Over a quarter of working women in their 50s are delaying retirement to support their adult children, according to a report from Friends Life.
The report says that parents are bailing out their adult children by more than £3,000 a year due to rising property prices, tuition fees and youth unemployment
The report, entitled ‘Working Women’ and part of Friends Life’s Visions of Britain 2020 series, reveals that rather than coasting towards a comfortable retirement, women in their 50s are working for longer than ever in order to give their adult children financial support.
On average, parents have given their adult children (those aged over 21) £3,180 in handouts in the past year, with the figure rising to £4,840 for the middle classes (ABC1s).
The findings suggest that far from being unscathed by the credit crunch and recession, this ‘golden generation’ of working women in their 50s finds itself bearing some of the financial burden of the younger generations. Traditionally, most children will have flown the nest by the time they reach 21, but the report reveals that 70% of working women have allowed their adult children to remain at the family home, even if they have a full-time job.
56% of working mothers expect to help their children get on the property ladder, and 51% are prepared to help their children pay off their student debt.
This comes at a time when the government has announced plans to speed up the timetable for the increase in the basic state pension age for women to 66. The report shows that 65% of working women aged 52-58 (the age group affected by the changes) are resigned to carrying on working until they become eligible. Only one in seven (14%) says they will retire at the age they originally intended.
But the report reveals that concerns about the financial security of their children is another factor forcing women to work longer, with 28% saying that they are considering delaying retirement in order to support their family. And 68% expect to have to work beyond 66 in order to fund their own retirement.
Jo Cann, marketing director, Investments and Pensions at Friends Life said: “With property prices still way above their long-term average
