Ireland’s pension gap is the second largest in Europe according to a new survey.

It means the country’s pot of savings will not go far enough to fund our retirement.

The Mind the Gap study by consultancy firm Deloitte for Aviva Insurance has found we need to save an additional €27.8bn a year in order to provide an adequate standard of living in our old age, compared to just over €20bn in 2010.

It also states that people currently working and due to retire before 2058 “will have to save, on average, an additional €12,200 (gross) per annum or €1,017 gross per month” – although this figure includes people who are not contributing to any pension currently.

“Ireland would probably be the second worst on the league table, both Ireland and Spain have been particularly impacted, and we’ll have seen those impacted because of the financial crisis,” said Aviva’s Gary Marshall.

“So the last report that was done in 2010, obviously we know the world was falling apart.

“And the other element is that people are living longer, so you need to save more to manage that longevity.”