High fuel prices 'straining pensioner finances'
28/08/2009
Topic: Already retired, Annuities, Investments, Market conditions, Pensions
A number of UK pension holders are struggling to meet the costs of high energy bills, new research suggests.
Published by the charities Age Concern and Help the Aged, a report shows that pensioners are often cutting down on their fuel usage, despite the fact many are facing higher bills.
The study, conducted by the Institute of Fiscal Studies, reveals that in 2007, the poorest fifth of pensioners had to allocate nearly 40% of their budget - after housing spending - to pay for fuel and food.
Andrew Harrop, Head of Public Policy for the age charities, said that there is a significant gap between the living standards enjoyed by wealthy pensioners and those who are less well off.
He added: "Shockingly, the report finds that while poorer pensioners are spending more of their available income on energy, they are - at the same time - reducing the amount of energy they buy.
"Not only does this demonstrate the problem of soaring energy costs in recent times, but is a warning to policy makers and others that vulnerable older people could be putting their health at risk in winter just to cut costs."
Age Concern and Help the Aged last month called for the government to do more to reduce pensioner poverty in the UK.
Written by David Shuker.
Published by the charities Age Concern and Help the Aged, a report shows that pensioners are often cutting down on their fuel usage, despite the fact many are facing higher bills.
The study, conducted by the Institute of Fiscal Studies, reveals that in 2007, the poorest fifth of pensioners had to allocate nearly 40% of their budget - after housing spending - to pay for fuel and food.
Andrew Harrop, Head of Public Policy for the age charities, said that there is a significant gap between the living standards enjoyed by wealthy pensioners and those who are less well off.
He added: "Shockingly, the report finds that while poorer pensioners are spending more of their available income on energy, they are - at the same time - reducing the amount of energy they buy.
"Not only does this demonstrate the problem of soaring energy costs in recent times, but is a warning to policy makers and others that vulnerable older people could be putting their health at risk in winter just to cut costs."
Age Concern and Help the Aged last month called for the government to do more to reduce pensioner poverty in the UK.
Written by David Shuker.
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