Latest research has shown that older workers are being trapped in long-term unemployment as a result of the recession.

The number of jobseekers who are over 50, rose by 50% in the last twelve months alone to reach a 10-year high, according to a study by Age UK.

They claim that the last two recessions had created “a devastating legacy of unemployment among people in later life” and warned that the latest figures could rise further as a result of planned changes to working age benefits.

Despite government figures showing that the number of people claiming jobseekers allowance dropped slightly, the number of over-50s who have been out of work for more than 12 months had risen by 52% over the last year.

A total of 170,000 over-50s have now been unemployed for at least a year, an 18.6% increase on the last quarter, which is the highest percentage increase among all age groups and means that they are at their highest level since June 1997.

Age UK director, Michelle Mitchell, said: “This is the highest level of long-term unemployment among over-50s that we have seen in a decade, and brings back the spectre of the last two recessions which left a devastating legacy of unemployment among people in later life.

“If hundreds of thousands of 50-plus workers remain stuck in long-term unemployment, the government’s plans to ‘reinvigorate’ retirement and extend working lives will remain a hollow soundbite for many people.”

Ivan Cooper, Chairman at debt advice specialists Chiltern said: “Over 50s who haven’t worked in over a year are now at an increased risk of developing debt problems, as they are unable to earn the income they once did. This places further strain on their household finances and unsecured borrowings, and makes debts harder to repay.

“For those struggling to keep on top of credit commitments, it helps to speak to a reputable debt advice organisation – such as Chiltern, Hamilton Locke or The Debt People – as these can help to reschedule finances to more affordable levels.”

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