Falling incomes hit UK's elderly the hardest: Aviva
11 Jul 2012
The average personal savings of those above 75 in the UK saw a 40 per cent erosion in just two years, falling to £13,000 from around £22,500 two years ago, a survey of finances of over-55s in the country showed.
Retirees have been forced to dip into their savings to pay for the rising cost of living, with the price of food, petrol and utility bills having risen sharply in recent years, hitting people in the pocket.
According to insurance company Aviva, which interviewed 14,000 people over the age of 55 about their savings, the over-75s had been particularly hard hit, because unlike people in their 60s, people in their 70s had not had the option of delaying their retirement to improve their savings.
Aviva said the age group had seen its savings eroded substantially as people dipped into their capital to keep up with rising costs.
The spending power of people over had 55 fallen with the rising cost of living, according to recent research by Saga, an organisation offering an array of financial and other products for the 50 plus.
Saga, last month, found that money worries were of greater concern than crime and health for the people in the age bracket.
