Older workers may delay retirement if they are allowed to continue working from home, government figures suggest.

       The Office for National Statistics (ONS) found that people aged in their 50s and 60s who were working from home during the coronavirus pandemic said they were planning to retire later than those who were still travelling to their workplace.

       Researchers said that this could have a positive knock-on effect for those who are able to work remotely, and to help grow the economy, because the age at which a person retires has implications for their financial security, the ONS said.

       It added that more than five per cent could be added to UK GDP if those aged 50 to 64 were employed at the same level as 35- to 49-year-olds.

       “There is some evidence that working from home may delay retirement plans for some older workers,” the ONS said.

       “In June and July 2020, those who were working entirely from home were more likely to say they were planning to retire later (11 per cent) compared with those not working from home (five per cent)”.

       “In April to May 2021, older workers aged 50 to 69 years who were working from home reported that it improved their work-life balance and well-being,” the ONS added.

       However, researchers also warned that if more older people continue to work from home, they are less likely to be promoted and “inequalities may become further entrenched”.

       Before the coronavirus pandemic (January and February 2020), approximately 66.8 per cent of workers aged 50 years and over said that they “never” worked from home. Of these workers, 41.5 per cent “switched” to working from home “sometimes, often or always” at some point during the pandemic (April 2020 to March 2021).

       Louise Ansari, director of communications at the Centre for Ageing Better, said: “It’s vital that the move towards more flexible working for some doesn’t entrench inequalities.

       “These figures highlight the importance of the Government bringing forward measures in the Employment Bill to give all workers the right to flexible working so no one is forced out of work early due to health conditions or caring responsibilities.”