Pensions: Not yet thanks – we’re mums

1st September 2011

Friends Life has revealed how more than a quarter fo working women in their 50s are delaying retirement to support adult children and that children over 21 have received an average £3,180 in parental handouts over the past year.

Rising property prices, tuition fees and youth unemployment are forcing parents to cough up, Friends Life claims.

The report is part of Friends Life's Visions of Britain 2020 series and appears to claim that a  'golden generation' of working women in their 50s now finds itself bearing some of the financial burden of the younger generations.

The report also said that 70% of working women have allowed their adult children to remain at the family home, even if they have a full-time job. More than half (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 unprecedented financial support for adult children 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.

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, tuition fees set to increase and youth unemployment high, the pressure on older working women to support their adult children will not abate. Coupled with the increase in the state pension age, early financial planning to take account of this additional strain on women's finances is essential if they are to enjoy the retirement they deserve."

The Working Women report has been compiled on behalf of Friends Life by The Future Foundation

More:

Don't retire: Why work is really good for us

Pensions: How to age proof yours

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14 thoughts on “Pensions: Not yet thanks – we’re mums”

  1. ChrisLongs says:

    Shaun,
    Greek bond exchange day playlist
    Average White Band – Let’s go round again
    Thoughtful blog  – thanks

    1. Anonymous says:

      Thanks for the song which I remember well and if I may coin a phrase is from my generation…

  2. JW says:

    Hi Shaun
    Yes the US economic recovery is not a given. The ‘massaged’ employment numbers are looking sick again. I also think QE3 is very likely.
    The oil price is the swing factor. If the Q2 ‘dark contracts’ forecast of $60 is realised , then its all systems go for the election, before the rebound down next year.
    But increasingly in the US its a different name on everyone’s lips…Iran, The country is being prepared for yet another war. Then it could be $200 for oil and all bets off.
    It looks like the PSI will get about 75% acceptance leading to delays, and eventually CACs and CDS calls. I note the German ex-ECB members are now saying how dreadful the ECB balance sheet is. I wonder if the German nation is slowly being prepared for exit? 

    1. JW says:

       Gallups Feb US employment numbers are out. All up, headline rate 9.1%, the most striking is their U-6 equivalent, 19.1%. Will need a ‘heroic’ seasonal adjustment for the ‘official’ numbers not to show at least 8.5% tomorrow. Looks like the only thing keeping US numbers from double figures is the rise in part-time employment.
      Also the new credit figures for February showed a slight increase, but only because of an enormous jump in ‘educational loans’. Other personal credit fell away. In election year everything is being used to make the economy look better.
      Re Iran, the story here is that a deal has been struck with Israel to give them ‘buster bombs’ after the election. So perhaps the $60 oil forecast can indeed happen prior to the election, with a jump to $200 after the election when Iran is attacked.

      1. Anonymous says:

        Hi JW

        As a man who was an option specialist the gamma and indeed kappa from such oil moves would be a dream for those long options and a nightmare for those short! It could easily wipe a few out.

        I intend to take a look tonight at the patterns for the US unemployment numbers but for now the four-week unemployment claims average edged higher today to 355k. So we seem to be in a better place than the 400k days but we may be losing ground…As ever its unclear but the unadjusted U-6 numbers do not seem to catch up with the seasonally adjusted one until May. It could yet be #carboncopy2012 with all the gains early in the year and the rest essentially treading water.

  3. Anonymous says:

    My suggestions are:

    Holding out for a hero by Bonnie Tyler

    Fixing a Hole by The Beatles

    1. Anonymous says:

      Thank you Josephine although the hole will only be half filled in at best…

      1. Cookie Monster says:

        And you know what they say about half filled holes!

  4. Anonymous says:

     “I must make up my mind today
    What to have, what to hold
    A poor man’s roses
    Or a rich man’s gold”……. Patsy Cline – A Poor Man’s Roses

    1. Anonymous says:

      Ah some country and western I think that is a first for that genre on here, we are spreading our wings a little musically……

  5. Rob says:

    Hi Shaun,

    Playlist suggestion. Who’s Zoomin’ Who? – Aretha Franklin.

    On a lighter note;
    Paul Mason..economics editor or music teacher? Trust the Beeb..Oh yeah!

  6. Anonymous says:

    Yes some Aretha certainly adds a little class to procedings.

  7. David Lilley says:

    Shaun,

    Another excellent blog. Way over my head..

    We are so lucky to have you.

    I can make comment on big current issues and have a bone-fide economist make dedicated comment on my comment. Heaven.

  8. David Lilley says:

    Shaun,

    Your playlist is terrible.

    This tiny island took soul and blues and made them their own. The Beatles took soul and the Stones took the Blues. Richard Branson advertised that he could get the US records that you couldn’t get in NME and took orders from a phone box outside his family home in Chelsea. We dominated the world. 43% of all record sales in the US were British. This fell to 3% a few years ago.

    In the music world, when one artist opens a new window and shows us a new world we jump through that window and there is no going back. Brian Wilson of the Beach Boys had to stop in the first layby when a new Beatles song appeared on the radio and ask himself why he couldn’t do that.

    The Rolling Stone magazine puts most of the best albums into the late 60s and early 70’s. How can we miss such a great rennaisance?

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