Falling income, rising inflation and higher unemployment has lead to a deteriorating quality of living for the over 50s, according to research published today.

The report, from Saga, found that 50-59 year olds and the lowest socio-economic groups across all over 50 age bands are having the toughest time.

Unemployment for the over 50s is 69 per cent higher than it was before the recession, compared with a 55 per cent rise across all combined age groups.

The rising cost of living is the biggest worry for the over 50s, with 63 per cent of the 10,000 people polled saying they are more concerned.

Dr Ros Altmann, director-general of Saga, said policymakers must recognise these realities as the Pensions Bill has its second reading in Parliament.

She added, ‘ If the over 50s are increasingly locked out of the labour market, measures to increase the state pension age too rapidly could do more harm than good.

‘There are 21 million over 50s in Britain, and if they’re cutting back on spending, it could have massive implications for the economy.' 

Altmann added that people sometimes paint the older generation as ‘the lucky ones’ with fewer problems than others, but the evidence does not support this.

She said, ‘Some are fine, but the majority are struggling and the worst affected are just short of retirement.

'Their pensions will not deliver the income they were expecting, their savings income has evaporated and more are losing their jobs. Their plight has been ignored by policymakers.’