Under 35s are nearly three times more likely to know where their pension is invested

• New research from OVO reveals young people are taking control of their financial future, choosing pensions that reflect their values and protect the environment
• Green pensions are often an overlooked climate solution, with just one in four people over 45 knowing the sectors, funds or companies their pension is invested in
• Under 35s are leading the shift, with nearly 8 in 10 (78%) saying it matters that their pension is invested ethically, compared to just 34% of over-65s.

July 2025 – New research from OVO reveals that young people are taking a keen interest in their long-term financial security against a backdrop of economic uncertainty in the UK. 

The research finds that people under 35 are nearly three times more likely than those over 65 to know exactly where their pension is invested. They are also much more likely to care that their pension is invested ethically, with nearly 8 in 10 (78%) saying it matters, compared to just over a third (34%) of over-65s. For many Gen Zers, understanding where and how their money is invested has become a way to respond to climate concerns and financial instability. 

Green pensions represent one of the most impactful and accessible ways to support climate goals as they reduce the funds invested in carbon-intensive businesses. It would cut 386 million tonnes of carbon, which is more than the UK’s entire emissions in 2024, according to provisional estimates from the Department for Energy Security and Net Zero.

For example, some pension funds such as Legal & General’s Target Date Fund (TDF) – which OVO uses –  take environmental and social factors into account when deciding where to invest. It avoids certain companies, gives higher scores to more responsible ones, and puts more money into businesses taking positive climate action. These types of funds also actively use their influence to encourage companies to improve – especially when it comes to tackling climate change.

Yet only 13% of people feel very confident that they have sufficient knowledge of how to effectively reduce their carbon footprint – including through their pension. Employers must  talk more openly about their pension options and encourage sustainable investment funds – which  will also help attract the best young talent and improve young employee satisfaction. 

Julia Diggs, VP People at OVO energy said: 

“Young people are thinking differently about their financial future – they want transparency, impact, and a pension that reflects their values. This research shows just how engaged the next generation is when it comes to where their money is invested. 

“At OVO, we’re committed to offering a workplace pension that supports our people and the planet. It’s one of the most meaningful ways employers can build trust, attract talent, and support long-term financial security.”

-ENDS-

Notes to editors:

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Annexe

Strand Partners’ specialist research team conducted a nationally representative online survey of 1,013 people between 30/05/2025 – 02/06/2025. The survey was representative by age, gender and NUTS 1 region. Strand Partners is a member of the British Polling Council and abides by its rules.

OVO pension offer:

Provider – Legal & General

The default investment fund is a Target date fund. 

More information on what Target date funds are can be found here 

The Target Date Funds incorporate ESG factors throughout in a number of different ways. This includes minimum exclusions, scoring and tilting of companies and positive investments. Investments in the TDF also benefit from our active approach to investment stewardship, where we use our scale to leverage change, particularly with regards to the climate transition.

The Target Date Fund is a blended fund, it incorporates ESG focussed funds & strategies

There is a wide range of available funds for members to choose from which incorporate ESG factors to varying degrees.

About OVO

In 2009, OVO was born to make energy better for people and the planet. Today, OVO is trusted by around four million customers with their home energy, EV charging, green tech upgrades, and more. 

OVO is getting the UK ready for a greener, fairer future – supporting new renewable power projects in communities across the country. Not only is OVO bringing low carbon tech into homes, it’s finding smart ways to cut costs for customers – making heat pumps, solar panels, and electric cars more accessible. Behind all this work is Plan Zero: the bold, science-backed sustainability strategy, which sets out how OVO will become a true net zero business by 2035. 

This progress can only happen with a culture fit for the future. OVO’s multiple awards include the Best Place to Work for Women in The Sunday Times’ Best Places to Work 2023, which also saw the company coming in the Top 10 for Very Big Organisation. 

OVO also won Company of the Decade at the BusinessGreen Leaders’ Awards 2020. 

OVO key facts

• UK Customers: four million 

• People: 4,500 colleagues with sites in London, Bristol and Glasgow. 

• Customer service

• • • Over 170,000 5* reviews on Trustpilot for energy supply.
    • £140m support offered to customers in need since 2022.

• Rewarding customers

• • Beyond: More than 750,000 customers have signed up to OVO Beyond
    • Over 14 Million EV miles banked
    • 47K solar panels banked
    • 44K Months of heat banked
  • Charge Anytime over: £18.3 million saved to date by customers.
  • Solar and heat pumps: Over 1,000 heat pumps installed and over 500 solar systems installed in UK homes.
  • World leading trials: 320+ OVO customer trialists on the world’s first and largest domestic vehicle-to-grid trial, run by us. 
  • Rewarding trials: Over £2 million in credit through Power Move, for using energy at greener times – saving over 600 tonnes of carbon.
  • Expert advice: Over 10,000 home visits completed by OVO’s Energy Experts, giving customers one-to-one guidance on making their home more efficient.