By Natasha Roberts
Date: Monday 18 Jun 2012
The number of people in their fifties who are planning to work beyond the current state pension age (SPA) is growing, Saga has said.
Research conducted by the insurance firm indicates that more than 27% of those who are older than 50 and planning their retirement anticipate working beyond the age of 65.
Currently, the number of people who work beyond the SPA is 1.41m, nearly double the figure seen in 1993, which according to the Office for National Statistics, is equal to a faster rise than that of the general population.
In a statement, Saga said: "In 2012, the average retirement age will be 63 years, 130 days, which is 286 days later than in 2010 (62 years, 277 days).
"By 2025, people expect to work an extra two years and 186 days longer than today."
By October 2020, the SPA will rise to 66 for both men and women, and to 67 eight years later, in line with increases predicted for life expectancy.
Ros Altmann, Director-General of Saga on Monday pointed to one of the reasons more and more people are planning to work past the SPA: "The Bank of England's policies have been a disaster for savers in general and pensioners in particular.
"Most of those with savings or pensions have seen their income decimated by policies that have tried to help borrowers and banks, at the expense of those who tried to put money aside for their future. Indeed, monetary policy has effectively imposed a 'stealth tax' on Britain's older generations."
Altmann added that the policy of Quantative Easing has been damaging for many areas of the economy by causing inflation, which is "particularly an issue for older generations who rely on the income generated from the savings they have worked hard for all their lives".
Saga's research was based on 427,000 retirement dates given by those using its annuity service.
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