contribute towards their pension income. It could prove the difference between having to scrimp and save to get by in retirement or being a bit more comfortable.”

The Pensions Policy Institute last year estimated that the number of lost pension pots was 2.8m.