No Retirement For One In Ten UK Adults, Warns Barings

- 10% of Brits don’t plan to retire at all
- 100,000 Brits have no plans to retire before 76

London, 24 August – The prospect of retirement is looking like a thing of the past for many Brits as new research[1] from Baring Asset Management reveals that 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 aren’t able to say at what age they plan to retire. This is in stark contrast to the responses in 2008[2], 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 that almost 100,000 people who have yet to retire don’t plan to stop working until they are at least 76 years old. 2.3 million Brits don’t plan to retire until they are over 65 years old, an increase from 1.9 million last year[3]. 

Of those that plan to retire after 65, over two thirds (67%) are men and a third (33%) are women. This shows that 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, comments, "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.”

ENDS

Notes to editors
[1] Research conducted online by ICM Research on behalf of Baring Asset Management of 1478 non-retired UK adults between 2nd and 4th July 2010.  Population figures have been weighted (using ICM UK adult population figure of 47.36 million) and are representative of all GB adults (aged 18+).   GB working population figure is 35.56 million.
[2] Research conducted by ICM between 27th and 29th June 2008.  The survey was carried out online amongst a sample of 1000 adults.  Population figures have been weighted (using ICM UK adult population figure of 45.89 million) and are representative of all GB adults (aged 18+). 
[3] Research conducted by ICM between 3rd and 5th July 2009.  The survey was carried out online amongst a sample of 2050 adults in Great Britain.  Population figures have been weighted (using ICM UK adult population figure of 46.30 million) and are representative of all GB adults (aged 18+).

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Baring Asset Management is an international investment management firm with investment skills, clients and business locations spanning world markets.  Our investment competency encompasses developed and emerging market equity, fixed income and multi-asset portfolio management services offered to institutions, retail investors and private individuals.  Worldwide clients include public and corporate pension plans, government agencies, financial institutions, charitable organisations, mutual funds and private individuals.

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This year, Baring Asset Management is proud to support The Maypole Project, a charity providing vital support for children with complex medical needs and their whole families.   www.themaypoleproject.co.uk  Registered charity number 1120163.