Mortgage v Pension

QueenJess wrote: »

As I hate being in debt, my gut feel is that I would prefer to offload the debt whilst interest rates are low and then save for early retirement, but I have never had no savings (except for an emergency fund) before and it always makes me nervous as I am pretty risk adverse. If only I had a crystal ball!

Perhaps consider the debt to your retired self who will be better off if you invest now for your retirement rather than pay off low rate loans that in real terms are decreasing every year due to inflation. If your mortgage rate is less than 2% or so its being paid down anyway even if you only made it interest only (not that I'm suggesting you do that) simply because each year its decreasing by around 1% in real terms.

That's a lot easier decision to make if you are a high rate taxpayer where its practically a financial crime if you dont focus on pension whilst high rate relief is available, i cant see it lasting much longer.