Almost a third of UK retirees consider return to work as cost of living rises

Nearly three in 10 (29 per cent) UK retirees are considering returning to work to cope with rising living costs, according to research by Indeed Flex.

The survey of 1,000 Brits aged over 55 revealed that more than half (56 per cent) have had inflationary pressures affect their ability to save for retirement, while a third (33 per cent) have had to postpone their retirement.

Furthermore, almost one in six (15 per cent) of over-55s in the UK have retired and gone back to work, with the majority (53 per cent) citing a need for additional income.

Indeed, Flex noted that the cost of living has risen in the UK and worldwide since 2022, as global recovery from the Covid-19 pandemic put pressure on prices.

It also pointed out that pensioners and retirees on fixed incomes are particularly susceptible to rising prices, and with the state pension age increasing, older people are being forced to work longer or return to work.

Official figures revealed that the average age at which people retire reached a new record high in 2024, rising to 65.7 years for men and 64.5 for women.

Indeed Flex’s CEO and co-founder, Novo Constare, commented on the findings: “As living costs continue to rise in the UK, many retirees on fixed incomes are being forced back to work.

“While some older people choose to return to work for their own reasons, such as greater social interaction and to remain mentally and physically active, others have less of a choice.

“Retirees who only have a state pension to live on or perhaps a small workplace or private pension are the most likely to have to go back to paid work when their outgoings increase.

“For those over 55 considering a return to the workforce, temporary jobs can offer an ideal solution. These roles can provide extra income without the long-term commitment of permanent positions, which can appeal to anyone reluctant to dive back into a permanent position.”

Constare also pointed out that a rise in return to work could help employers address staff shortages and the need for experienced workers.

“For employers, tapping into this demographic of motivated retirees can be a valuable solution to current staffing shortages and retention challenges. Retirees bring experience, reliability, and a strong work ethic,” he said.

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