A quarter of people set to retire in the UK this year feel they are not ready to stop working, and more than 13% have already delayed their retirement, according to latest research from insurance and investment giant Prudential.
Prudential’s latest annual study of retirees has shown 23% of “Class of 2014” scheduled to retire this year have expressed fears that they may not be able to give up work altogether.
The study was aimed at understanding the changing attitudes towards retirement, and surveyed 7821 non-retired people aged over 45, including 1010 people scheduled to retire this year.
According to the survey, more than half (54%) of the surveyed population expressed their intention to continue working well past the State Pension age in order to make their retirement financially comfortable. Of these, 43% intend to continue full-time work while 57% will consider part-time employment. One-third of those considering work after State Pension age mentioned they would like to continue in their current job with reduced hours.
A majority (57%) of this year’s retirees would continue working past the traditional retirement age with the motivation to keep physically and mentally fit. More than one-third cited ‘opportunity to boost pensions savings’ as the reason to continue working, while 40% cited their love for work as their motivation to continue employment.
Stan Russell, a retirement income expert at Prudential, said: "For many people retirement is now a gradual process rather than a watershed where you simply stop working one day and become retired the next, and that is reflected in the change in attitudes shown by our research.”
"However, there is no one-size-fits-all solution to retirement and many people will be looking forward to leaving work as soon as they can. What is important is that people plan ahead for retirement and do as much as possible to ensure a comfortable retirement by consulting a financial adviser or retirement specialist well ahead of their planned retirement date.”
He added: "Working past traditional retirement ages is not solely driven by financial pressures and the research shows growing numbers of people wanting to carry on working because they enjoy it and because it keeps them stimulated mentally and physically. Increased life expectancy and improvements in general health are changing how we think about retirement."
The Prudential study lends support to two other retirement surveys conducted last year by AVIVA and HSBC that highlighted the concerns of pre-retirees and retirees. While the AVIVA study reported a lack of savings among recent retirees, the HSBC report found that one in eight people in 15 countries feared they will never be able to retire fully.