Nearly two-thirds of employees say they expect to retire in their 60s, and 17 per cent expect to retire in their 70s. That’s according to a new report by the Department for Work and Pensions (DWP).
The Attitudes to Working in Later Life report highlighted areas where employers could make changes to retain older workers. Respondents who were currently employed were offered a list of things that their employer could do to help them keep working.
The opportunity to work flexible hours was the most commonly chosen option, with nearly half (47 per cent) saying they would take this up to help them work longer. A similar proportion (46 per cent) would take up part-time working.
Just over half (54 per cent) of those who were currently employed say it is likely that someone in their organisation aged 55 would be allowed by their employer to work flexibly for their remaining years at work (34 per cent see this as unlikely).
Women are more likely than men to see this as a likely scenario (59 per cent compared with 49 per cent). This finding is similar to DWP employee polling research in late 2014, which found that 51 per cent of respondents said that their employer allows people to work flexibly as they get older.5
When it comes to saying when they expected to retire, those in younger age groups were more likely to say 70s (37 per cent of 18-24s, 21 per cent of 25-34s). Of those who expected to retire at 65 or before, the most likely reason given was because they wanted to (36 per cent) followed by being able to afford to (20 per cent). Of those already retired, 39 percent said they did so because they wanted to; 20 per cent said they retired due to ill-health.
Reasons for expecting to retire early (before or at aged 65) Of those who expected to retire at 65 or before 36 per cent said this was because they wanted to; 20 per cent because they can afford to; 16 per cent because they can receive an occupational or personal pension; 8 per cent said this was because they can receive state benefits; and 7 per cent don’t expect their employer to allow them to work longer.
Women were more likely than men to say they expect to retire early because they want to (44 per cent of women, compared with 29 per cent of men). However, men were more likely to say they expect to retire at age 65 or before because they could afford to (26 per cent of men, compared with 15 per cent of women). Only a very small percentage (two per cent) said they expected to retire early due to ill health.