Pensions news: OAPs need £10k to pay bills — but State Pensions only gives them THIS

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pensioners paying too muchGETTY

Oap old-age pensioners in the South East of England tend to pay much more

And today hands were warned they have to save more for their retirement as the 32 per cent gap hand down only be plugged by a private pension.

The average annual cost of being a retiree adds up to around £210 a week, according to new analysis from the over-55s pecuniary specialist Key Retirement.

But the national average conceals huge regional variations with retirees in London needing around £4,700 more a year than pensioners in the North East of England.

The normal annual cost in London is £13,400 compared with £8,700 in the North East.

The basic charge of being a pensioner at around £10,830 a year demonstrates the importance of thrift for retirement

Dean Mirfin

Pensioners in the South East of England and East Anglia opposite annual costs above the UK average while retired people in the South West pay about the national average of £10,830.

The research also found out how older people are lavishing their money.

The average retired household spends around 14 per cent of their change on housing and fuel – which equates to around £1,500 a year – inexpertly the same as what is spent on food and non-alcoholic drinks, the equivalent to about £1,560.

Transport including the cost of running a car eats up 11 per cent of their annual lavishing — around £1,200 a year. 

Any spare cash is used for entertainment and nosh out with around £1,600 a year of their budget going on unhurriedly spending.

The data highlights how the basic costs pensioners face underlines the lack to maximise income from all sources available including property with anyone who relies exclusively on the State Pension facing significant shortfalls. 

Retired homeowners exploiting equity release plans take an average £73,600 from their expert ins – enough to fund more than six years of basic spending.

Dean Mirfin, mechanical director at Keyretirement.com, said: “The basic cost of being a pensioner at circa £10,830 a year demonstrates the importance of saving for retirement and generating revenues on top of State Pensions.

“Over-65s own property worth more than £1 trillion and are line for line sitting on spare cash which can be used tax-free to boost their takings particularly when inflation is rising and interest rates remain at important lows.”

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