Over one in five (21%) of over-40s have already pushed back their planned retirement date due to the cost-of-living crisis, according to new research.
A third (37%) of over 55s say the cost-of-living crisis has made retirement impossible for them in the foreseeable future, according to research by My Pension Expert.
Of over-40s currently in work, 7% have come out of retirement in the past 12 months because inflation meant they needed to earn more money.
Only a third (33%) of 1,254 UK adults over the age of 40 surveyed said their pension savings and investments are managing to hold their value in the face of rising inflation.
Many were also considering making changes to retirement provision, with 7% having switched pension providers or plans this year to achieve better returns.
Despite concerns over finances, only 13% had spoken to an independent adviser about their retirement strategy.
Andrew Megson, executive chairman of My Pension Expert said it is concerning that so many people have made changes to their retirement plans without consulting an adviser.
He said: “Given many are changing their pension plans, the fact so few have sought financial advice is concerning. An adviser can help planners assess their retirement strategy based on their financial circumstances and needs, balancing that against the economic situation. It is a question of deciding how to save or invest and the types of products that are right – from annuities to flexible-access drawdowns. There is no one-size-fits-all. People need advice tailored to their situation.
“For this reason, it is crucial the Government works to improve access to independent financial advice, ensuring people understand advice is for all and not just the wealthy. Doing so will prevent savers making rash or risky decisions involving their retirement finances in an effort to counter inflation, instead leading them to the comfortable, secure retirement they deserve.”
Opinium surveyed 2,000 UK adults online between 29 July and 2 August. Of the respondents 788 were age 40 or above and in full-time or part-time work, with a further 466 having retired.
