Page 10 - Gi flipbook August 2018

NEWS | MANAGEMENT

One in four people think they will be

working at age 70, finds new research

MORE THAN A QUARTER One in four people think
of people (27 per cent) they will be working at age
think they will still be in full 70, finds new research
or part-time employment
when they are 70, according
to research published by
People Management.
Almost half (46 per cent)
of the 700 consumers aged
18 to 64, who were quizzed
by insurer Aegon about
what factors may influence
their future financial
wellbeing, believed they
would be healthy enough
to continue working at
70. The majority (74 per
cent) also said they felt
confident that they would
be financially stable in their
eighth decade.
Steve Cameron, Pensions
Director at Aegon, said
retirement age was no
longer solely dictated by more actively with older However, a recent report she said. “There is no quick
the size of an employee’s workers to make sure they from Close Brothers found or easy fix to the gender
pension pot. “For some, are able to make choices that more than half (51 per savings gap, but companies
working beyond the past that work for them and for cent) of female employees need to do what they can
‘traditional’ retirement age the employer.” felt financially unprepared to ensure that employees,
will be a lifestyle choice But Nathan Long, for retirement, compared regardless of gender, are
but, for others who put off Senior Pension Analyst at with a third (35 per cent) well prepared for their
planning ahead, it could Hargreaves Lansdown, said of men. financial future.”
be a financial necessity he expected the number of The average amount in a Meanwhile, research
to cover living costs,” he people who thought they woman’s workplace pension released by independent
added. would be working at 70 to scheme (£53,000) was financial advisers Chase de
Steve Webb, Director be higher. less than half of their male Vere revealed that 42 per
of Policy at Royal London “The ONS [Office for counterparts (£120,000), cent of employers believed
and former Pensions National Statistics] has according to the firm’s their employees should
Minister, warned People shown a big jump in the Lifetime Savings Challenge take responsibility for their
Management of a “sharp number of people who are report, which collected own financial education.
divide” between those who working past retirement responses from more than The two major reasons
continue working because age in the last couple of 3,000 companies. given by the 300 randomly
they want to and those years, and our research Jeanette Makings, Head selected UK employers
who cannot afford to retire. shows that we are starting of Financial Education surveyed was the cost of
“Many people value to see that happen,” he said. Services at Close Brothers, providing this as a benefit
the opportunity to stay in “A third of our clients have said employers were and an apparent lack of
work because of the social said that they ruled out not “perfectly placed to play a appetite from staff for such
side and the intellectual doing any part-time work in central role” in closing the a service.
stimulation, not necessarily the future. This means that gender savings gap. Sean McSweeney, Chase
because of the money,” two-thirds think they might “By offering financial de Vere’s Corporate Advice
Webb said. “For others, have to work part time.” education in the workplace, Manager, said the findings
working on may be a Aegon’s survey also and by tailoring that were “disappointing”,
necessity, especially for revealed that around a education according to but the message from
those who never had access quarter of women (25 per their employees’ needs, employers seemed “loud
to a final salary pension and cent) and 28 per cent of employers can boost and clear – employees
have been slow to build men thought they were saving confidence and cannot rely on anybody else
up their own pension pot. likely to continue working help employees develop to look after their financial
Firms will need to engage past 70. long-term saving habits,” futures”. ■

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News.indd 5 19/07/2018 12:46