Pension experts warned on Tuesday against allowing Irish retirees to cash in their entire pension when they reach retirement. In the UK, pension savers are now able to take their whole pension pot as cash at retirement by simply closing their pension pot and withdrawing it all as cash under the new “pension freedom” rules.

However Jerry Moriarty, CEO of the Irish Association of Pension Fund (IAPF), said that while this may seem attractive to the pension saver, "the taxman certainly benefits".

In the UK, the first 25 per cent of a pension can be withdrawn tax-free, but the remaining 75 per cent is taxed at the individual’s highest tax rate.

“This has raised concerns in the UK about the ability of individuals to manage their pot in a way that ensures they have a sustainable income for the rest of their lifetime. Members of defined contributions schemes in Ireland have had the ability to transfer some of their pot to an approved retirement fund for a number of years, which gave them more flexibility than had been available in the UK,” Mr Moriarty said.

A survey at the recent annual IAPF investment conference polled attendees on their investment concerns, with only 14 per cent citing Brexit as the biggest issue.

“Global recession at 47 per cnt was cited as the most common cause for concern, followed by the impact of low interest rates at 28 per cent,” Mr Moriarty said.

Pensions experts were also asked whether or not they will continue with the ongoing deleveraging toward safer, but lower yielding, bonds and the general consensus was that this move had reached its peak with the majority (62%) not expect any change and the minority seeing a move back toward stronger yielding assets.