Saga highlights tough times for over-50s
Saga has warned that soaring price levels are continuing to erode the quality of life of over-50s for the third successive quarter.
A study of 12,000 over-50s found their quality of life index fell from -8.8 per cent in the second quarter to -10.5 per cent in the third quarter.
According to the 14-page Saga Quarterly Report, levels of unemployment for 50 to 64 year olds continued to rise in the past three months, despite a fall in unemployment in the same period for the rest of the population.
The data also revealed that 49 per cent of the age group were expecting economic circumstances to decline even further in 2012, anticipating continued deterioration in growth and high inflation.
Ros Altmann, director general of Saga, said: "It seems those in their 50s are faring even worse than the older groups, suffering faster income falls and rising long-term unemployment. Rising prices, low interest rates and an ageist jobs market could leave a generation of 50-somethings on the scrapheap."
Matthew Rich, IFA for Avon-based Alan Seward Financial Services, said: "Unfortunately it is difficult for someone over 50 and on a low income to do much financial planning. It is even more difficult if they are suffering from ill health.
"It is a widely held view that the over-50s face a higher personal rate of inflation than younger people because they tend to spend a higher proportion of their income on food, utilities and council tax which tend to increase steeply in price each year and less on gadgets and hi-tech items whose price is more likely to fall.
"The best advice is to start planning early, which I accept is not much help to someone already who is already over 50."
