• Staggering amount of people forced to sell their property to make ends meet
  • Britons are also pushing back the age they expect to retire

PUBLISHED: 18:37 EST, 25 December 2012 | UPDATED: 18:37 EST, 25 December 2012

One in ten pensioners in Britain has sold or downsized their home to help make ends meet, according to research.

Cash-strapped Britons are reassessing their retirement plans because of the state of the economy, according to a survey of 1,000 adults in 12 European countries, which found that more people in this country are planning to use their property to fund their pension than in most other European nations.

They are also reconsidering the age at which they will stop working, with an average delay of five years.

Fears: A total of ten per cent of pensioners say they have sold or downsized their home because of money worries

Fears: A total of ten per cent of pensioners say they have sold or downsized their home because of money worries

The average age at which people planned to retire before 2007 was 60, but this has gone up to 65, the research found.

In comparison, French people have increased their estimated retirement age from 60 to 62, while workers in Turkey still believe they can stop work at 55.

The survey, commissioned by finance firm ING Direct, found that more than a third of Britons planned to use their property to fund their retirement, compared with less than a quarter on the continent.

ING Direct chief executive Richard Doe said: 'As a nation of homeowners and with property often the largest asset Brits have, it's not surprising that many people are considering downsizing as a way to fund their retirement.

Elderly people are being forced to drastically reassess their retirement plans. File picture

Elderly people are being forced to drastically reassess their retirement plans. File picture

'Even though people's retirement plans have been affected by economic factors over recent years, they're often delaying in order to build up their savings to give themselves a more stable retirement.'

Just last week the head of the Civil Service said that people were 'deluding' themselves if they thought they could enjoy a comfortable retirement without living more frugally and working longer.

Sir Bob Kerslake said he believed  ministers had failed to have an 'honest debate' with the public about the issue.

He told a Lords committee that it was 'absolutely clear' that the pension age would have to rise, but that the public had not 'faced up' to this.

He added that people needed to come to terms with the fact that they would have to make do with poorer circumstances in retirement than current pensioners.

Currently, men can get their state pension at 65 and women must wait until they reach 61 and three months.

However, the pension eligibility ages are rising constantly.

By 2020, state pension ages for both sexes will have reached 66, rising again to 67 by 2028. They will continue to go up, with rises likely to be linked to increasing life expectancy.

Nearly a million pensioners are working in Britain, the largest number since records began. Over the past year, the army of so-called 'grey workers' has increased by 100,000 – or 270 a day.

Nearly 10 per cent of people who are 65 and over have a job.


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Your figures show that nine out of ten elderly don't need to do this. So the real story is that the majority of pensioners won't have to sell up/downsize. But that's not much of a story is it.

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daveandling, I really don't know why you were red arrowed, I agree with you. Trouble is, I have a retirement flat to sell following the death of my mum, and just can't sell it, there are nine vacant in the complex, and none of them are selling and they are so cheap.Anyone want one?? in Cornwall??

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If you are a politician you can have a second home paid for by the taxpayer, then, sell it at your leisure and keep the profits... Nice work if you can get it. Alternatively, rob the taxpayer like Margaret Moran did, and when caught get let off because you are depressed. Most people are depressed when caught breaking the law what makes an MP different? Dud she return any money? Nope, she got a £25k payoff from the government. UKIP UKIP UKIP

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Richardgh, London, 26/12/2012 05:54 Wrong, it was Arthur Scargill, even his own union have dumped him now.

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I'm not even 50 yet and I've chosen to downsize already. My youngest daughter and I didn't need 4 bedrooms and were rattling around in a huge house. Yes we've had to adapt to a smaller space but the running costs are much reduced as is the maintenance and cleaning. On the plus side, I now have capital that allows me to enjoy life while i am still able and my children haven't lost out as they are still well provided for.

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Two words.....Gordon Brown. - victor1000 , Reading, United Kingdom, 26/12/2012 03:05 = = = = = = = = == Sadly it is two other words Maggie Thatcher that is the major cause of our economic woes - Look at what she did - From destruction of council houses, industry and education - deregulation of Banks and rents - caused two riots - two recessions - need I go on? Sadly the right wing still voted the incompetent Coalition back in - with the resultant chaos.

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tuffwinter: no you just cant come here and hope to get a pension. - gobbler , wolverhampton, 26/12 gobbler - get up to date yes you can. It may not be called a pension. How about the already here families who apply (in the name of family unity as followed in their old country) to get their parents to come to UK to help out with younger family. Sponsored but after a few years, when home is overcrowded the old folks are put out depended on local council, tax credits, rent paid, cost of living supplements. It may not be called a pension but the care they get is better that UK born citizens. Front of queue for housing, doctors lists, emergency dental - free. English as 2nd language courses to help with jobs. As a UK born citizen, worked there from age 14. Served in armed forces, never unemployed. I had a hard time starting a bank account as an ex-pat. I was checking up on what to do about getting a doctor.. At one joint practise I was turned away as they were full.

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Hang on until the election.

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A lot of old people are reluctant to move out of their family home, where they may have lived all their lives. However, maybe they should consider, with the help of their children, to move to a retirement home, where they can still live locally at a lower cost and maybe give their children a share of the profits from selling their homes, before most of it goes to the government. They can still keep a healthy bank account and their pensions should cover most costs, service charges etc.

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Of course we should downsize as we need less accommodation. We have to live within our means.

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