The prospect of retirement is looking like a thing of the past for many Brits as new research reveals 10% of the working population, the equivalent of 3.5 million people, have no plans to ever stop working and 15 million (42%) non-retired UK adults are not able to say at what age they plan to retire.
According to Baring Asset Management, which carried out the research, his is in stark contrast to the responses in 2008, before the economic downturn set in, when 100% were confident that they would retire and only 1% of people said they did not know at what age they would stop working.
Today the number of people not planning to retire has increased to 15% for people aged between 55 and 64 and to 36% for people aged 65 and over.
The study, conducted among non-retired British adults, also reveals almost 100,000 people who have yet to retire don’t plan to stop working until they are at least 76 years old. And 2.3 million Brits don’t plan to retire until they are over 65 years old, an increase from 1.9 million last year.
Of those that plan to retire after 65, over two thirds (67%) are men and a third (33%) are women. This shows proportionally more men intend to retire later. On a regional basis, 12% of people in the north of England have no plans to stop working, compared to only 5% of people in Scotland.
Marino Valensise, chief investment officer at Barings, said: "Our research shows that, for a large number of people, the ability to retire is now uncertain. A combination of increased longevity, a rise in the cost of living, and people not saving enough means that more people are being forced to work beyond the age of 65. They simply can't afford to stop working.
"For those approaching retirement, it is a difficult backdrop, with economic uncertainty still rumbling across all markets. People have worked hard for retirement and a few extra decisions, such as taking professional financial advice and ensuring their investment portfolios are correctly positioned, could make all the difference."