Pension failures send Brits back to work

Failing to plan for retirement is forcing many Brits to carry on working into their old age.

Research from Zurich shows 64 per cent of Brits were considering working after retirement – with half of these doing so for financial reasons as the cost of living rises.

Core to this high level of people forced to work is the finding some 74 per cent have never sought advice on retirement planning.

Michael Portillo, former Conservative MP, said: “The combined impact of the rising cost of living, rising inflation, fears of recession and the constant media coverage of the credit crisis, has created insecurity for a huge number of people approaching retirement concerned about their financial future.

"Given that so many people are aware that they will face financial difficulties in retirement, more and more people are staying on at work, or returning to work to help ease the financial pressures they face ahead."

The research also revealed it is the younger generation who are failing to prepare most for retirement.

Just six per cent of 25 to 34 year olds have chosen to seek advice on pension planning.

But only 31 per cent of those over 55 had done the same – highlighting the widespread lack of pension planning in the UK.

Tony Solomon, at Zurich UK Life, said: “There is real need to alert people to the importance of planning for their retirement from an early age.

"If we fail to address this issue, there is a real danger that for those already enjoying their retirement may be last generation to experience the financial freedom of a carefree retirement spent living off the children’s inheritance.”