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New research by LV= has revealed that two-thirds (66 per cent) of over 50's approaching retirement are more concerned than ever about their financial security and income in retirement.

In fact, the LV= State of Retirement report found that the majority of people believe that they will need £20,100 a year in retirement, but know that they will only have access to £16,900 a year.

The impact of a rising living costs and the potential of a recession are contributing to fears about such a retirement income gap.

Of those who are concerned about their retirement income, more than three-quarters (77 per cent) said increasing utility bills and food prices are their biggest financial concern.

Four out of 10 people facing retirement (42 per cent) fear that a recession will affect their wealth when they retire, followed by 35 per cent concerned about rising interest rates and 32 per cent about media reporting of the 'credit crunch'.

However, despite growing concerns a quarter of those surveyed are still not saving for their retirements. A further four in 10 are not increasing their savings despite their worries.