The percentage of single pensioners in low resources increased by 1 per cent to 18 per cent, while the percentage of pensioner couples remained steady at 11 per cent, according to the Department of Work and Pension (DWP).
According to the Below Average Resources (BAR) report, “low resources” refers to individuals whose available income is below 54 per cent of the average income of similar households, calculated over three years.
It considers income, savings, and essential costs and the small rise in single pensioners in low resources contrasts with larger increases among younger, non-pensioner households.
Single non-pensioners with children saw a 2 per cent rise to 55 per cent, while those without children increased by 2 per cent to 28 per cent. Non-pensioner couples also saw smaller increases, up 1 per cent to 28 per cent for those with children and 12 per cent for those without.
The report also reveals a clear divide between renters and homeowners. The percentage of people in socially rented housing in low resources increased by 3 per cent to 56 per cent, and those in private rented housing also rose by 3 per cent to 38 per cent.
In comparison, homeowners experienced less of an impact, with the percentage of people with a mortgage in low resources rising by just 1 per cent to 14 per cent. The percentage of outright homeowners in low resources decreased slightly, falling to 9 per cent.
Broadstone head of policy David Brooks says: “Today’s data is well timed as the Work and Pensions Committee has begun its review of pensioner poverty, and the Government is expected to kick off a review of adequacy in pensions later this year.
“Understanding the causes of pensioner poverty will be key to ensuring the system is working as it should and supporting those in need. For example, increasing the take up of benefits that pensioners are entitled to, particularly those targeted at poorer retirees like Pension Credit, will be critical to lifting more people out of poverty in later-life.”
