New figures from the Department for Work and Pensions (DWP) show that more people are working past the age of 65. The employment rate for this age group reached 13.4% in 2026, marking the highest level since reporting began in 1984.
This shift towards later retirement is largely influenced by the rising state pension age. The average age at which women left work increased to 65.1 in 2026, a record high since 1984, while the average age for men remained at 65.8, matching 2025's record.
The state pension age has seen multiple increases since 2010. It is currently in the process of gradually rising from 66 to 67 between 2026 and 2028. Legislation also exists for it to rise to 68, a move currently under review and potentially brought forward.
For many, continuing to work longer is a financial necessity due to these changes. The DWP's figures indicate that the state pension age plays a significant role in retirement timing, with the employment rate of 65-year-olds rising from 28.2% to 46.6% over the last decade, likely driven by state pension age increases.