Older workers are clinging on to work instead of falling off the retirement cliff when they reach pension age, according to new research.
Around one in 10 workers have no intention of retiring – especially if they are already over 65 years old, says a study by Co-op Funeralcare and Co-op Legal Services.
Although workers over 50 years old aim to retire when they reach 64, 20% end up working for longer than they had hoped.
The survey also revealed that a third of older workers cannot afford to give up work because they have too many debts or not enough savings.
Some will never retire
Instead of giving up work at pension age, 12% of older workers still expect to be clocking in until they are well into their 70s or even 80 years old, while 18% of over 65s say they will never retire.
The study found retirement plans differ depending on where workers live.
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While more Londoners intend to carry on working past pension age and 14% have no plans to give up work, while only 4% of Welsh workers stated they will work past retirement and many expect to stop working aged 61.
For many, working past retirement was a lifestyle choice – 20% enjoyed their job, 10% wanted to save more money, 12% claimed their bosses did not want them to leave and 7% just did not want to ‘slow down’.
The research also found one in 15 women will continue working, compared to one in 10 men.
Money was also a concern for many older workers.
A fifth of over 50s say they have to work because they do not have enough cash savings, 16% need extra cash to pay their bills, 11% have debts to repay, 7% were still paying down a mortgage and 8% were funding children.
James Antoniou, head of wills at The Co-operative Legal Services said: “People can put off retirement decisions because they are fitter and living longer, but with a third of over 50s facing money problems if they give up work, the study shows how important saving as much as you can as soon as you can is for your retirement plans.”
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