Retirees should be asked about gambling habits

A new call has come for financial services firms to collaborate and establish industry practices to address concerns around customers who have been impacted by gambling. The call has come from researchers at the University of Glasgow after analysis revealed that almost one in three adults over the age of 65 gambles beyond the lottery. The researchers suggested people should be asked whether their own or someone else’s gambling has caused them concern when they first access their pension. The gambling harm screening could fall under the ‘Consumer Support’ outcome of the Consumer Duty. Firms could also consider providing clear warnings, signposting to the National Gambling Helpline, and offering educational resources on financial wellbeing. The new study, conducted on behalf of pension consolidator PensionBee, revealed that gambling rates are most prevalent among those near or at retirement age, age 55 to 64. But over 65s tend to gamble more frequently, with more than half reporting weekly participation in activities such as sports betting, bingo and online casino games. Percentage of respondents who have gambled in the last 12 months Gambling activity Age 55-64 with pension income Age 55-64 without pension income All age 65+ Any activity in the last 12 months 66% 65% 55% Any activity other than the National Lottery 42% 37% 32% Source: Gambling Research Glasgow The research found that 2% of adults age 55 and over - the age at which individuals can currently first access their personal pension - experience some level of gambling risk, according to the Problem Gambling Severity Index. Gambling in retirement remains an overlooked issue, according to the study. Retirement can be a significant period of transition, bringing financial, lifestyle and emotional changes that may increase vulnerability to gambling harms, it warned. Key risk factors include: Lower incomes – Financial insecurity in later life can increase susceptibility to gambling in the hopes of financial gain. Living in deprived areas – Higher levels of gambling-related harm have been associated with economically disadvantaged communities. Escapism and boredom – The psychological adjustment to retirement may drive gambling as a coping mechanism. Gambling for escapism or to alleviate negative emotions has been linked to riskier gambling behaviours. Providing financial support to others - Some retirees may find themselves providing financial support to loved ones experiencing gambling related harm, which can create financial strain and disrupt long-term financial planning. Pension lump sum risks - The accessibility of pension lump sums may contribute to higher gambling harm risk among retirees and their families. Lisa Picardo, chief business officer UK of PensionBee, said: “Gambling harms are often associated with younger people, but this research brings attention to the issue faced by retirees, particularly as they navigate major financial and lifestyle changes. “Screening questions and accessible support pathways are measures that could play a role in raising awareness of gambling-related challenges. By exploring these approaches, the industry may be able to better support individuals in making informed financial decisions and improve their financial wellbeing in later life.” Dr Blair Biggar, lecturer and research associate at the University of Glasgow, said: “While we often discuss how major life transitions, such as leaving home or starting work, can influence gambling behaviour, retirement is another key moment of change that has been largely overlooked. "As individuals adapt to changing financial situations and lifestyle transitions, some may engage in gambling for various reasons, such as maintaining routine amid boredom or coping with the adjustments of retirement.” The research, conducted by Gambling Research Glasgow on behalf of PensionBee, combined secondary data analysis and in-depth interviews to explore gambling behaviours and potential harms among retirees and those approaching retirement.

Retirees should be asked about gambling habits

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