Only a third of people who have reached state pension age are actually retired with one in four retirees now running their own business, according to a study commissioned by LV.
The survey of 1,116 over 60s, which was carried out by Opinium Research, found that the key reasons people choose not to retire are because they enjoy working (52%) and feel they are too young to give up their job (46%).
Half said they choose to continue to work in order to boost their retirement fund.
Richard Rowney, managing director of life and pensions at LV, said:
“Many people in their sixties and seventies enjoy their jobs and are keen to remain active in later life. However we cannot ignore that for others, their financial situation means they have to continue working – or even go back to work after retiring – because they simply cannot afford to stop.”
The number of entrepreneurs over the age of 50 is also rising, with just over a quarter of those surveyed opting to run their own business. 21% of these became self-employed in their 60s.
Mr Rowney stressed the importance of providing financial advice to those approaching retirement age in order for them to make the most of their pension and income.
“With the nature of retirement changing it is important that people have the income flexibility they need in later life.”
Photo by The Arches