More retirees blooming late

A new group of consumers could be about to change the face of retirement, according to research1 into the growing number of ‘Late Financial Bloomers’. This group secure their financial stability later in life, which can seriously impact on retirement plans.

Modern family

Socioeconomic factors such as later home ownership and marriage, and divorce trends are driving this shift. On average, first marriages now take place four years later than they did 20 years ago; similarly, divorce rates peak 20 years later than they did two decades previously.

Childbirth plays a role too. More women over 40 now give birth each year than those under 20, which means a growing proportion of the population will be supporting children through education later in life rather than focusing on retirement planning.

Long-term thinking

Currently, just 6% of retirees are considered ‘Late Financial Bloomers’, though this figure is set to rise significantly over the next 15 years. The shift towards later financial security means more people will face complex retirement journeys, thereby increasing the need to plan ahead.

1Canada Life, 2021

It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK.