People 'to work longer to avoid money troubles'

People in the UK are planning to work longer in order to avoid financial difficulties, which could potentially include debt problems, in their post-work years.

This is according to MGM Advantage, which suggested that 35 per cent of over-55s who are still in jobs intend to continue in employment until beyond the statutory retirement age.

Such people have seen their pension funds negatively affected by the credit crunch, the firm claimed.

MGM Advantage also said that 32 per cent of over-55s are "not prepared at all" for retirement, while 35 per cent admitted to having done nothing to ready themselves for giving up work.

"It is hugely concerning that so many people are so unprepared for retirement. There is a definite need for those approaching retirement age to make the most of their pension pots," stated Craig Fazzini-Jones, director at MGM Advantage.

However, research conducted recently by National Savings and Investments showed that 63 per cent of consumers polled are more aware of their finances now as a result of the recession.