Two out of three expect to work beyond 65: Portus

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Two out of three expect to work beyond 65: Portus

According to new research from Portus, 74 per cent of those who expect to be working beyond 65 say it will be because they will not be able to afford to retire.

The research showed that a total of 66 per cent of the British working population expects to work beyond 65, with just over one in 10 - 11 per cent - anticipating they will be working beyond 76, or will never retire.

A total of 13 per cent will carry on working to provide financial support to their children and 4 per cent say they will be helping their grandchildren.

Additionally, the research revealed that 50 per cent of those people aged 65 and over who are still working are doing so because they do not have enough money to live on, while 22 per cent are working to help children and 6 per cent are still in jobs to help fund grandchildren.

A total of 42 per cent of workers believe they will have adequate income during their retirement, but only 7 per cent of the British workforce is ‘very confident’ they will have adequate income in retirement while 10 per cent don’t think they will.

The research also revealed one in five recruitment consultants expects 20 per cent of the UK workforce to be aged 65 and over by 2020.

Working into retirement may be a positive though, with 26 per cent who expect to work beyond 65 saying they will do this because they enjoy working and will get bored if they stop.

Steve Watson, commercial director of Portus Consulting, said: “The demographics of the UK workforce are changing rapidly and this has huge implications for employers in terms of the range of employee benefits they offer.

“For example, an older workforce will want greater access to advice or guidance on how to use their pension savings whilst still at work, and it can also have huge implications for the provision of medical and critical insurance cover, for example.”

Daren O’Brien, director at Aurora Financial Solutions said: “I do agree that we are seeing an ageing workforce. We have many clients who belong to the lucky 34 per cent who enjoy working, are well paid and are able to do consultancy work after they reach 65 if they so choose.

“However the remaining 66 per cent have seen the basic state pension age already rise to 68 as the state continues to cut back, this has brought the realisation to many that they will have to continue to work as they can’t afford to retire even at 68.”