1 in 4 between 65 and 74 still Work
A quarter of pensioners between the ages of 65 and 74 in the UK are continuing to take a wage, despite passing the retirement age.
Research from Aviva has highlighted the fact that the workforce continues to age, and that 23pc of people in this age group were still wage earners in December 2012, compared to 18pc recorded three years ago.
Changes in the law mean that workers can no longer be forced to retire after the age of 65, following the abolition of the Default Retirement Age (DRA) in 2011, which was hailed as a milestone by those campaigning against age discrimination.
While the increase in those who are past the retirement age and continue to work could be attributed to poor performing pensions, as well as the tough economic climate, there are many who continue to work because they feel it helps to keep them young.
Roger Marsden, Head of Retirement at Aviva said: “Many people find that staying active in a job helps to keep them young at heart – with the bonus being that it boosts their earning and saving potential in the process”.
Pensions have been very topical over the last year, and there has been no hiding from the fact that annuities are struggling, leaving many up against it financially once they retire. As well as this the age people live to has been steadily increasing, which means their pension pot must stretch further once they retire. This had led to the government issuing encouragement to people to save as much as they can for retirement throughout their working life.
Starting a pension plan as early as possible is important. If you are currently employed and not contributing towards your pension, then talk to your employer and ask them about the company pension scheme. The longer you can contribute to your pension for, the more you will have at your disposal once you retire. For more information simply ask one of our advisors a question.
Share this..
Related stories
Can we really depend on the state for future pensions?
The pension industry has never been far from the headlines over the last 10 years as the situation has changed dramatically to the detriment of UK consumers. Only recently we have seen dozens of final salary pension schemes biting the dust and tax changes which have again hit the long-term attractions of personal pensions. The fact that the UK state pension has effectively fallen in real terms ove...
Read MorePension Reform is unclear, say MP’s
A group of cross-party MP’s have expressed their concern that the Government has not done enough to explain to the public how the forthcoming revamp of the state pension will affect them. It is thought that around 40 million people will be affected by the changes, and although members of the Work and Pensions Committee say they support the scheme, they have said that the Government must do m...
Read MoreWho is to blame for the UK pension debacle?
Proposals by the UK government to increase the retirement age in the UK have been met with a mixture of disdain and relief. While there is no doubt that more and more pensioners are struggling to make ends meet in their retirement years there is also no doubt that allowing people to work longer will reduce the potential employment opportunities, and promotions, for the young of today. So who is re...
Read MoreBritish Airways moves to reduce pension liability
British Airways has this week announced an agreement with Goldman Sachs to effectively insure £1.3 billion of the company's £3.7 billion liability between the two open final salary pension schemes. In what is a slightly complicated transaction, the agreement with Rothesay Life (a subsidiary of Goldman Sachs), the company has managed to match future cash flow requirements in any inflationary and...
Read MoreStandard Life offers one day annuity guarantee
In a move which has been condemned by many in the marketplace, Standard Life has confirmed that annuity quotes for its policies will be guaranteed for just one single day. In effect, if a customer retires either side of the retirement date on the original application form then the new Standard Life annuity quote is only guaranteed for one day. If the quote is posted to the customer then by the tim...
Read More