Millionaire retirees believe it is more important for young people to contribute to a retirement plan than buy a property, according to a survey by deVere Group.

Of the 232 millionaires polled by the financial advisory firm, 78 per cent of retired clients who have a net worth of more than £1 million said it is “important” or “extremely important” to build a retirement income; while 62 per cent said it is “important” or “extremely important” to buy a home.

The necessary level of savings which people require to maintain at the standard of living they became accustomed to when still in employment is becoming more apparent; with this comes growing concerns in how and where to prioritise finances, the firm said.

“The survey highlights that even those who have acquired a million pound-plus fortune are concerned that they might not be able to afford to sustain a comparable lifestyle throughout their retirement. In addition, it suggests that many have seen a downturn in their home’s value and that they have a lack of confidence in the property market,” said Nigel Green, chief executive of the deVere Group.

“Despite their wealth, the vast number of respondents told us that their money does not go as far as they had expected due to constantly increasing prices; and that it is hard to get used to the fact that they are unlikely to receive income increases in the future,” he added.