British pension savers are set to benefit from Donald Trump’s election victory, as the former US president’s pro-business policies have led to a surge in stock markets, particularly in the United States, according to Andrew Evans, CEO of Smart Pension, a leading UK retirement business.

Evans highlighted that the rise in US market performance has positively impacted UK pensions, particularly those with investments in American assets. “American markets have been incredibly bullish since Trump’s victory, benefiting UK pension savers with funds tied to US assets, whether they realise it or not,” he said.

Smart Pension, which manages retirement savings for over 1.4 million people, has approximately 52% of its main fund invested in US markets. Following Trump’s election, the S&P 500 index surged by 5%, reaching a record high of 6,001.35 points. While the index has since dropped slightly to 5,863.69 points, it remains 2.6% higher than its pre-election level and has gained 12.8% since August. Similarly, the Nasdaq Composite Index also hit record highs and is still up 2.6% since November 4.

Despite concerns over Trump’s trade policies and the potential for disruption in global markets, investors remain optimistic about his promises of corporate tax cuts and a pro-growth agenda. Evans noted, “Trump’s policies promoting American growth and company assets will benefit global pension funds.”

In the UK, Chancellor Rachel Reeves has proposed significant changes to workplace pensions, advocating for the pooling of smaller pension pots into “megafunds” worth £80 billion. These larger funds would be able to invest in a wider range of assets, which could drive greater growth and returns for savers.

Evans expressed support for this initiative, noting it aligns with Smart Pension’s mission to modernize and transform retirement savings. The company currently allocates 6% of its master fund to private markets, with plans to increase this investment moving forward.

However, Evans called for additional government incentives to stimulate domestic growth, particularly in light of Chancellor Reeves’ £41.5 billion in tax hikes announced in the recent Budget. “Promoting growth while imposing significant tax increases is a challenging balance. Additional structural measures are needed to support investment in the UK,” he said.

As both the US and UK economies navigate these changes, the actions of both governments are expected to shape the future of pension savings and investments.

A recent survey of 600 European tech start-ups, conducted by venture capital firm Index Ventures, reveals that most companies do not anticipate artificial intelligence (AI) tools leading to job losses. In fact, half of the surveyed firms view AI investment as an opportunity to expand their workforce, while an additional 29% expect to maintain current staff levels.

While some start-ups acknowledge that certain roles in areas such as software development, marketing, and customer service may be reduced due to automation, they expect to increase hiring in other sectors, particularly in software engineering and product development. According to Hannah Seal, a partner at Index Ventures, this optimistic outlook aligns with her experiences working with high-growth companies. She explained that AI tools are seen as productivity enhancers, rather than role replacements. For example, AI assistants like GitHub’s Copilot can double the efficiency of engineers, enabling companies to allocate resources more effectively and focus on expanding their product offerings without reducing headcount.

The study also highlighted that many employees are taking a proactive approach to adopting AI technologies. On average, workers are dedicating four hours per week to self-teach AI tools and techniques. In contrast, only 29% of respondents reported receiving formal training from their employers. Employees skilled in AI-related areas are commanding higher wages, with an average salary premium of 10% compared to their peers in non-AI roles.

Seal further noted that AI-powered services are not only enhancing productivity but are also helping address labor shortages in specific industries. She pointed to DataSnipper, a Dutch start-up that developed software for auditors, as an example. By automating the tedious task of data reconciliation, AI enables auditors to focus more on strategic client advisory work, making the profession more attractive to new graduates and helping to draw fresh talent into the field.

The findings suggest that, for many European tech start-ups, AI is viewed as a tool to enhance capabilities and drive growth rather than a threat to jobs. As businesses increasingly invest in AI technologies, it appears that the focus is on leveraging these tools to improve productivity and foster new opportunities, both for companies and their employees.