Financial security in later life is not what it was… according to new research, more than a third (35%) of the UK, over the age of 55-years-old are living beyond their means.
Equity release provider more2life, which commissioned the research, say many respondents blamed rising costs of living them going into debt, leading to 68% of those running into debt using savings to fund their lifestyles. A further 17% are making use of their overdraft facility and 16% their credit cards.
Unsurprisingly, almost half of those surveyed (48%) said they were anxious about their financial future, particularly those who were dipping into their savings – with many saying they would be unable to cover an unexpected expense costing more than £5,000.
Dave Harris, CEO at more2life, comments: “Fewer over-55s are enjoying a financially carefree retirement, a fact that we can in part attribute to smaller pension pots, greater financial responsibilities and longer retirements.
“While it is natural to want to use your savings to improve your standard of living in later life, being forced to dip into them or borrow to meet day to day living costs is another matter entirely.
“This research highlights that for some people retirement is far from relaxing and they are one large bill away from real financial hardship.”
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