Next generation will 'work longer into their 70s'

Someone born in 2012 could expect to build up £73,000 worth of student debt, according to economist Steve Lucas.

According to a new study, financial pressures from university and housing costs will mean the next generation would have to start saving at the age of 25 to prepare for 30 years of retirement. Mr Lucas said:

In the future, older workers - especially in the professional and business services sector - are likely to stay working longer into their 70s, but the nature of this work will become more flexible and probably more part-time.

Workers in manual or vocational careers are also likely to look to extend their working lives by undertaking a less strenuous, more part-time role.

– Steve Lucas, Economist

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Start saving at 25 for retirement

Today's children must start saving for their retirement at the age of 25 to enjoy a comfortable old age, according to research. The next generation will be in their 50s before settling their student loans and in their 60s before being mortgage free.