Old and in the way

Dr Ros Altmann, director- general of Saga, said: “People sometimes paint the older generation as the lucky ones, with fewer problems than others. The evidence does not support this view. Some are fine but the majority are struggling.” She said: “If people in their 60s cannot find work, they will become poorer..."

The impact of inflation is “significantly higher” for 50 to 64-year-olds than for the rest of the population, with this group seeing their real incomes decline by 1.4 per cent in the past year. Of those aged over 50, 63 per cent said the rising cost of living was their biggest worry while 54 per cent fretted about the reduced income they were earning on their savings. One in three said their health was worsening as their standard of living falls. Many older people are having to cut back on luxuries, with 44 per cent having fewer meals out while a quarter are having fewer holidays.

Nearly two in three of those aged over 50 say the rising cost of living is their biggest worry. And 28 per cent believe their standard of living has fallen in the past year. The worst affected are those closest to retirement as economic turmoil – and low interest rates – mean their pensions are unlikely to deliver the income they were expecting.

Unemployment rates in the 50-64 age group have increased by 69 per cent since the recession began, according to the Saga Quarterly Report. The over-50s also have the worst problem with long-term unemployment, often struggling to find work once they have lost their job. As many as 43 per cent of the jobless over-50s have been out of work for more than a year, compared with 27 per cent of unemployed 18 to 24-year-olds.