Retired people aged between 65 and 74 need to come up with an extra £429 a year to enjoy the same standard of living they experienced last year, it has been claimed.
A new report from retirement adviser MGM Advantage has revealed that the cost of living for people in this age group has increased by 1.89 per cent over the last 12 months.
For people aged 75 and over the figure rises to 1.53 per cent or £225.
Aston Goodey, sales and marketing director at MGM Advantage, said, "Many retired people have had to endure a rise in their cost of living.
"This coupled with the fact that people are generally living longer is placing considerable pressure on retirement income."
Worries over the rising cost of living for retirees could lead to an increase in the number of people enquiring about equity release programmes.
Such schemes allow homeowners to enjoy a more comfortable existence by supplementing their income with funds drawn from the value of their property.
