What is driving early retirement in the UK?

Phoenix Insights, a think tank sponsored by the Phoenix Group, has studied the underlying reasons for the recent reduction in workforce participation amongst over 50s in the UK. Their report makes for interesting reading. 

Headlines in the media have speculated that worsening health after the pandemic has been the main factor. The report shows that like much media speculation, the facts do not support the opinion. 

To reach their conclusions the think tank commissioned independent research amongst over 50s, not just in the UK but also in the USA and Germany in order to provide a contrast. The main findings of the research are as follows: - 

• The UK stands out compared to Germany and the USA in having significantly more negative attitudes to work. These views have been changed more profoundly by the pandemic.
• Higher levels of financial comfort amongst this group in the UK may have enabled increased levels of economic inactivity. This is especially true for home owners.
• The health effects of economic activity have been smaller than for other reasons since the pandemic. However poorer access to healthcare compared to other countries may explain reduced flows back into economic activity from those who have been inactive due to health reasons.

The full report can be accessed here: - 

https://www.thephoenixgroup.com/phoenix-insights/publications/beyond-great-retirement/

What do you think? Has your attitude towards work been changed by the pandemic? What do you think the consequences may be of this trend in the UK?