Later-Life Work, Health and Well-Being: Enduring Inequalities

Increasing life expectancy means the UK, like other countries, is facing a rapidly growing population of those of pension age relative to those of working age, placing strain on public expenditure as periods of retirement and economic inactivity lengthen. A major strategy in policy responses to ageing populations is to extend working lives. Longer periods of employment, leading to greater pension contributions and shorter periods of retirement, are proposed to provide potential solutions to such problems. One means of encouraging longer working lives is to increase state pension age (SPA). In 2012, a report by the Office for National Statistics showed the average age of withdrawal from the labour market in the UK had risen to 64.6 years for men and 62.3 years for women, from 63.8 years and 61.2 years, respectively, in 2004. Although the average in 2012 was close to or even above the SPA (65 for men and between 60 years 10 months and 61 years 4 months across the 2012 period for women), a substantial proportion of the population are still leaving the workforce before reaching SPA (Phillipson and Smith 2005). If increases to the SPA are to be successful, there needs to be an understanding of barriers to remaining in work, of who the older workforce comprises, and of the factors which might encourage older people to remain in employment.