55% of retirees not financially prepared

Research from MetLife found that around 71% of all workers say they would consider working after current traditional retirement ages with just one in three (31%) expecting to retire completely from full-time work.

Its study found 63% of over-50s are looking at potentially lengthening their working lives with 50% considering learning new skills to continue in full or part-time employment while 13% would look to retrain so they could launch their own business.

The decision to work past traditional retirement ages is not entirely financially-driven with 23% of over-50s saying they enjoy working and don’t feel ready to retire while a further 30% would miss the social interaction that work provides and 29% say they feel that work gives them a sense of purpose.

Dominic Grinstead, Managing Director, MetLife UK, said:

“It is striking that many over-50s are considering retraining to become more flexible at work just as pensions are being changed to be more flexible.

"The numbers contemplating working in retirement – whether it’s full-time or part-time –  shows that as the retirement landscape changes and people prefer to phase retirement, flexible income solutions will be needed to enable people to make the best possible use of pension freedoms.

"Many savers will need certainty about future income and capital, so providers will have to develop solutions offering flexibility combined with increasing use of income or capital guarantees.”