Two fifths (40 per cent) of over-65s who are still working are not confident they have enough savings to provide sufficient income for retirement, according to SunLife.

Research from the over-50’s specialist demonstrated that this was even lower than the confidence levels of those who were retired or not working, 30 per cent of whom believed they would not have enough savings.

Those still working past 65 were more likely to have a private pension and have more in their pot than contemporaries who had retired or were not working, with an average of £177,560.67 compared to £120,682.69.

However, SunLife said this was likely because they are either not drawing from it yet, or were drawing less.

Over-65s who remain in employment may also be likely to be younger on average than those who have bid farewell to the working week, with older individuals more likely to have already used up a significant chunk of their pension.

SunLife found that more than nine out of ten (94 per cent) over-65s in employment had savings, compared to 87 per cent of over 65s who were not working, and the workers had almost twice as much saved as over-65s who were not working - £119,211.81 compared to £64,455.35.

SunLife equity release director, Simon Stanney, said: “Our research reveals that overall, 31 per cent of over-65s are worried about being able to fund their retirement, but those still working are the most concerned, despite being in what would appear to be a much stronger financial position.

“Obviously we don’t know what type of lifestyle in retirement these people are hoping to have, which could well be behind their fears that they will not have ‘sufficient income’ to support it , however, if they are worried, there are other ways to bolster retirement income.”

Among those still working past 65, 24 per cent were still working full time, 39 per cent were working part time, 27 per cent worked for themselves and 18 per cent had more than one job.

Men are slightly more likely to work past 65 than women, with 16 per cent of males remaining employed compared to 11 per cent of women.

SunLife’s research also showed regional differences across the UK, with the West Midlands leading the way with 24 per cent working beyond age 65, followed by the North East, London and Scotland.

At the other end of the scale, just 8 and 10 per cent of over-65s continued working in Yorkshire and Humberside and the North West respectively.

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