Retirement Ages Rising Whilst Confidence In Pension Investments Falls

27% of the over-50s expect to work past the current state pension age of 65, suggests a survey by insurance firm Saga.

The state pension age is currently being equalised for men and women at age 65, to be achieved by November 2018.

It will then go up to 66 for both men and women by October 2020, with plans in place to raise it to 67 by 2028.

Saga said that "In 2012, the average retirement age will be 63 years, 130 days, which is 286 days later than in 2010 (62 years, 277 days)".

It is suggested that the trend is due to a combination of financial necessity and the desire to keep on doing something enjoyable.

Another recent survey by Scottish Widows also suggested that 22% of those aged between 30 and state pension age and earning at least £10,000 a year were not saving anything for retirement. The survey suggests that this is due to a lack of confidence in pension investments.

71% of those asked said they were scared about making the wrong decision. 47% who said they did not know enough about what to do.

The survey was conducted at the start of a major campaign, called “Tomorrow is worth saving for”, to raise awareness of the new pensions system and show the benefits of saving for retirement earlier in life.

The automatic pension enrolment system, which is intended to be in full force by 2018, aims to boost the low level of pension savings among UK workers, especially in the private sector.

Millions of people will be enrolled into workplace pensions from October 2012, when the phased enrolment process begins.

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