Self-employed IT contractors are putting business interests before planning for their long-term futures, according to a leading pension provider.

An average self-employed person aged 35-44 has pension savings of £24,500, while the average employed worker in that age group has a pension fund of £73,000, Standard Life claims.

It should also be noted that due to National Insurance rules self-employed workers do not receive the additional state pension, so an extra £30,000 would be needed to cover this shortfall, the firm adds.

While it is understandable why someone would want to focus on making their business a success, they need to be aware of what affect their self-employed status has on their future income, according to Andrew Tully, senior pensions policy manager at Standard Life.

"While many self-employed people are counting on their business being their pension, when the time comes, there is no guarantee that selling the business will release enough capital to provide sufficient retirement income," Mr Tully added.

IT contractors with lower incomes were reminded by a tax reform group earlier this month to check their NI contributions before April 1st, as changes in income could see the incorrect amount being paid.