The number of women aged 65 and over in employment has reached a new record high of more than 700,000, fuelling fears that many face working until they drop.
Figures from the Office for National Statistics (ONS) revealed the milestone, illustrating the stark change over the past three decades in which the employment rate for this group has nearly tripled.
It adds to a trend that has seen older people in general working for longer into their 60s and even 70s – a period when some might have been expecting to spend their time looking after the grandchildren, gardening, or going on cruises.
The change has been partly driven by the increase in state pension age from 65 to 66 and proposals for it to rise further – and after women’s retirement age was raised from 60 to bring it into line with that of men.
Experts fear that some stay working through ill health as they have ‘nothing to live on’ and must ‘keep waiting for their state pension to start’.
However, some women welcome the chance to remain in active employment, a trend that boosts the economy.
Concern: Former pensions minister Ros Altmann (pictured) is worried that some women are being forced to keep working through ill health because they have nothing to live on
Official figures this year showed that a record 10 per cent of women aged 65 or over were now in employment. In the three months to June that crept even higher – to 10.3 per cent – with 710,000 in the workforce. Back in 1992, when comparable records began, just 177,000, or 3.5 per cent of women aged 65 or over were in work.
More men of that age are also working. In 1992, 301,000 men aged 65 and over were working. That has since risen to 938,000.
With life expectancy rising faster for men than women in that period, it means the employment rate among men aged 65 or over has more or less doubled from 8.5 to 15.6 per cent.
Comparing the two, the new figures show employment rates among women in the age group are catching up with those of men.
Back in the early 1990s, women were less than half as likely as men to be working. They are now two-thirds as likely.
Former pensions minister Ros Altmann, said: ‘It can be seen as good news that more women are now able to work longer if they want to.
‘The worry is that some are being forced to keep working through ill health because they have nothing to live on and have to keep waiting for their state pension to start.
‘For those who can keep working, there can be real benefits as they have more money to live on now and in future, and they will keep adding to the economy.
‘Many women also like to keep working for the social aspects as well as the money.’
Steve Webb, another former pensions minister and now a partner at pension consultants LCP, said: ‘The huge increase in women’s state pension age has reshaped the way many women think about their careers.
‘When the pension age was 60, planning to stop work in your late 50s might have been quite reasonable.
‘But with the pension age set to rise to 67 in a few years’ time, women have had to radically rethink their plans, and this is feeding through into longer working lives for many.
‘We are also seeing more women reaching retirement dependent on modern ‘pot of money’-type pensions, which are typically much less generous than the more traditional final salary schemes.
‘Given that women typically have pension pots barely half the size of men’s pensions, they are much more likely to feel that they cannot afford to retire.’
It comes amid a surge in joblessness among women at the other end of the age spectrum.
Figures from the ONS last week showed that 450,000 women aged 16 to 24 were classed as not in employment, education or training (Neets) in the three months to June. That was the highest level since 2016.
The majority were ‘economically inactive’ meaning they are neither in work nor looking for a job.
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