However they are working longer to make sure they have enough money to last their old age as they admit running out of cash is their biggest fear.
Today is the third anniversary of the pensions revolution which allowed savers access to their whole pension pot without being forced to buy an annuity – a guaranteed income for life.
Millions of people with Defined Contribution pensions have taken advantage of the relaxed new rules and £15.74bn has been accessed through 3.2m transactions since April 2015.
And according to pension giant Prudential, more than one in 10 (11 per cent) of the working over-55s have started saving into a pension for the first time and are saving more.
Other have re-opened a lapsed pension and started saving again as they know they will have more control of their money on retirement.
But 12 per cent say they or their partner will work full-time or part-time past their original planned retirement date.
One in seven (14 per cent) are also making more effort to learn about retirement savings.
Vince Smith-Hughes, of Prudential, said: “The reality of pension freedoms is hitting home as consumers begin to understand that they are responsible for ensuring they have enough money to last throughout their retirement.
“The fear that they might run out of money is forcing them to take a long, hard look at how much they should be saving to ensure they have the retirement they want.”
“The freedoms have in many cases shifted the responsibility for making a pension fund last throughout retirement directly onto consumers.
“Previously most people bought an annuity to guarantee an income for the rest of their lives. Now they can drawdown as much money as they like but the risk is that they run out of money in their lifetime.”
However, the freedoms are not a total success, the study found.
Nearly two thirds (64 per cent) are confused by the regulations and the overwhelming majority (82 per cent) want an end to any further Government changes to pension rules.
Almost half (42 per cent) are concerned about running out of money during retirement while 41 per cent worry about paying for long-term care.