Britain’s ‘great unretirement’: cost of living drives older people back to work

theguardian.com:

Spiralling inflation, volatile financial markets and the soaring cost of living are leading to the “great unretirement”, with research suggesting retired people are returning to the workplace.

There are now more people aged 50 and older in work or looking for work than since just before the pandemic, according to data from the Office for National Statistics (ONS).

Its analysis shows there was an increase in economic activity (people working or looking for work) of 116,000 among the over-50s in the past year.

More than half the total increase is among men aged over 65 – whose economic activity levels increased by 66,000, or 8.5%, in a year – with 37,000, or 6.8%, more women over 65 in or looking for work.

Experts say in-depth research indicates the increase is driven by former people in retirement returning to work, rather than people working longer. “People who thought they could retire comfortably during the pandemic are having to unretire and find work again to bring in extra income and top up their pensions while they still can,” said Stuart Lewis, the chief executive of Rest Less, a digital community for the over-50s.

“Increasing numbers of retirees are feeling poorer than they’ve felt before, with consumer confidence at a record low and purchasing power eroded on a monthly basis,” he added. “All this is driving the trend of unretirement.”

Volatile financial markets were creating significant fear and uncertainty in people’s perceptions of their future retirement income, said Lewis. The one-off suspension of the state pension triple lock last April means that the state pension only increased by 3.1%, while inflation increased at 9.4% in June. “It’s no surprise that people are looking at ways to make additional earnings,” he