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Workers delaying retirement plans

One in eight UK adults over the age of 55 who expected to retire in the near future now plan to delay their retirement due to the coronavirus pandemic.

New research conducted by YouGov on behalf of retirement advisor Smart Retire found that the turbulent financial year caused by the COVID-19 has led to one in eight adults (13%) over the age of 55 altering their retirement plans.

The research also found that just a fifth (20%) of UK adults see retirement as a one-off event; they will only do it once.

Additionally, over a third (35%) of UK adults who expect to retire or are already retired would prefer to manage all their retirement finances themselves.

Further reading:

Employees underestimating the importance of a pension

Re-imagining and reassuring employees of their pensions

Employers ignoring retiring workers due to coronavirus

The pandemic has caused many workers to re-think their finances.

A report by the Institute for Fiscal Studies found that a third of UK employees are worse off financially and one in 10 are planning on working for longer than they had originally intended to.

Steve Herbert, head of benefits strategy at Howden Employee Benefits and Wellbeing told HR magazine: “Like so many other elements of our daily and work life, pension savings and personal retirement planning has been impacted by the turbulence of the pandemic in recent months.

“It follows that many employees will currently have some very valid concerns and questions that need to be addressed by their employer’s chosen pension experts.”

Smart Retirement’s research found that people aged 55 and over want control and flexibility over their retirement funds.

Forty-seven per cent who expect to retire or are retired, said they would prefer to manage all of their retirement finances themselves.

However, 37% said they want some support; 7% want someone else to manage their retirement finances entirely, and 30% want some assistance but want to remain involved.

The YouGov survey of 2114 UK adults was conducted on behalf of Smart in November 2020.