Retirees face financial hardship in later life

Since 2012/13 the number of pensioners living in poverty has steadily increased, with millions living in homes that are causing damage to their health and wellbeing.

The Centre for Ageing Better’s State of Ageing report found that people aged between 60-64 experience the highest level of poverty rates.

This is most likely the effect of people living longer, leading to a rise in those living with major illness and disability.

And ethnicity also plays a role, with people from Bangladeshi and Pakistani backgrounds most affected by poverty. A quarter of people aged over 50 from these backgrounds live in what’s considered ‘deep poverty.’  

Housing

The report also identified that millions of older people live in homes that are damp and cold or have trip hazards.

Half of the 3.5 million non-decent homes in England – those that fail to meet basic decent criteria – house someone aged 55 or over (49%). This equates to around 2.6 million people aged 55 and over living in a non-decent home.

The number of older renters is also at an all-time high. The highest proportion of non-decent homes are in the private renter sector. This means older private renters are likely to live in poor-quality homes and don’t have the financial ability to repair them.

And it’s not just older renters who are struggling. Homeowners also face challenges, with recent analysis suggesting the greatest number of people aged 55 and over who live in poverty are owner-occupiers.

Altogether, people from Black, Asian, and Minority Ethnic backgrounds over the age of 50 are more than five times more likely to be living in deprivation than White British people.

The Centre for Ageing Better is using the report to call for immediate improvement of poor-quality homes.

What help is available for older people living in poverty?

Financial support

Those on a low income who receive the state pension could be entitled to pension credit. Pension credit is extra money provided to help with living costs.

Up to £1.7 billion worth of pension credit went unclaimed last year, amounting to around £1,900 for each household entitled to receive it.

Claiming pension credit - however small the award- opens doors to lots of other financial assistance including:

• Housing benefit
• Support for mortgage interest
• Council tax discounts
• A free TV licence
• Help with NHS dental treatment, glasses and transport costs for hospital appointments
• A warm home discount

A discount on the Royal Mail redirection service if you’re moving house

Specialist organisations

There are lots of organisations and charities that offer help and support to older people, such as:

Independent Age – a national charity focused on improving the lives of people facing financial hardship in later life.

Age UK – the leading charity supporting older people in the UK.

Turn2Us – a national charity offering information and practical support to people facing financial insecurity. Turn2Us also has a grant tool that can help put you in touch with organisations offering grants and financial support specifically for older people.

BAME Hub UK – a national organisation supporting ethnic minority communities.