More than 2 in 3 workers (70%) expect to delay retirement and continue to work due to financial reasons, according to a new report.

Those already in retirement were also having to 'unretire' and return to the workforce, according to the report from recruitment consultancy Robert Walters.

A third (31%) of those surveyed had returned to work either in a full or part-time role or in a casual capacity in the past 18 months.

Over half (46%) of those that had come out of retirement in the past 18 months said they needed to do so due to financial reasons.

A quarter (24%) of those who had returned to work had returned for their mental wellbeing.

Chris Eldridge, CEO of Robert Walters UK, said increasing numbers of workers were returning to work from retirement or delaying retirement plans in order to shorten the time their retirement savings will need to support them.

Some were returning to work so they could continue to add funds to their pension pot.

He said: “Our research highlights that the trend toward 'unretirement' is driven by two factors; high living costs impacting pension savings and hybrid-working arrangements allowing professionals to work for longer in a more flexible capacity.

“There are various types of unretirement – from retirees taking conscious ‘micro’ or ‘soft’ retirements as strategic career breaks or soft-launches into retirement – to those who decide on more permanent moves to come out of retirement triggered by financial or social factors.”

A separate recent report from Legal and General highlighted that 2.8m retirees in the UK have already returned to the workforce.