A third of over 55s worried about retirement finances

8 December 2020

Not enough money to live on in retirement 

The money we save during our working life is meant to see us through our retirement, but unfortunately, many over-55s in the UK are worried that they simply won’t have enough to live on comfortably and to meet future costs, such as care fees, according to a recent report by the Equity Release Council.

The report highlighted that financial concerns in retirement were particularly high amongst women who are still working, with 48% of them stating that they have concerns that they might run out of money, with less than half women stating that they were confident that they will be able to afford to choose when they retire’. Working men of the same age men share similar concerns over their finances in retirement, with 32% believing that they might run out of money – up from 23% last year. 

Why are over-55s worried about retiring? 

The report also demonstrated that there were a number of key concerns which were affecting the confidence among homeowners aged over 55 in the UK about when they can retire, and how comfortable that retirement will be, including: 

Why are over-55s worried about running out of money in retirement? 

Fears over not having enough money to see you through your later life is a real concern for those close to retirement. There are a number of reasons that more than a third of over 55s now share this worry, including:

How could equity release help? 

For those worried about not having enough money to live on during retirement, releasing property equity might be a solution, says 55Plus Equity Release Founder and Director, Jan Johnson: With the rising costs of care, the gender pay gap and the increase in house prices, it’s completely understandable why people are so worried about having sufficient money to live on comfortably in retirement, especially as more of us are living longer. 

For people with these worries, releasing equity from their homes could be a possible solution for them. Equity release enables homeowners over 55 to access some of their wealth currently tied up in their house and may help to give them greater financial peace of mind in their later years.” 

If you’re worried about having enough money to retire on, then one solution may be to release some property equity. If you want an impartial meeting with a friendly face (remotely as required), then one of our expert advisers would love to discuss your individual circumstances. 

Book an initial, no-obligation consultation

During the current coronavirus outbreak, we are conducting these over the phone or by video call.

Talk to an expert